Full reopening of Hwy. 1 has business booming again along the Big Sur coast
Business has bounced back along the Big Sur coast just four months after Highway 1 fully reopened following a string of landslides that blocked access to the major thoroughfare for three years.
From Cambria to Carmel, new data shows massive upticks in visitors, business activity and hotel occupancy, the California Department of Transportation said in a news release.
Northbound traffic at Ragged Point has surged by more than 900% since the roadway reopened Jan. 14, and guest counts at Big Sur restaurants and businesses are up by around 40%, with busy weekends nearly doubling 2025 levels, according to Visit California.
During a Caltrans news conference Friday, state transportation officials, Central Coast leaders and around 50 attendees gathered at the Ragged Point Inn to celebrate the region’s economic return.
“Highway 1 is not just a road, it is the main street for Big Sur, and one of the most iconic corridors in our state and the world,” Caltrans director Dina El‑Tawansy said at the event. “Its full reopening means a lot, restoring its vitality for economic purposes, for a lifeline for families, for workers, for local businesses and millions who visit our state.”
She also reflected on the pain that trapped communities and struggling businesses felt during the years-long closure. State Sen. John Laird echoed that sentiment and said that local residents have been “tested in every possible way.”
In a Caltrans news release, Gov. Gavin Newsom said the surrounding communities demonstrated “resilence and grit” during the lengthy closure.
“Big Sur families, small businesses, and surrounding communities are finding their footing again after demonstrating resilience and grit, leading to the full reopening of Highway 1 in January,” Newsom said in the release. “This is what investing in infrastructure delivers: thousands of tourists returning to support local businesses and economic growth along one of the most beloved stretches of coast in the world.”
Through traffic along Big Sur’s iconic coastline was cut off from early 2023 to January 2026 after several landslides wiped out part of the oceanfront highway.
Located about 27 miles north of the San Luis Obispo/Monterey County line, Regent’s Slide was the most troublesome site, requiring extensive engineering feats, from the use of remote-controlled excavators to the installation of thousands of heavy shear dowels into the hillside to reconstruct the road.
“The reopening today reflects not only engineering achievement ... but also deep collaboration and transparency, and shared problem-solving,” El‑Tawansy said.
Big Sur Chamber of Commerce President Kirk Gafill said the full reopening of Highway 1 not only brings back business to the area but sustains the local community, allowing more convenient access to schools, doctors and groceries.
Gafill told The Tribune that businesses in Big Sur experienced a 35% drop in visitation and lost all profitability during the long closure. He said some residents were forced to leave the area due to the intense isolation and lack of medical access.
But now that uninterrupted access has been restored, he said local businesses experienced an “immediate snap-back” in terms of tourism.
“It’s been very gratifying and rewarding to just know that if you hang in there, you’ll get the opportunity to go from surviving to thriving,” he said.
According to Visit California, hotel occupancy in Big Sur reached 80% in February and 96% in March, compared to 70% and 85%, respectively, in 2025.
In San Luis Obispo County, San Simeon reported a 37% jump in February occupancy compared to last year, and the entire North Coast region is up by nearly 20%, according to Visit SLO CAL.
