An exemption for a proposed housing complex ignited discussion about the viability of retail throughout the city as well as the need for higher density. 

At its most recent meeting Sept. 22, the Santa Clara City Council considered whether to allow for the annexation of a parcel of San Jose land that would allow a 408-unit housing complex, located at 451 El Camino Real, to move forward.

In order to proceed with the development, proposed by Bixby Land Company, the council needed to approve annexing .94 acres of San Jose land. But state law allows the developer to opt out of providing retail on the site. It also allowed the developer to ignore setback and height requirements because it met specifications for below-market-rate units.  

“I just find it very odd that a mixed-use regional commercial site has zero retail,” said Council Member Kevin Park. “People aren’t going to go to retail for one or two stores. They would rather go to retail for a variety of stores. I think that by not fixing this problem, by not addressing this problem, we are just making this problem worse.”

Council Member Raj Chahal shared Park’s concerns over the loss of retail throughout the city.

The council only needed to approve the annexation. Project approval will be handled in-house with city employees, said Afshan Hamid, the city’s community development director.

The site is 11.1 acres, hosting 111 townhouses and an apartment complex with 297 apartments, which amounts to 37.2 dwelling units per acre. The site is zoned for 37 to 50 dwelling units per acre. 

Hamid said the benefits of the project included assisting the city in meeting state-mandated housing goals, conformance with the general plan, as well as the project being near a transit hub. She said the development is in line with the city’s goal to “stimulate development near high traffic corridors.”

“If anyone is ever saying that Santa Clara is not doing its part to help with the housing shortage, they are not looking at our agendas,” said City Manager Jovan Grogan.

The five-story development will retain the hotel and office building onsite while demolishing four other office buildings and two parking garages.

The planning commission approved the project in a 5-0 vote.

Leatha Clark, vice president of development for the developer, said the site is well-suited for residential development given its proximity to the Santa Clara Bay Area Rapid Transit (BART) station, the amenities and retail, as well as jobs.

Additionally, the developer is providing $1 million in street improvements, including bike lane and traffic signal improvements, and $15 million in park fees. 

Housing advocacy group Catalyze SV rated the development 3/5. 

Alex Shoor, executive director at Catalyze SV, called the area a “massive potential for growth.” While his group did not recommend the project, it also didn’t oppose it. Overall, he said, his group would like to see more density on the site.

Others agreed.

“This recommendation is all about what is good for the developer and not what is good for the city of Santa Clara,” said Mark Kelsey, a public commentator.

Park repeated his comments, bemoaning the city’s loss of retail, saying “piecemeal retail isn’t working.”

But Mayor Lisa Gillmor pushed back, saying “there is no market there.” Activating the area now is better than waiting around for it to become viable, she added.

“Do we really want to wait for this imagined time in the future?” she said.

In a 4-1 vote, the council approved the annexation. Park dissented. Council Member Kelly Cox left the meeting early and didn’t participate in the deliberations.    

Santa Clara City Council Consent Calendar Spending

The council approved the following spending in one motion via the consent calendar:

• A $331,928 purchase orders and/agreement with Syserco, Inc. for maintenance, repair, programming, technical support, and services for the city’s Alerton HVAC control systems.
• A $110,708 increase to a purchase order with D & D Learning Spaces for the purchase, delivery, installation, and removal of office furnishings for the city offices. The total is now $328,828.
• A $321,168 increase to a purchase order with Atlas Copco Rental for the continued rental of an air compressor at the Donald Von Raesfeld Power Plant through approximately March 31, 2028. The total is now $921,168.
• A $30,000 contract with Baker Tilly for performance evaluations for the city manager and city attorney.
• A $200,000 increase to an agreement with American Power Solutions, Inc. for citywide LED lighting retrofit and replacement. The total is now $1.14 million.
• A $408,599 purchase order with Industrial Plumbing Supply for the Levi’s Stadium restroom plumbing fixtures.  

The next regularly scheduled meeting is 7 p.m. Tuesday, Oct. 6 in the Council Chambers at City Hall, 1500 Warburton Ave. in Santa Clara.

Members of the public can participate in the city council meetings on Zoom at https://santaclaraca.zoom.us/j/99706759306; Meeting ID: 997-0675-9306 or call 1 (669) 900-6833, via the City’s eComment (available during the meeting) or by email to PublicComment@santaclaraca.gov

Contact David Alexander at d.todd.alexander@gmail.com 

Previous Santa Clara City Council Meetings:
Stadium Finances Spark Discussion About Future of Levi’s Stadium
Santa Clara Handwaves VTA Civil Grand Jury Report
Santa Clara Continues to Add Housing — at the Cost of Retail
Sparks Fly Over State-Protected Townhouse Development