The Sunnyvale City Council unanimously approved an overhaul of the Village Center Master Plan Tuesday. The new plan redefined how seven aging retail spaces, called village centers, will be zoned for commercial, residential and mixed use. Cementing these details will help protect some of North Sunnyvale’s grocery stores — including the biggest one, a Lucky’s Supermarket — but won’t stop development proposals that have already been filed.

The city has already received and approved development proposals for some of the sites, including Lakewood Shopping Center and Fair Oaks Plaza. The proposals include razing existing businesses to build about 182 townhomes.

The original 2017 plan was meant to encourage redevelopment of the centers. But as proposals came in, residents grew concerned that upgrading the sites threatened the removal of grocery stores and food resources in historically underserved neighborhoods.

More than 1,800 people signed a petition calling for the city to halt the projects. Himanshu Sethi, who lives in the San Miguel neighborhood, organized the petition and said he was disappointed that the council adopted the master plan without deeper protections for grocery stores and necessary retail amenities.

Sethi said he wants the city to be more specific in its zoning, because giving a broad definition of “retail” doesn’t protect businesses that provide necessary services. He wants to learn more about possible programs to support the small, family-owned businesses that’ll be displaced in the redevelopment, such as Speedy’s Tacos or Taj Mahal Fresh Market.

“The city can do a better job at planning for these things, to make sure these vital services and these vital businesses don’t go away,” Sethi told San José Spotlight. “This area will become a food desert and not enough urgency is being put into preventing this crisis.”

Councilmembers lamented Senate Bill 330, which makes it easier to build affordable and moderately priced housing by limiting local government control. The 2020 law allows developers to request unlimited waivers on city requirements, including retail requirements.

“I have heard over the past year and then from some of my residents, from my constituents in North Sunnyvale, about the impact of loss of retail, the loss of fresh food, the loss of grocery stores,” District 5 Councilmember Richard Mehlinger said at the meeting. “What makes it painful is what little power it feels that we have under existing state laws to prevent these objectively destructive changes.”

SB 330 limits the city’s ability to deny projects, so Lakewood Shopping Center and Fair Oaks Plaza are still on the chopping block. The city launched an incentive program for these locations, allowing developers to decrease or remove the projects’ affordable housing to increase their retail footprint, but the program has yet to see results.

Brittany Behr and her fiance Leland Bond moved to the San Miguel neighborhood about four years ago. They frequent the small and family-owned businesses at Fair Oaks Plaza, which they said are the only restaurants and grocery stores within walking distance of their neighborhood.

“We both really support housing and adding housing, especially making housing more accessible,” Behr told San José Spotlight. “The problem is, we feel that the land use is really inefficient and that sacrificing these businesses that are a backbone of the community isn’t the answer.”

Contact B. Sakura Cannestra at sakura@sanjosespotlight.com or @SakuCannestra on X.

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San Jose City Council unanimously approved a $73.7 million multifamily housing revenue bond on June 10 to close the remaining gap needed to finance the $160-million affordable housing development with developer Affirmed Housing. The 191-apartment complex will be 100% affordable housing, with 128 onsite parking spaces.

“Without the city’s funds, the project would be significantly delayed. These funds are pivotal to the project’s success,” Rob Wilkins, Northern California vice president of Affirmed Housing, told San José Spotlight.

The Arcade at 1371 Kooser Road will offer 139 apartments for those making 40% to 70% of the area median income, or between $73,700 and $129,010 for a family of four. In addition,  50 apartments will be set aside for unhoused residents and those making less than 30% of the area median income, or under $55,290 for a family of four. Two apartments will be for management. The 7-story development will feature 50 three-bedroom apartments, 48 two-bedrooms, 18 1-bedrooms, and 75 studio apartments.

The building will be partially powered by solar and have energy-efficient appliances, in addition to an outdoor area for hosting barbecues, a computer room and free VTA passes for all residents.

Construction was originally scheduled to start in 2023, but Wilkins said financing took longer than expected. Construction will commence next month, with an anticipated December 2027 completion date.

Vice Mayor Pam Foley, whose District 9 includes The Arcade site, did not respond to requests for comment.

