From Street Vendor to Hospitality Pioneer: How One Santiago Entrepreneur Built a Boutique Travel Empire

Carla Mendoza stands in the laneway behind her flagship venue on Merced Street, gesturing toward the converted colonial warehouse that has become the beating heart of Santiago's experiential tourism boom. Five years ago, this neighbourhood epicentre was her dream. Today, it is proving to be a replicable business model that has attracted interest from investors across South America.

Mendoza's journey began modestly. In 2018, she operated a small food cart near Plaza de Armas, serving traditional cazuela and empanadas to office workers. Within three years, she had bootstrapped enough capital to open "Ruta Local"—a hybrid venue combining a restaurant, cooking school, and cultural marketplace in Lastarria. The neighbourhood's combination of street art, galleries, and literary heritage aligned perfectly with her vision of tourism built on authenticity rather than convention.

"Visitors want stories, not just postcards," Mendoza explains in an interview about her expansion plans. Her model has proven commercially viable: Ruta Local now hosts approximately 180 visitors weekly during peak season, with cooking classes priced at 85,000 pesos per person and generating annual revenues exceeding 240 million pesos. The operation employs 34 staff members, most from the Lastarria community.

Her success has catalysed broader neighbourhood revitalisation. Four competing food-tourism ventures have opened nearby, and hotel occupancy rates in Lastarria have climbed from 62 per cent in 2021 to 78 per cent last year, according to data from the Santiago Chamber of Tourism. Foot traffic on Lastarria's main commercial strips has increased by an estimated 43 per cent since 2020.

Mendoza's second venture, "Terrazas Andinas," launched in 2024 in the Providencia district and focuses on wine education paired with regional cuisine. A third location is under development in Barrio Brasil, targeting the growing segment of culinary tourists aged 35-55 with disposable income.

What distinguishes her approach is hyperlocal procurement—approximately 78 per cent of ingredients source from small producers within 80 kilometres of Santiago. This strategy has become a competitive advantage as international tourists increasingly seek sustainable, community-connected experiences.

Industry analysts note that Mendoza represents a broader shift in Santiago's visitor economy. Rather than relying solely on corporate hotels and tour operators, the city is nurturing individual entrepreneurs who embed tourism into neighbourhood fabric. As Santiago competes with regional capitals like Buenos Aires and Bogotá for market share, figures like Mendoza demonstrate how authentic, locally-rooted hospitality can generate both cultural value and measurable economic impact.

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