The Isla Vista Food Cooperative is at risk of shutting down due to consistently declining sales, according to board director Lisa Oglesby. While they’ve begun fundraising efforts, they are currently $197,000 short of their $200,000 goal.

As a consumer-owned organization, Co-op owners can actively contribute to decisions such as which products to stock. Nina Timofeyeva / Daily Nexus
The I.V. Food Co-op is a community-owned grocery store which is owned and operated by its members, who share in its benefits and profits. On the corner of Seville Road, the co-op has served the Isla Vista community as one of the only local grocers for over 50 years.
Over the last two years, the co-op experienced a 20% drop-off in sales, which has now put them into a financial rut, risking a store closure. Oglesby posted a GoFundMe for the co-op last month in an effort to raise $200,000, and as of Jan. 21 has raised $2,715 toward their goal. Other donations sent directly through the co-op website are not public.
If the co-op closes, it would significantly exacerbate I.V.’s status as a food desert, where there’s a lack of affordable and healthy food. The nearest wholesale grocery store from I.V. is Albertsons in Goleta, which is two miles away.
Since opening a second location in downtown Santa Barbara in May last year, the co-op board has managed to partly offset losses from their I.V. location. The downtown location has a larger building with a deli and greater consumer base. But the success of the second location has not been sufficient to cover losses from decreasing sales in I.V.
“Downtown is essentially covering all the losses that I.V. is experiencing,” Owner Engagement Committee Chair Megan Ashley said. “It was our Hail Mary pass … we’ve essentially tried to do everything we could before sounding the alarm to our neighbors and our owners.”
The recent fundraising effort is part of a wider revitalization campaign that aims to adapt to the community through feedback from customers, competitive price adjustments and increasing efficiency.
The co-op’s position in the community has shifted from its position as a buyers club in the 1970s. The original buyers club pooled collective money to make bulk purchases of sustainable food.
“Billion dollar companies like Trader Joe’s, Costco, Whole Foods [Market], Albertsons, these guys came in and they started saying, you know what? What if we start selling organic products too? And so our competitive advantage in that respect started eroding because now everyone carries the organic product,” Treasurer Neal Singh said.
According to Devlin Ott, a fifth-year geography major who works as a co-op floor and outreach manager, the store distinguishes itself through its connection to the community.
“We’re able to buy stuff that’s a little bit more niche for college students,” Ott said. “Because we’re able to put the money directly into buying new products instead of paying a bigger person, it goes back into the community.”
Beyond fundraising efforts, community members can contribute to the co-op by working as a co-op ambassador and supporting the co-op at local events.
The co-op’s Ambassador Program recruits community members with new ideas for the business. At Youtopia, a sustainable pop-up market on Jan. 24, the co-op will serve as a farmers market with local goods. Singh emphasized the urgency of any kind of aid.
“It’s really a matter of saving the co-op. It’s not just helping us here and there. If our community wants a co-op, then now is the time to step in and help save it. It’s really now or never,” Singh said.
A version of this article appeared on p. 1 of the Jan. 23, 2025 edition of the Daily Nexus.
Great read! Super insightful and makes me want to do more research on food co-op trends.