Affirmed Housing has multiple affordable developments underway. The Berryessa Transit Center project will add 195 affordable apartments to North San Jose. The developer will transform the busy transit corridor on King Road, which runs runs parallel to the site, with several miles of bus-only lanes, bike lanes and 29,000 feet of walkways.

Last year, the developer received a $38 million grant to build the Berryessa apartments. The grant came from the Affordable Housing and Sustainable Communities Program, which finances projects that integrate affordable housing and environmental sustainability.

Affirmed Housing has also developed four other properties in San Jose, including Villas on the Park, San Jose’s first affordable housing development built with Measure A money, Vitalia, Fairways and Vela.

The Arcade will be the developer’s second largest project in San Jose, after the Berryessa site.

Alex Shoor, cofounder and executive director of nonprofit Catalyze SV, said the more affordable housing developed in San Jose, the better.

“Everyone is touched by the housing shortage,” Shoor told San José Spotlight. “How great will it be to have your neighbors who are homeless no longer be homeless and just be neighbors living in the apartment near you? That’s a whole lot better for everyone involved. Every homeless individual that we can get into housing in the neighborhood means they’re not on the street, on your street corner.”

Contact Joyce Chu at joyce@sanjosespotlight.com or @joyce_speaks on X.

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The San Jose Planning Commission held a public hearing Wednesday for Alviso neighborhood residents living near a proposed 100% affordable housing project by developer Cloud Apartments at 7 Topgolf Drive. Housing advocates with organizations like CatalyzeSV and the Greenbelt Alliance said the eight, seven-story buildings would alleviate the need for more housing and retail in the area — but not everyone agrees.

Richard Santos, a longtime Alviso resident and neighborhood advocate who represents the area on Valley Water’s board of directors, said the buildings would be a misuse of the established green space surrounding Topgolf and create traffic congestion. He also pointed to city officials finding the project to be inconsistent with existing development zoning policies in the area.

“This will not be a complimentary welcome to our laid-back community,” Santos told San José Spotlight. “During heavy traffic, 49er games and concerts, this bumper-to-bumper traffic cuts through the Alviso community … This would put our library, our kids and senior citizens in unsafe situations.”

Cloud Apartments is looking to invoke a state law known as “builder’s remedy,” which allows developers to bypass local zoning requirements when a city is late getting a state-certified housing plan.

District 4 Councilmember David Cohen, whose district includes the project, wants the developers to involve Alviso residents in the planning process.

“I have encouraged the developers of the project to engage in robust community engagement,” he told San José Spotlight. “They are attempting to invoke state laws that allow them to bypass city zoning and council input, so I hope they listen to the community feedback they receive.”

The project qualifies under builder’s remedy because San Jose’s state-mandated housing plan was out of compliance when the developer first submitted the application. Planning department officials will make a final determination at a later date.

“The purpose of the item before the Planning Commission is not to approve or deny the project but to provide an opportunity for the public and local government officials to comment,” Planning Director Chris Burton said in a recent memo. “The project proponent believes the project qualifies for Builder’s Remedy because it provides housing for low-income households.”

More than one dozen residents spoke at the planning commission meeting, with most joining Santos in opposing the project for similar concerns.

Chair Anthony Tordillos remained neutral throughout the two-hour discussion, and encouraged the developers to increase community benefits and take residents’ concerns into consideration. The project can be approved by planning department officials without additional public hearings.

“This is a very interesting project,” Tordillos said at the meeting. “We’re looking at a type of housing that we don’t often see come before the commission, a middle-income project that is not reliant on any public subsidy.”

All 780 apartments will be affordable for households making 80% of the area median income (AMI) — $159,550 per year for a family of four in Santa Clara County.

A San Jose planning department spokesperson said the developer can choose to modify the project after Wednesday’s hearing.

“Builder’s remedy is what makes this project possible as it’s not in an area zoned for housing,” spokesperson Marika Krause told San José Spotlight. “Builder’s remedy may allow the project to go through a more streamlined review process.”
Catalyze SV Executive Director Alex Shoor said his members support the project for its affordability, proximity to transit and inclusion of 16,238 square feet of commercial space.

He said he wants to see the developer lower the AMI threshold to make the apartments more accessible to lower income families.

