Commuter culture blamed for business downturn in neighboring Bay Area town

Rising housing prices in the Bay Area are pushing residents to distant suburbs with longer commutes. However, those commutes are hurting businesses in communities that are seeing the most growth.

In San Juan Bautista, located in San Benito County, a local restaurant that has been open for 42 years was set to close at the end of this month. However, on Tuesday, the owner of Doña Esther's on Franklin Street told KTVU that the restaurant would reopen in November with a limited menu.

San Juan Bautista is renowned for its mission, which was established in 1797 as the 15th mission in what is now California. Its quaint downtown has been a magnet for tourists and Bay Area residents looking for a quick getaway and a pleasant meal.

Kay Carlson, of Gilroy, frequently visited San Juan Bautista.

"It was just a lot of cute little shops, and in the whole town, everybody was friendly. It was nice to come and we all loved Mexican food. It was always good here," said Carlson, who went to the restaurant hoping to enjoy one last meal before it shut its doors.

When Tami Huaraca, the second-generation owner of Doña Esther's, first announced the closure, the news sent shockwaves through the community.

Huaraca said the rise of San Benito County has created a commuter culture which has resulted in a decline in foot traffic.

"Weekends were always packed with lots of tourism," said Joshua Cousins, who worked at the restaurant in the 1990s and is now a realtor in the area.

Cousins said several factors, including the pandemic, accelerated the downturn in tourism but the commuter culture is one of the main reasons.

"People drive, you know, two or three hours one way just for work. They hit it two times a day, and you know whether that is just money or time spent in the vehicle, they don’t seem to come out as much for tourism or just eating out in general," Cousins said. 

San Benito County's population has exploded from 37,000 in the 1990s to about double that today. However, this growth has brought challenges.

"We never thought anything of driving here it was close by and the traffic wasn’t this bad as it is now.  Now, in 2024, do you think about coming here? No, I don’t come as often because the traffic is so bad," said Carlson.

On Tuesday, the owner of Doña Esther's told KTVU through text that the restaurant had found a way forward. Instead of closing, it will reopen on November 6 with a limited menu, adjusting to the region's new realities. It will also undergo a rebranding, being renamed "Doña’s Cantina."