Amid the queue for a city permit, a hopeful nightclub operator couldn’t get past the city’s bouncers—concerned Solvang officials.
On Aug. 3, the Solvang Planning Commission vetoed a property owner’s application to transform the vacant site formerly known as Alisal Cellars into a new nightclub destination, despite the project’s consistency with downtown policies, according to city staff.
Planning Commissioner Aaron Petersen recused himself from the 4-0 vote because he owns property within 500 feet of the project site on Alisal Road.
Other commissioners scrutinized several components of the nightclub pitch, including its proposed 2 a.m. closing time and the applicant’s intent to serve beer, wine, and cocktails, but not food.
“I don’t think it would be very difficult to prove when you have alcohol available for hours without the availability of food, it provides a public health hazard, … and a public safety issue,” Planning Commissioner William Zigler said. “I don’t think that’s an opinion at all. It’s a pretty easily verified fact.”
When Planning Commissioner Jack Williams asked applicant Oligarlo Alvarez if he believed the nightclub would generate enough foot traffic past midnight to warrant staying open until 2 a.m., Alvarez said he anticipates those late hours would be the venue’s busiest.
“People like going out late, [for] dancing and drinking,” Alvarez told commissioners. “They’ll get there around 10, 10:30 p.m. … By midnight, they’ll want to keep drinking and drinking.”
Alvarez’s application included a rundown of security measures the venue would implement, such as employing a minimum of two security personnel at the nightclub’s entry door and video cameras at each entrance and exit.
Speakers during public comment at the Planning Commission hearing ranged from nearby homeowners to business operators who neighbored the project site.
One speaker, Alex Jones, said he was a father of four and a fourth generation Santa Ynez Valley resident.
“I came tonight because I heard a nightclub was trying to get approval at old Alisal Cellars, and I was a little bit concerned because I live on Alisal Road,” Jones said. “Those concerns were validated after hearing the applicant’s answers, unfortunately. I’m all for business and fun and people having a good time, but the character of Solvang doesn’t seem compatible with a business where people show up at 10:30 and, using the applicant’s words, … drink and drink and drink.”
Local developer Ed St. George—who’s currently suing Solvang for red-tagging one of his hotel projects—told the Planning Commission that he believes the city’s transient occupancy tax (TOT) revenue will drop to “record lows” if a nightclub of this kind were to open.
“This town shuts down at 9 p.m., and as much as people like to complain about it, they actually love it. That’s why they come here. It’s got a great small town feel,” St. George said. “I like new businesses. You know that. I like to see change. I really do, probably more than anyone in this room. This is not the right project.
“Approve this project and you won’t have to worry about me coming up here anymore,” he continued, “because I’m out of here.”
The motion to deny Alvarez’s application for the conditional use permit “due to the proposed use constituting a hazard to public health, safety, and welfare” passed 4-0. Solvang Community Development Director Rafael Castillo reminded commissioners that Alvarez can appeal their decision to the City Council.
This article appears in August 6 – August 13, 2026.