“Our members would love to see that number come down a little bit, or diversify so we get 60%, 50% and 30% AMI on at least some of the units, because as you know, 80% of AMI is still so expensive,” Shoor told San José Spotlight. “North San Jose is an area that is prime for building new communities, some areas feel like a blank canvas.”

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The City Council voted unanimously June 17 to approve loans totaling $72.5 million to nonprofit Community Development Partners to build an affordable housing 160-apartment complex at 525 N. Capitol Ave., of which a little more than $25.7 million is through lender Citibank. A portion will be funded by Measure E, a property transfer tax voters approved in 2020. Councilmembers made the decision without discussion.

A June 13 memo from Housing Director Erik Soliván stated $130 million will be needed to finance the project. Solivan’s memo breaks out how the project will obtain the financing through a series of loans, fees and other measures. Santa Clara County officials committed to loaning $8 million to the project in 2023 when Community Development Partners first announced the plans. Construction is expected to break ground next month and be done by April 2027.

“We need more housing for residents at all income levels in San Jose,” Deputy Housing Director San Banu told San José Spotlight. “The project at 525 N. Capitol Ave. is leveraging city financing to deliver 160 units of deeply affordable housing, including permanent supportive units for individuals who aren’t self-sufficient, and apartments set aside for military veterans.”

The apartments range from studios to three-bedrooms and 71 will be affordable to people making 30% of the area median income — $68,320 annually for a family of four in Santa Clara County. There will be 25 apartments affordable to people making 50% of the AMI and 62 for those making 60% of the AMI.

City housing officials increased the recommended loan by $5 million after Housing Trust Silicon Valley withdrew a $5 million pledge.

“There are many projects that need funding. As this project neared closing, the financing gap was filled by other sources, which allowed us to redirect our support to other affordable housing developments,” a Housing Trust Silicon Valley spokesperson told San José Spotlight.

Of the $15 million in Measure E funds dedicated to the project, about $1.7 million was allocated from the fund’s “extremely low income” housing priorities.

Councilmembers voted earlier this month to reallocate permanent affordable housing funds from Measure E in the 2025-26 budget and dedicate $39.2 million to propping up temporary shelter to address growing homelessness.

Mayor Matt Mahan made emergency interim housing a centerpiece of his budget plan this year and successfully proposed redirecting as much as 90% of Measure E dollars for temporary shelter.
Community Development Partners President Kyle Paine said they’re grateful to the city for its support.

Contact Vicente Vera at vicente@sanjosespotlight.com or follow @VicenteJVera on X.

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Housing Trust Silicon Valley, a nonprofit community development group, announced on June 11 it will award a $50,000 grant to the School of Arts and Culture at Mexican Heritage Plaza. As the plaza celebrated 25 years in San Jose, school leaders said they want to bring health care, affordable housing and economic development to the Mayfair neighborhood through “La Avenida,” a cultural district meant to attract development.

“We recognize that the strength of our region’s affordable housing ecosystem is rooted in the capacity of community-based developers who are deeply connected to the neighborhoods they serve,” Housing Trust Silicon Valley CEO Noni Ramos said in a statement.

School of Arts and Culture representatives said they have raised more than 90% of La Avenida’s $30 million goal — but need community help filling the gap. The $50,000 grant will be used to purchase a mostly vacant property on 1747-1785 Alum Rock Ave., directly across from Mexican Heritage Plaza.

The district is envisioned as a 6-acre mixed-use development with affordable housing, local businesses and social service providers. The projects aim to address threats of displacement in the Mayfair neighborhood and greater East San Jose.

“A fully developed La Avenida would be a major win for East San Jose and for the city’s broader economy. With major events coming in 2026, we need to invest in our cultural, business and entertainment districts beyond downtown,” San Jose Chamber of Commerce CEO Leah Toeniskoetter told San José Spotlight, referring to SuperBowl 60 and the FIFA World Cup. “This project brings investment, local ownership and jobs to a historically underserved corridor — and helps to position San Jose as a city that grows inclusively.”

SV Creates CEO Alexandra Urbanowski, also a School of Arts and Culture board member and San José Spotlight columnist, said the $50,00 grant is an important recognition of the leadership role the school plays in the local arts community, as well as in the Alum Rock and East San Jose neighborhoods and business districts.

