The Isla Vista Food Cooperative is at-risk of closing by the end of this year due to a staggering decline in sales, cooperative board members said at an emergency town hall on April 19. They shared strategies to save the Co-op through fundraising and community engagement.
The closure of the Co-op would worsen Isla Vista’s status as a food desert, since it would decrease access to affordable and healthy food. Wynne Bendell / Daily Nexus
The I.V. Food Co-op is a community-owned grocery store that works with local vendors and has served the community for over 50 years. According to the Isla Vista Community Services District (IVCSD) President Spencer Brandt, the closure of the Co-op, one of the only grocery stores in I.V., would worsen the community’s status as a food desert, as it would decrease access to affordable and healthy food.
The sharp decline in sales, which began in 2023 according to I.V. Co-op Board Treasurer Neal Singh, has led to lay-offs, declined services and over $200,000 in debt to vendors. While the opening of a second location in downtown Santa Barbara has helped to alleviate some financial stress, it is not enough to help save the I.V. location. Alongside financial struggle, the Co-op took a hit earlier this year in a Feb. 1 break-in.
“The move allowed us to increase sales substantially, which helped us not make money but reduce the money that we lost,” Singh said. “But sales from the downtown market have been insufficient to buffer for the losses.”
The Co-op began fundraising in late December last year, which has brought in $4,475 of a $200,000 GoFundMe goal. Board Secretary Marcelino Sepulveda said the Co-op is “facing a serious financial crisis,” which demands increased fundraising efforts to meet their spring goal of $50,000 by the end of May to pay vendor bills, retain staff and prevent further supply chain breakdown.
The Co-op also set an upcoming summer goal of $150,000 to bridge the upcoming seasonal decline as many UCSB students leave for the summer and a fall goal of $200,000 for infrastructure, marketing and debt repayment. So far, the Co-op has taken out $550,000 in loans, according to Singh.
Sepulveda asked attendees to share why the Co-op is personally important to them to keep hopes up, as he stressed that the loss of the Co-op would be more than just a loss of a business but a loss of community and a center in I.V. that he believes is “a reflection of our values.”
“The Co-op has been so much more than just groceries. It’s been about connection, about culture and about care,” Sepulveda said.
One town hall attendee said they have shopped at the Co-op for half of their life, noting that the Co-op has not only given them access to healthy food options but a place to make friendships and have important conversations. The Nexus was unable to confirm the identities of town hall attendees.
“I’ve worked at the Food Co-op; I’ve made all of these friends at the Food Co-op. I’m still friends with employees there and all of these friendships and discussions are still a huge part of my life,” they said.
While individual donations are growing, Brandt shared that the board will soon vote on when the IVCSD will donate an additional $25,000 to supplement a previous donation of $50,000 it made in March to buy Co-op memberships that it will allocate to community members. Brandt also expressed the IVCSD’s interest in making the Co-op more accessible through increased parking in both locations.
The board then opened the meeting for questions and comments. Through a comment card, one attendee asked if the board received any professional financial assistance that would give owners and donors confidence in handing over money. The board said they have been working with multiple consultants on their financial planning, which the board members are paying for out of pocket, not through the Co-op.
Despite all the financial hardship, Sepulveda is optimistic that their goals are achievable and necessary to save the I.V. institution.
“We have begun the work. We’re tending the soil. We’re beginning to gather up the seeds. We’re gonna start planting those seeds and start restoring the roots,” Sepulveda said. “We’ve shared with you the challenges that we have. We’ve named what’s at stake, and we’re seeing what’s possible when we act together. Let’s grow a future rooted in care, in compassion, in community and renewal, especially in this political moment that we’re in.”
A version of this article appeared on p. 5 of the Apr. 24, 2025 edition of the Daily Nexus.
