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Stay: San Ysidro Ranch
If you can swing it, @SanYsidroRanch is the ultimate getaway. Located in Montecito (just east of Santa Barbara proper), its 41 cottages are located on a stunningly manicured property. Bonus: it's where JFK and Jackie O honeymooned. Need we say more?

Also noted:
@HotelIndigoSB, centrally located near everything you want to get to in SB.