When the Town of Los Gatos was established in 1887, visitors couldn’t find much beyond a post office, a schoolhouse, general stores and endless miles of orchards.
North Santa Cruz Boulevard and Main Street certainly were not the bustling commercial hubs they are today.
Since then, Los Gatos has experienced incessant change, with thousands of retailers and restaurants filtering in and flickering out. While commercial flux is inevitable, historic establishments that have endured time and turnover help define our town’s cultural identity. Over the last 137 years, such landmark restaurants have become symbols of community pride and comforting continuity.
Perhaps the most striking example is Los Gatos Meats & Smokehouse, one of our town’s oldest businesses. Established in 1891—only four years after the town itself—LG Meats (as it is affectionately called by locals) remains one of the most iconic eateries downtown. The current owners, Johnny and Donna Chiala, bought the meat market back in 1991. Now in their 70s and 80s, they’ve stepped away to let their son Brian take over. But the family involvement doesn’t stop there: his children have also lent a hand in bringing LG Meats’ signature sandwiches to the hungry public.
Over 130 years later, the butcher and sandwich shop stays true to its values of family, community and serving up killer subs. You can stop by their original location at 575 University Ave., or visit their new Capitola location at 200 Monterey Ave. for fresh tri-tip sandwiches, sustainably processed meats, sliced deli meats, varieties of jerky, homemade sauces and more.
Following LG Meats’ tradition of grilling great sandwiches, the Happy Hound has served up old-fashioned hot dogs, hamburgers, milkshakes, malts and floats since 1971. The original Hound Dog was founded in 1968 in Danville by Dorothy Dresslar. Just three years later, her ex-husband, Hugh Dresslar, opened the Los Gatos location at 15899 Los Gatos Blvd. Currently run by Sarai Mejia, who worked closely with their son Dan before his death, the Happy Hound continues to serve the same half-century-old recipes.
Despite an influx of fast food joints cropping up and down Los Gatos Boulevard, the Happy Hound remains a favorite of local hot dog lovers. What sets their food apart? Their hot dogs come from a company that customizes their recipe just for the Happy Hound. Bolstering that signature taste are unique menu items like the “Happy Hound” (a basic dog with sweet relish, diced red onion, tomato and mustard), the “Cheese Hound,” the “Polish Hound,” the “Mexi Hound,” the “Chili Cheese” and the “Kraut.” Hamburgers, fries, corn dogs and chicken sandwiches round out the hot dog-focused menu.
Beating the Happy Hound in age by just five years, the Wine Cellar Restaurant boasts the moniker of Old Town Los Gatos’ last original tenant. In 1966, the original public grade school in Los Gatos was demolished to make way for a new shopping center. The Wine Cellar became one of several businesses in the new shopping mall, with the restaurant space mainly excavated by hand from beneath what used to be the school’s auditorium.
Today, the Wine Cellar is one of the oldest restaurants in Los Gatos. Still well known for its live music, cheese and chocolate fondue, and wine selection, the Wine Cellar is beloved by patrons who attended school in the same location long ago. Visit their location at 50 University Ave. to discover why this cozy yet upscale restaurant keeps bringing locals back.
Just across the street at 31 University Ave. is another long-standing institution: Steamer’s Grillhouse. Opened in 1979 by siblings Paul, Mark and Linda Matulich, the family-owned restaurant has been an Old Town mainstay for over forty years. Known for its elegant Mediterranean cuisine, extensive wine selection and white napkin service, Steamer’s Grillhouse invites patrons to indulge in fine dining in the heart of Los Gatos.
Despite labor shortages, the Covid-19 crisis and the day-to-day difficulties of operating one of the largest restaurants in Los Gatos, Steamer’s Grillhouse appears to be doing better than ever. Just last year, the restaurant claimed gold in three categories of our “Best of Los Gatos 2023: Food & Drink” competition: Best Restaurant Service, Best Bartender (long-time employee Kenny Bowes) and Best Restaurant. Stop by from Wednesday to Sunday to see what’s kept customers returning for decades.
Our final restaurant spotlight takes us across town, where Lou’s Coffee Shop has been an east-side Los Gatos classic since 1983. Despite being the youngest addition to this list of oldies, Lou’s has perhaps garnered the most dedicated following; some regulars stop by for coffee and handmade breakfast basics multiple times per week.
If you’re planning to stop by their location at 15691 Los Gatos Blvd., remember to get there early. You can count on their quaint indoor seating and outdoor patio filling up past 9 a.m.
In an era dominated by chain restaurants and relentless turnover, these long-standing establishments provide an invaluable sense of continuity and connection among Los Gatos locals.
Los Gatos Meats & Smokehouse, the Happy Hound, the Wine Cellar, Steamer’s Grillhouse and Lou’s Coffee Shop are living testaments to our town’s values of community, history and—of course—great food.
They lead the way in engaging in community service, participating in local events, and building personal connections with loyal patrons.