Alum Rock Santa Clara Street Business Association leaders said a recent $100,000 grant will go toward building a gateway structure for the upcoming cultural district.

“The school is well positioned to lead the further development of an important cultural district in our city, which will demonstrate how the arts can be pivotal in building community health, social cohesion and economic vitality,” Urbanowski told San José Spotlight.
City officials voted last month to add La Avenida to the list of entertainment zones with reduced alcohol consumption restrictions ahead of the 2026 Super Bowl and World Cup events.

“The grant will help the school build its infrastructure and capacity to provide equitable access to arts programming for residents, pay to local artists and resources for all the smaller arts organizations that call the Mexican Heritage Plaza home,” Urbanowski said. “What a nice message today to counter recent federal funding cuts to the arts.”

Contact Vicente Vera at vicente@sanjosespotlight.com or follow @VicenteJVera on X.

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Planning Director Christopher Burton on Wednesday approved a Chick-fil-A at 255 Race St. off West San Carlos Street because the location is considered underused — despite a longstanding family restaurant operating at the site. The decision solidifies the prior agreement between the property owner and the Mexican restaurant owner requiring him to relocate.

Tom Spilsbury, who represents landlord Rosemary Zotta, said Chick-fil-A isn’t displacing Taqueria Eduardo — rather he himself is responsible for displacing the restaurant.

“Eduardo’s Taqueria signed a document in 2020 noting their awareness of the pending redevelopment of the site and their need to relocate. This occurred prior to Chick-fil-A’s involvement with the site,” Spilsbury said at the hearing. “This site is the goal of the owner of the property, they would like a long-term relationship, specifically with Chick-fil-A.”

Residents and housing advocates said the project is inconsistent with the West San Carlos Urban Village Plan, and criticized the displacement of Taqueria Eduardo.

“The project creates a covered patio on the street corner, a low barrier gathering space which can contribute to vibrancy in the area, supporting the community pride of place, vision element and incorporates mid-century design elements,” San Jose Project Manager Jason Lee said at the Planning Director’s Hearing.

Martinez said he’s disheartened to learn he couldn’t continue a business relationship with Zotta, and has yet to find a location suitable for the next Taqueria Eduardo.

“We want to thank our customers again for all of the support, and our Bascom Avenue location is still open,” he told San José Spotlight.

The Buena Vista Neighborhood Association launched a petition in support of Taqueria Eduardo owner, with more than 3,400 signatures, urging residents to drive Chick-fil-A away. Chick-fil-A pulled its request in Campbell last year after residents voiced opposition. It was the franchise’s second attempt to open there after the initial permit was denied in 2020.

Martinez said he’s owned his Mexican restaurant at the Race Street location for more than 20 years, and losing the business is set to devastate his family’s finances. The restaurant has another location at 375 S. Bascom Ave., but Martinez previously said the Race Street location is the money maker.

“What more could we do? It sounds like everything is already a done deal,” Martinez told San José Spotlight before the vote. “My landlord told us ‘Look, it is what it is.’ She has always been kind to us.”

A Chick-fil-A spokesperson said most local owners only run a single location, so they can be truly embedded in their community, and can create more than 80 jobs.

​“Chick-fil-A is committed to being a good neighbor and contributing positively to the communities we serve. We are actively engaging with community leaders to understand and address the feedback,” the spokesperson told San José Spotlight.
District 6 resident David Moore said the city should look for ways to improve the area with its existing businesses rather than pledging change in the name of Chick-fil-A.

“We should be championing and finding ways to invest in, to create a vision of development that is consistent with urban sprawl and not just a total lack of imagination and community partnership for a national chain,” he said at the meeting. “I don’t understand.”

Contact Vicente Vera at vicente@sanjosespotlight.com or follow @VicenteJVera on X.

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The San Jose City Council voted unanimously Tuesday to deny plans to construct 135 homes and 15,000 square feet of commercial retail space at 826 N. Winchester Blvd. Neighborhood residents who rallied against the project included Lindy Hayes — daughter of former Mayor Janet Grey Hayes. Longtime homeowners told city officials they don’t want a giant apartment building disrupting their neighborhood, even when representatives for developer VCI Companies said they could shrink the project down to 11 stories.

