Tuesday, July 14, 2026

𝗣𝗜𝗘𝗥 𝗟𝗘𝗔𝗦𝗘 𝗗𝗜𝗦𝗣𝗨𝗧𝗘: California Roadhouse Founder Publishes Open Letter Urging Resolution of Vacant Restaurant Space


SANTA MONICA, Calif. — Sean Ahaus, founder of California Roadhouse, Inc., has released an open letter calling on Santa Monica city leaders to resolve the long-running lease dispute over the former Rusty's Surf Ranch restaurant space on the Santa Monica Pier.

In the letter, Ahaus says the restaurant group remains prepared to move forward with a California-themed restaurant and live music venue but contends that negotiations have stalled over labor-related provisions included in the City's proposed lease. He writes that California Roadhouse has agreed to the commercial terms of the lease and believes the remaining dispute involves issues governed by state and federal labor law rather than the City's role as landlord.

Ahaus also states that his company has repeatedly sought meetings with members of the City Council, the City Manager, and the City Attorney in an effort to resolve the matter. He acknowledges Councilmember Lana Negrete for meeting with the company to discuss its concerns.

According to the letter, the prolonged vacancy has delayed job creation, reduced potential tax revenue, and left a prominent commercial space on the Pier unused while also limiting opportunities for local musicians and neighboring businesses that could benefit from increased visitor activity.

Ahaus calls for renewed good-faith negotiations and greater transparency regarding the lease provisions, stating that California Roadhouse remains prepared to sign a lawful lease and begin construction and hiring.

Santa Monica Closeup has not independently verified the legal claims contained in the letter. The City of Santa Monica has not responded publicly to the issues raised by the author.

Photo Caption: The former Rusty's Surf Ranch building on the Santa Monica Pier, shown before its closure. The property has been proposed as the future home of California Roadhouse.

Editor's Note

The following open letter was submitted by Sean Ahaus, founder of California Roadhouse, Inc. The views and opinions expressed are those of the author and do not necessarily reflect those of Santa Monica Closeup. The letter is published in the interest of informing readers about a matter of public interest concerning the Santa Monica Pier. The letter has been edited only for formatting.

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Open Letter to Santa Monica City Leaders: It's Time to Resolve the California Roadhouse Lease

By Sean Ahaus

For nearly two years, one of the Santa Monica Pier's most visible restaurant spaces has remained vacant.

That vacancy represents more than an empty building. It represents delayed jobs, unrealized tax revenue, lost opportunities for local musicians and performers, and another missed opportunity to strengthen one of Santa Monica's most recognizable public destinations.

My name is Sean Ahaus, founder of California Roadhouse, Inc. Our vision is to create a California-themed restaurant and live music venue celebrating the culture, music, and hospitality that have made Southern California famous around the world. We remain ready to move forward immediately.

Many people assume this project has stalled because of financing, construction, or permitting. It has not.

California Roadhouse has agreed to the commercial terms of the City's proposed lease. The remaining disagreement concerns labor-related provisions that we believe improperly extend beyond the City's role as a landlord and into matters governed by state and federal labor law.

Reasonable people may disagree with our legal position. That is exactly why these issues deserve open discussion rather than prolonged silence.

For months, we have repeatedly requested meetings with members of the City Council, the City Manager, and the City Attorney to explain our concerns and discuss a path toward resolution. Those requests have produced very little meaningful dialogue.

I want to acknowledge Councilmember Lana Negrete, who took the time to meet with us and hear our concerns directly. Whether or not elected officials ultimately agree with us, the willingness to listen is an important part of public service.

This issue is about more than one lease. It raises larger questions about how Santa Monica works with businesses that want to invest in the community. How should public property be managed? When should government act as a landlord, and when does it risk becoming a regulator? How do we encourage economic investment while respecting the legal rights of employers and employees alike?

The public also deserves transparency. Residents should understand how the disputed lease provisions were developed, who participated in those discussions, and why they remain necessary. When significant policy questions affect a publicly owned property and the future of dozens of jobs, transparency is fundamental to public trust.

Meanwhile, the consequences continue to grow. A public restaurant space remains vacant. Prospective employees continue waiting for work. Local musicians lose another potential stage. Visitors lose another destination on the Pier. Nearby businesses lose the additional activity that a successful restaurant could generate.

California Roadhouse remains prepared to sign a lawful lease and begin hiring immediately. We continue to believe this project can become a positive addition to the Santa Monica Pier while creating jobs, supporting local artists, attracting visitors, and contributing to the City's economic recovery.

My hope is simple: that City leaders return to good-faith negotiations, openly address the remaining issues, and allow this project to move forward.

The Santa Monica Pier deserves to be known for opportunity, not prolonged vacancies. Most importantly, the residents of Santa Monica deserve a transparent government that welcomes dialogue, encourages investment, and works to put people back to work.

Respectfully,

Sean Ahaus

Founder

California Roadhouse, Inc..

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Santa Monica Closeup has not independently verified the legal claims contained in the letter. The City of Santa Monica had not provided comment to Santa Monica Closeup at the time of publication.