Across Los Angeles, Santa Monica, Glendora and Venice, Californians say the state’s affordability crisis is reshaping everyday choices — from how often they eat out to whether they stay in the state at all.
Chef Alex Carballo of Grand Restaurant Group told Fox News Digital that happy hour once made up just 5% to 8% of his business. That figure has now climbed to nearly 30%, even as overall dining visits decline.
“My happy hour has increased a lot, so I think people are looking for deals and looking for options,” Carballo said.
Carballo said regular customers who once dined out four or five times a week are now coming in closer to three times, while those who used to visit three times a week are down to once. What used to be a pre-dinner stop for drinks and appetizers is increasingly becoming the entire night out.
“Now it’s like, that’s where they’re going and they’re hitting those scenes,” he said.
The savings for diners come at a cost to restaurant owners already facing higher expenses.
“I’m still paying the same amount for food. I’m still paying the employees. My rent didn’t change. Nothing changed. Only thing I’m doing is trying to discount my product to gain people to come here,” Carballo said.
A Statewide Affordability Problem
California carries the highest overall price levels in the country. According to 2024 data from the U.S. Bureau of Economic Analysis, prices in the state run roughly 11% above the national average. Residents across Southern California say that gap is showing up in every part of their budgets.
Jonas, a Santa Monica resident currently planning a wedding, said he and his fiancée are reworking their finances to keep up.
“Certainly gas is expensive, rent is high, and then grocery prices are pretty high as well,” Jonas said.
He estimated spending about $100 a week on groceries and said the couple is eating out less. He’s also started walking to work instead of driving to cut fuel costs.
“I think that people are just seeing prices go up everywhere, and feeling like they’re getting less than what they had four years ago maybe. I think everybody’s really feeling that,” Jonas said.
Some Californians Are Leaving
For Justin, a Glendora native who relocated to Las Vegas seven years ago, the cost of living was part of why he left the state. He was back in Los Angeles visiting for a Rams game when he spoke with Fox News Digital.
“Affordability is crazy,” Justin said. “I left seven years ago and I thought gas and you know rent was high then. Here I am seven years later and it’s … one of the reasons why I’m in Vegas now. It’s just unaffordable.”
He said most of his friends who stayed behind are still feeling the pressure.
“90% of my friends are living with a roommate. It is really hard to live alone here,” he said.
Housing costs remain a central obstacle. According to the California Association of Realtors, only 19% of California households could afford the state’s median-priced home of $916,750 in the second quarter of 2026.
Venice Residents Feel the Squeeze Too
In Venice, resident Tatiana said the rising cost of nearly everything — gas, groceries, dining out — has become impossible to ignore.
“Everything is more expensive, gas is more expensive, food,” she said. “There’s really very few affordable restaurants left on Abbot Kinney. Even our local co-op prices have gone up at least 15%. Everything costs more.”
“We’re not getting any breaks in California,” she said.
While California’s price levels are especially steep, elevated costs for housing, groceries and other necessities are a challenge Americans are confronting nationwide.