“We need housing of all types and for all income levels. However, at its core, the proposed project was inconsistent with San Jose’s general plan and was outsized for the Cory neighborhood,” District 6 Councilmember Michael Mulcahy told San José Spotlight. “We informed the Planning Commission and staff that the Winchester corridor as a whole should be looked at more intentionally for right-sized, mixed-use housing options during the general plan review and update about to commence.”

Neighbors said they disagreed with the proposal to turn the property into a “transit residential” zone because BART and Caltrain stations are miles away, potentially leading to traffic and parking issues for existing residents.

“This was truly a neighborhood effort. So many neighbors showed up that the chambers were filled and an overflow room had to be opened,” Lindy Hayes told San José Spotlight. “Neighbors carried signs, wore colors, cheered on their feet both at the beginning and end of the meeting and spoke passionately.”

Citywide housing activists and labor leaders, however, disagreed and said the West San Jose area was ripe for an apartment complex to replace the existing vacant building.

Catalyze SV Executive Director Alex Shoor has long advocated for San Jose to hit its goals of building thousands of new homes per year — but he said the city won’t get there if it keeps denying projects based solely on neighborhood complaints.

“It’s crucial we talk about who isn’t here tonight: students coming home from college, working families, undocumented San Jose residents fearful right now and the next generation of tech workers taking jobs here,” Shoor said at the meeting. “We’re building a city for all of them, that’s why Catalyze SV exists, and that’s why our members want housing to move forward at this site.”

Many organizations like the Housing Action Coalition and NorCal Carpenters Union Local 405 representative Rigo Gallardo echoed Shoor’s comments, but a majority of the more than 40 speakers spoke against the apartment complex.

VCI Companies representative Kelly Erardi said the property in question had been abandoned for five years before they picked it up.

“I appreciate the Cory and Santa Clara neighbors for their strong, respectful turnout and the professionalism of the applicant, VCI Companies, who took the loss and council direction very well,” Mulcahy told San José Spotlight.

He told councilmembers he was happy to see the Hayes family continuing to engage in communities like the Cory Neighborhood Association.

“Planning staff has done a thorough job identifying why changing this site to transit residential would work against the city’s goals for focus growth, and this applicant has known for a very long time that this was the position of planning staff,” Mulcahy said at the meeting. “All the while, a swelling chorus of neighbors formed and mobilized the concerned Cory neighbors against it.”
Mulcahy said he understands the city is going through a housing crisis, but West San Jose’s District 6 is already adding its “fair share” of housing, with 23% of all homes under construction in the city, despite only making up about 10% of the population.

“We are extremely grateful to the city council for preserving the vibrancy of our neighborhood in this way,” Lindy Hayes told San José Spotlight.

Contact Vicente Vera at vicente@sanjosespotlight.com or follow @VicenteJVera on X.

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The San Jose City Council on June 3 unanimously approved up to $5 million in loans for the “Gateway Tower” project, a 15-story 220-apartment development between 493 S. First St. and 480 S. Market St. in downtown — with half of the homes set to be affordable to extremely low-income households. The Santa Clara County Office of Supportive Housing is also contributing more than $25 million toward purchasing the property and construction. The developer is The Core Companies.

“I’m so pleased that the Gateway Towers project is going to become a reality,” District 3 Councilmember Carl Salas told San José Spotlight. “There are 220 units, and all are 100% affordable. Of those 220 units, 55 are rapid rehousing units. Given San Jose’s desperate need, and Core’s long history with great projects, this will be a great step forward.”

Campaign finance records reviewed by San José Spotlight show the project advanced after executives with The Core Companies contributed more than $12,000 to the most recent political campaigns of multiple councilmembers.

Amended political donations laws in 2022 sparked real estate experts and lobbyists to warn the change could make for a rocky learning curve among elected officials and developers doing business with the city. Local elected officials must disclose if they’ve accepted more than $250 from the developer or their lobbyists in the past 12 months if a related proceeding comes up for a vote, under the Levine Act.

Statewide legislation amended the amount to $500 starting Jan. 1, 2025.

