ENCINITAS — The property that houses one of Encinitas’ longest-running businesses has sold for more than $6 million.
Neighboring bars, The Saloon and Shelter Bar and Lounge, located at 540-546 South Coast Highway 101, were purchased by a local private investor for $6.1 million in a deal announced Sept. 24.
James Bengala, director of brokerage services at Urban West Ventures, who represented the seller, said the historic businesses are part of what makes downtown Encinitas vibrant and unique.
“When we originally took this to market for sale a year ago, we had a good feeling that we were going to see just a handful of strong, local investors that really appreciate and understand the value of commercial real estate up and down the coastline and along the 101,” Bengala said. “The authenticity of the community is really felt in something like the Saloon.”
The buyer was represented by Cushman and Wakefield. A spokesperson could not be reached for comment.
The history of The Saloon property goes back several decades. Maurice DeLay opened the Village Rendezvous at the site in the 1930s before it became the Grand Café in 1942 and the Daley Double Saloon in 1956, when Ruby and Frank Daley purchased the property, according to research by Kenneth Holtzclaw and Diane Welch.
The bar once hosted an illegal poker parlor upstairs and an outdoor smoking patio — now the location of the upscale Shelter Bar, which opened in 2013 — that featured Friday night boxing matches. Winning fighters received a $5 reward, according to Holtzclaw and Welch.
“It’s a place that has a lot of stories to tell,” Bengala said.
The 6,188-square-foot property, which went on sale in September 2024, recently sold with a pricetag that Bengala said aligned with industry expectations. He added that the deal “further establishes viability and value in Encinitas.”
The property is fully leased to Saloon Entertainment LLC to operate both bars through February 2036, according to the press release. It is one of five businesses in Encinitas with a Type 48 liquor license, according to state records, which means food does not need to be sold on-site to serve alcohol.
