A Buellton motel owner has sued the city over a new ordinance that requires motels on Avenue of Flags to stop offering long-term housing and return to traditional motel operations. - Farmhouse Motel, which has provided affordable housing for 30 years, must convert 22 units back to motel rooms.
- The lawsuit claims the city targeted the motel based on aesthetic preferences, not legitimate zoning reasons. - The ordinance was approved in March 2026 after public hearings and state input.
- Red Rose Court is exempt due to historic designation, while San Marcos Motel already operates as a traditional motel. The case is pending in Santa Barbara County Superior Court, with the city yet to respond.