Yes, the Scotts Valley Town Center is still alive, although it is not quite as healthy as it once was.
The downturn in the nation’s economy has without a doubt hit Scotts Valley in many ways. While we are doing better than most municipalities when it comes to our budget, our businesses are hurting and people have less money to spend. We have seen an upturn in retail vacancies and a downturn in the retail sales tax income flowing into city coffers.
The economy is also hurting national retailers who, 14 months ago, were interested in expanding in Scotts Valley but are now closing stores and not expanding at all.
Stanbery, the Town Center developer in a predevelopment agreement with the city, asked for an extension in November 2008 and stopped work on its project as the economic downturn slowed retail growth, banks stopped lending money and retailers chose not to expand.
While this all sounds bad for the dream of a Town Center, the sky is not falling.
Back up for a minute — let’s talk about what the Town Center is.
The Town Center has been a dream of planners and residents two decades in the making. It will be a development of retail and mixed-use housing on about 14 acres of Skypark.
The retail component would be more than 100,000 square feet of small and medium-sized shops consisting of local and national clothiers, restaurants and other specialty stores. The residential component will consist of smaller units, condo-type living and affordable housing for our workforce and seniors.
There also will be a town green — a true center for gatherings, concerts, arts and hanging out with family and friends.
Finally, the new library will be worked into the mix to create the synergy needed for a true Town Center — not just another shopping center.
Most importantly, these are your ideas, provided through numerous town hall meetings and public hearings.
This project took shape with the completion
in October 2008 of the Scotts Valley Town Center specific plan.
Since that approval, many pieces of the puzzle have come together in terms of the property and property owners.
In 2008, we purchased the first parcel of land from the Van Kregten family. In early 2009, we purchased our second parcel of land from the Ow family. Most recently, we purchased the Scotts Valley Sports Center, which will become part of the Town Center as a new 13,000-square-foot library.
It is important to remember that the money for these purchases is restricted and is only available for these types of projects — under state law, it cannot be used for general fund needs.
Suburban Propane Gas Co. has leased a new site to relocate its distribution center and will move soon, and Amerigas is currently negotiating for a new site as well. These accomplishments were a key stumbling block in past Town Center attempts.
We now control all the key properties and necessary rights of way for the project.
But finally, can Stanbery perform and can retailers secure loans for expansion? Are retailers looking to expand?
The city is in a place where we are ready to move forward when the economy turns around. Stanbery, our developer, has a great track record. They are working on conceptual drawings and ideas to jump-start the Town Center.
Stanbery will come to the council with some of its ideas in October during a public meeting.
The library is also off and running. We are moving forward with the architecture and hope to start remodeling the Sports Center in January 2010.
So don’t give up on the Town Center. We certainly have not.
It’s best to move slowly and methodically
through all the ups and downs. While it’s important to bring new retail to Scotts Valley, it is equally important to protect and improve the well-being of businesses that are already in our community.
I would like to thank the members of the public for their patience and understanding as well as their input and support through this process. We hope all of you will continue to be involved. That is what will make the Town Center a true success.
Dene Bustichi serves on the Scotts Valley City Council.
