Santa Barbara Childhood Friends Modernise the Classic Bed-and-Breakfast

For many people, the words 'bed-and-breakfast' bring to mind cluttered rooms, too many cats, and dated floral bedding. It was precisely that image — and the ambition to overturn it — that led Martinez and Bertoli to enter the hospitality industry together. 'We had this idea that we could operate an old bed-and-breakfast in a more modern way,' Martinez said, 'and make it appeal to younger people of our generation.'

The two had been working in corporate marketing for a major shoe company since 2017. They enjoyed the work but found themselves worn down by the routine of corporate life and, as Martinez described it, feeling 'disconnected.' They left those jobs and launched a home-flipping and staging business. Martinez's wife, Katie Labourdette-Martinez, and his sister, Olivia Wahler, handled the design side through an interior design studio they had founded. The work was rewarding, but the partners wanted to keep shaping a project beyond the point of sale. 'After we sold the properties, we just never saw them again,' Martinez said.

When the COVID pandemic arrived, the group shifted its focus to hospitality, particularly the bed-and-breakfast sector, which Martinez described as 'just dying a slow death.' In 2021, a century-old building on Bath Street drew their attention. The property had operated as an inn since the 1980s under earlier names, including the Glenborough Inn and the White Jasmine Inn. The group relaunched it as The Craft House Inn, the first addition to what would become Hearth Hospitality's growing portfolio.

A Personal Touch at Craft House

The Craft House Inn offers five guest rooms, including the Lotus Suite, which comes with a full kitchen, a bathroom, a king-sized bed, and a separate living area. Complimentary amenities — such as a bottle of red wine and chocolate-covered strawberries — are a standard part of the guest experience, overseen by manager Humberto Alvarez. 'It's the kind of thing that we know only an operation like ours can do,' Martinez said. The other four rooms — the Granada Room, the Harbor Room, the Rose Room, and the Butterfly Room — each take their name from an aspect of Santa Barbara and feature en suite bathrooms with marble countertops and finishes described as both modern and timeless. The main lobby retains its Craftsman-style dark wood paneling, paired with wallpaper and furnishings that balance historic character with contemporary comfort.

Building on Craft House's success, Hearth Hospitality then acquired the eight-room De La Vina Inn, carrying out light renovations there. The group also brought Martinez's brother, Chef Julian Martinez, and Chef de Cuisine Preston Knox's restaurant, Barbareño, into the Hearth portfolio. In December, Chef Martinez and Jesse Gaddy extended the group's culinary presence further by opening the Michelin-recognised Bistro Amasa inside the historic Upham Hotel.

Simpson House Joins the Portfolio

Around the same period, Hearth Hospitality turned its attention to the Simpson House Inn. Originally built in 1874 by Julia and Robert Simpson as a private residence, the property became a bed-and-breakfast in 1984 and grew into one of Santa Barbara's most prominent inns. As at Craft House, Labourdette-Martinez and Wahler designed each room individually: one features salmon-colored walls with delicate vine-patterned wallpaper, while another takes a darker approach with landscape-inspired wall coverings and a dark brown velvet bed. A long-standing Simpson House tradition is also being revived — Afternoon Tea, priced at $75 per person, relaunches on August 26 with a menu created by Chef Martinez.

The group keeps all operations, including its Michelin-recognised culinary programme, in-house. The same kitchen team prepares homemade breakfasts at all three properties and caters weddings, corporate events, and other gatherings. 'For us, it's not about design — you can't be successful with just having one element,' Bertoli said. 'You have to have a full experience that is fully immersive. It includes design, it includes hospitality, it includes service, it includes how you make people feel.'

Nightly rates vary by season and day of the week. At De La Vina Inn, rooms start at around $250 per night; at Craft House Inn, the starting rate is approximately $350; and at Simpson House, rates begin at $475.