Shangri-La in Southern California | Why does everyone refer to this little town as Shangri-La Maybe because it was used as the location for the original film. Maybe because of the natural beauty and the fact that it's bordered by millions of acres of Los Padres National Forest . I think that it's because the people who live here truly care about their community, their environment, and each other. Ojai is situated in a valley about two hours north of Los Angeles, and 45 minutes southeast of Santa Barbara n