Campaign finance records show The Core Companies Vice President Vince Cantore made a $250 contribution to District 6 Councilmember Michael Mulcahy’s campaign on Aug. 29, 2024, and another $500 contribution on Oct. 23, 2024 — bringing the total to $750 within one year of the June 3 vote.

Mulcahy received at least $4,900 in campaign donations from executives and family members with The Core Companies in 2024. Neither parties disclosed the financial contributions during this month’s city council discussion.

State law permits elected officials who don’t willfully and knowingly accept, solicit or direct a prohibited contribution to cure the violation by returning it.

“Thank you for bringing this to our attention. This had no bearing on Councilmember Mulcahy’s vote,” Mulcahy’s spokesperson Jessica Hellman told San José Spotlight. “Moving forward our office will take additional precautions to ensure greater diligence on these matters. The councilmember will return the contribution.”

Mulcahy refunded $50 in contributions from Cantore, filings show. He told San José Spotlight he refunded another $200 one day after this news organization inquired about the potential Levine Act violation.

The Core Companies has at least 18 existing housing developments in San Jose, and many more across Silicon Valley, according to its website. The company first proposed the “Gateway Tower” almost 10 years ago and struggled to find financing until the city and county stepped in. The project is also receiving tax breaks thanks to San Jose’s downtown high-rise incentive program.

Thousands of dollars were also donated under the names of The Core Companies chairman and founder David Neale’s wife and daughter-in-law, according to public records — including a $3,000 contribution to Mayor Matt Mahan’s reelection campaign. Neale’s daughter-in-law also donated $700 to District 10 Councilmember George Casey’s campaign on June 11, 2024.

Chris Neale, president of The Core Companies, contributed $1,400 to Mulcahy’s 2024 campaign. He said the company has been a San Jose-based business and community member for more than 35 years and has made many political and philanthropic contributions over that time.

“We have a vested interest in the well-being of our community, and the donations were not, nor have they ever been, made to influence the city on behalf of a specific Core project,” Chris Neale told San José Spotlight.
Additional councilmembers who received donations to their most recent political campaigns from The Core Companies and its associates include $1,400 toward now-Vice Mayor Pam Foley’s 2022 reelection campaign, and donations of under $1,000 toward the election campaigns of Councilmembers Pamela Campos, David Cohen, Rosemary Kamei and Peter Ortiz.

Sean McMorris, a leading political transparency expert with California Common Cause, said developers have a duty to disclose their donations if they fall under campaign finance laws.

“They have to be more cognizant of this law in the future, there’s a learning curve here,” he told San José Spotlight. “Politicians don’t like this law because it’s doing what it’s supposed to do, which is to prevent the appearance of pay-to-play.”

Editor’s note: A previous version of this story did not include the total amount of money Mulcahy refunded.

Contact Vicente Vera at vicente@sanjosespotlight.com or follow @VicenteJVera on X.

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The Los Gatos Thrives Foundation, a nonprofit focused on helping older adults, recently unveiled conceptual designs of a potential new community center. The designs signal the start of plans to build a multigenerational community center in a town that’s been without one for years.

It’s something Los Gatos residents overwhelmingly want, especially because the town’s two small recreation centers for youths and adults have limited capacity for events. Approximately 76% of residents said the town needs a new community center, according to data from a Los Gatos Thrives Foundation survey of more than 1,800 people. They want a range of amenities too, including outdoor patio seating, a large community room, a performance space, small meeting and event rooms, fitness class rooms, a teen center room, a full-service kitchen and outdoor sports courts.

The nonprofit aims to find a site for the center by the year’s end, but it’s too early to know how much it will cost, how it’ll be funded or when it could be completed.

Ryan Rosenberg, chair of the nonprofit’s community center campaign, called the community center a longstanding need in Los Gatos. He said the town doesn’t have many meeting spaces and has to limit its recreational activities because of its small facilities. He’s leading the campaign to create a community hub for young people like his two sons.

“I want to do this for them, and it’s for the next generation beyond that,” Rosenberg told San José Spotlight.

Los Gatos once had a community center, which opened around 1966 at 123 E. Main St. before the site was transformed into the youth recreation center there now.

Town officials proposed a new 32,000-square-foot community center in the 2007 Civic Center Master Plan, alongside library renovations. Los Gatos completed the library in 2012, but the community center never got off the ground because funding ran dry.

