Recently there have been many questions about new development in Scotts Valley. As has been widely reported, the City has worked to meet the requirements of recent State Housing mandates. Many of the new projects have taken advantage of new state law that overrides local control. Information about current development projects is available on the City’s webpage scottsvalley.gov/242/Current-Projects.
With the recent requests for information on this topic, I thought this would be a good opportunity to share some information on current projects in Scotts Valley, including the Town Center.
Many of you have seen the construction of the project at 4575 Scotts Valley Drive, known as the former Seagate building. This project is under construction by Workbench & CRP Affordable Housing and Community Development. The project is a three-story building consisting of 100 affordable multifamily apartment units. It was approved under AB2011, a California state law that overrides the City’s usual approval process for certain types of housing developments.
As a result, the City Council and Planning Commission were not involved in the project’s approval. There were no public hearings, no CEQA review and no discretionary oversight at the local level. When this project was first proposed, the city manager and mayor went to Sacramento to express concerns. State officials warned City staff that any interference with the project would result in severe financial repercussions. The project is expected to be completed in spring 2027.
Another project under construction is at 4444 Scotts Valley Drive, known as Beverly Gardens, adjacent to Adorable French Bakery. This project is a new three-story, 25-unit affordable apartment complex. The project is expected to be completed in fall 2027. This is another project that did not come before the City Council or Planning Commission, as the developer used the State exceptions to avoid local zoning requirements for affordable housing projects.
The property known as Pinnacle Pass, located at 75 Mt. Hermon Road, currently includes Inversion Winery and Kissed by an Angel Winery. There have been other businesses on the property. Both wineries host many local events and are a popular part of the community. The property closed escrow recently and building permits are under review for a three-story, 40-unit affordable apartment building. Both wineries are in the process of trying to relocate.
The Sandraya Heights Road Project was a land division that subdivided a 5-acre parcel into nine single-family home lots. Construction is expected to be completed this fall. This project includes upper-end single-family homes on large lots.
Many have asked about the Valley Gardens Project. The developers have met with staff and City Council several times through the years presenting concepts for a housing development on the property. The designs presented included approximately 190 residential units, including affordable apartments. The developer was scheduled to appear before the Planning Commission Nov. 14, 2024, but canceled that meeting. The property is not currently zoned for residential. The developer has been working with staff on the details for the project.
The City’s Town Center project is also moving forward and will have a minimum of 300 housing units, with both market-rate as well as a significant amount of affordable housing. The Town Center will also include a new Downtown, which will house a significant amount of commercial space. The City released a Request for Proposals (RFP) for a private development partner to develop the project based on the input received from the community.
Following are the high-level requirements for future development:
- A new Downtown with a commercial area and sense of place.
- Street parking fronting retail, wide sidewalks, bike paths, limited parking lots.
- Community gathering place for special events.
- New public streets and connection between existing surrounding community and the site.
- 300 housing units minimum with both market rate as well as a significant amount of affordable housing.
Proposals will be accepted now through April 24. For more information on the Town Center Project, visit the website scottsvalley.gov/525/The-Town-Center.
Check out the City of Scotts Valley website at the links provided for more information. Subscribe to the City newsletter for regular updates (scottsvalley.gov/list.aspx?ListID=286).
Donna Lind is Mayor of Scotts Valley. To reach Lind, email dl***@**********ey.gov or call 831-438-4187.
