A mid-century Googie-style building in Santa Monica that has long marked the official western terminus of historic Route 66 now faces a potential transformation that could alter its architectural and cultural legacy. The site at Lincoln and Olympic boulevards, originally home to the Penguin Coffee Shop and currently occupied by Mel’s Drive-In, is at the center of a dispute over its future use.
Built in 1959 and designed by the architectural firm Armet & Davis, the building exemplifies the bold design characteristics of Googie architecture, noted for its dramatic rooflines, oversized windows, and midcentury modern flair. Over the years, it has served various purposes, beginning as the Penguin Coffee Shop until 1991 and later becoming a dental office before falling into disuse. Since 2018, Mel’s Drive-In has operated in the space, with interior renovations aimed at restoring the 1950s diner atmosphere in accordance with historic preservation standards.
The property, comprising roughly half an acre, was purchased by Irvine-based ValueRock Realty in 2020 for $6.2 million. While acknowledging the building’s historic status in earlier public statements, ValueRock filed a preliminary application in September to replace the structure with an eight-story residential building that would include 138 apartments, retail space, and parking. Notably, the developer’s recent city filing indicated that no historic or cultural resources are present on the property, a point that has surprised preservation advocates.
In response, preservation groups including the Santa Monica Conservancy and the Los Angeles Conservancy have nominated the building for landmark designation. This status could shield the building from demolition and is scheduled for consideration at a Santa Monica Landmarks Commission hearing on December 14. The conservancies contend the building is a key example of its architectural style and period within the city, emblematic of a significant era of roadway culture tied to Route 66. They also emphasize the possibility of integrating historic preservation with new housing development, citing other Santa Monica projects where landmarked structures have been preserved alongside new construction.
Under current local regulations, demolition cannot proceed for at least 75 days after a permit application for buildings over 40 years old, providing some time before any major changes to the site could occur. However, even if landmark status is granted, property owners can appeal decisions to the City Council, potentially prolonging the process.
The site’s association with Route 66—the famed highway established in 1926 and officially extended to Santa Monica in 1935—adds to its symbolic importance. Although the highway was decommissioned in the 1980s, its cultural resonance has grown, highlighted by the centennial celebrations of 2026. For many travelers, the building marks the historic end point of the 2,400-mile journey westward across the United States.
Despite hopes from preservation advocates to maintain the structure, ValueRock representatives have not publicly responded to inquiries. Meanwhile, Mel’s continues to operate under a lease reportedly extending to mid-2029, serving both local patrons and visitors drawn by the site’s Route 66 history.
The unfolding debate encapsulates broader tensions between development pressures in Santa Monica and efforts to preserve architectural landmarks tied to the region’s midcentury cultural identity. Both sides recognize the challenges of balancing housing needs with historic preservation, with some optimism that a compromise integrating new housing and retention of the building’s key elements might be achieved. The December hearing is likely to be a pivotal moment in determining the fate of this notable piece of Southern California’s architectural and transportation heritage.