Mayor Matthew Hudes, speaking on behalf of himself and not the Town Council, said that history has left a gap in Los Gatos’ services.

“At one point, Los Gatos was a leader in doing things when we were smaller, but we’ve kind of lost that at this point,” Hudes told San José Spotlight. “We just haven’t kept up.”

Other surrounding West Valley municipalities have modern community centers for their residents.

Cupertino’s Quinlan Community Center opened in the 1990s and gets approximately 1,500 weekly visitors, according to city officials. The capacity of its largest room is 280 people, where it often hosts its state of the city event. In Campbell, the community center provides free and affordable lunches for older adults and teaches people to swim in its pool. It has a track and field, tennis courts and other recreational services.
Tanner Goulden, president of Los Gatos High School’s community center club, said a new facility could serve as a “third place” for students outside of home and school. He said it could create an equitable space for teens to hang out because of its free resources.

“When you look at young people and old people and anybody in between, I think that the opportunity for social connections in a community center is just really amazing and really exciting,” Goulden told San José Spotlight.

Rosenberg said Los Gatos is ready for a community center.

“The town has recognized for a long time that it needs this. It just hasn’t been able to make it happen,” he said. “Now’s the time.”

Contact Annalise Freimarck at annalise@sanjosespotlight.com or follow @annalise_ellen on X.

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The Los Gatos Town Council voted 3-2 May 27 to approve a 30-home, mixed-use development located at 143-151 E. Main St. across from Los Gatos High School. Mayor Matthew Hudes and Councilmember Mary Badame voted no. Plans from owner CSPN LLC include a 4-story project with six affordable homes and ground-floor retail on nearly half an acre. Plans are to demolish the existing buildings where Cafe Dio and A & G Construction are located on Church Street — a prime drop-off and pick-up location for the roughly 1,900 students attending the high school.

The development, which will provide between 37 and 49 parking spots, is the first builder’s remedy project reviewed by the council. The state law allows developers to bypass local zoning requirements when a town is late getting a state-certified housing plan, meaning there’s limited capacity to deny these types of proposals. It’s unclear when construction will start and if Cafe Dio will lease the 2,416 square feet of retail space.

Los Gatos High School Principal Dave Poetzinger is glad the council’s approval included requiring the development team to meet regularly with school staff until the project is completed, along with a restriction on construction vehicles entering or exiting the project during peak traffic times.

But Poetzinger worries about the safety of his students and staff because he’s already seen two students sent to the hospital this school year due to car collisions. Even if the project only adds an average of 17 new car trips and lessens trips during peak pick-up and drop-off times, according to the traffic study, Poetzinger said the streets are already congested.

“We want to take care of our people and make sure that they’re safe every day,” he told San José Spotlight.

Hudes agreed with Poetzinger and wanted to use the provision of builder’s remedy that allows jurisdictions to deny proposals that will harm the community’s well-being. Hudes said he’s observed the site for about six hours during peak times and seen how dangerous it is.

“The builders have a right to do what their rights are under state law, but they, as far as I can tell, don’t have the right to create health and safety issues,” Hudes told San José Spotlight.

CSPN LLC did not respond to requests for comment.

Kenneth Rodrigues, founder of KRP Architects, said his client wants to use the highest quality materials and make it a special project.

Councilmember Rob Rennie sided with the majority, saying future residents will likely use their cars less because the project is in the heart of town. The developer could also sue the town if it denied the project wrongfully under builder’s remedy.

“I think it would help the vitality of downtown by having more people that can easily get there without driving,” Rennie told San José Spotlight.
Los Gatos must accommodate building at least 1,993 new homes by 2031 to comply with state housing mandates. The development spike across town has stirred controversy among residents, including plans for more than 100 homes where Ace Hardware is located.

Poetzinger said the developer needs to understand the effect of additional traffic around the high school. He looks forward to working with them in the coming months.

“We have a big problem because we’re all a part of this community,” he told San José Spotlight “This traffic that (they’re) bringing into this spot is going to contribute to greater unsafe conditions.”

Contact Annalise Freimarck at annalise@sanjosespotlight.com or follow @annalise_ellen on X.

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