Chapala Restaurant opened its doors in 1983 on Abbott Street in Salinas, California. Lucy Pizarro, the proprietor, always dreamed of owning her own successful business where she could have the freedom to work for herself. The restaurant was small in size and only accommodated approximately 40 people. When she opened up for business, she did all of the cooking herself and her children waited on tables and washed dishes. It was truly a " family affair." Her clientele consisted primarily of truck drivers and employees from the surrounding industrial and auto retail businesses.
The restaurant was enjoying thriving success until the Loma Prieta earthquake struck in 1989. Due to structural damage, Lucy Pizarro was forced to close the business at that location and look for a new one. After considerable searching, Ms. Pizarro discovered the current location in Old Town Salinas.

Through the hard work and perseverance by Lucy Pizarro, Chapala Restaurant has become a well known landmark in Salinas and throughout the Monterey Bay. Located only three blocks from the Steinbeck Center and in the heart of downtown Salinas, its central location has led to its popularity. Its exceptional reputation of serving fine food and providing quality service has attracted such prestigious customers as former President Bill Clinton, former Secretary of Housing Henry Cisneros, Lt. Governor Cruz Bustamante, former White House Chief of Staff, Leon Panetta, Congressman Sam Farr and actor Edward James Olmos, just to name a few.

Chapala Restaurant has also been recognized as the "unofficial city hall" where local elected officials and political candidates conduct their business and hold events and meetings. Frequently at the restaurant, you can find the area’s political leaders such as Mayor Anna Caballero, city Manager Dave Mora and Assemblyman Simon Salinas dining and discussing important political issues. Chapala restaurant also caters to the agricultural industry and attracts many of the local growers in the area.

The restaurant is also the site where many cultural groups hold their events, meetings and exhibits. Famous Mexican musical groups such as Trio Los Panchos, Trio Los Dandys, and Selena have performed at the restaurant. Additionally, every year the Mexican Consulate has showcased the exhibits of famous artists and photographers in the restaurant’s banquet room.