The city must permit 1,220 new homes — including 803 below-market-rate units — to meet state targets by 2032.
Town Center, Mount Hermon and Kings Village roads
A 2024 vision for the Town Center includes shops, apartments, new streets and public plazas off Kings Village Road. (City of Scotts Valley)
For more than 15 years, Scotts Valley leaders have envisioned a large development with shops and affordable housing on a vacant lot between Kings Village Road, Mount Hermon Road and Skypark.
On Dec. 4, the Scotts Valley City Council moved closer to that goal with the purchase of several pieces of land on the site from the City of Santa Cruz.
City leaders now hope to find a developer to purchase the whole property and bring the Town Center project to fruition. In 2025, city staff plan to invite proposals from developers for the property.
The city council on Dec. 4 also approved a fresh vision for the Town Center with two public plazas, apartment buildings with shops on the ground floors, and a remodeled Skypark with a new amphitheater. The vision calls for at least 300 new homes, an increase from the first vision from 2008. The vision is a preliminary guide for prospective developers, and details of the project could change, according to a city staff report.
Valley Gardens, 263 Mount Hermon Road
A 196-unit housing proposal at the former Valley Gardens Golf Course includes new streets from Mount Hermon Road to Lockewood Lane in Scotts Valley. (Robson Homes)
A 30-acre development with 196 homes has been proposed for the former site of Valley Gardens Golf Course.
The project would include
- 142 two- and three-story single-family homes, including some duplexes.
- 54 apartments in two three-story buildings.
- A new road with access from Mount Hermon Road and Lockewood Lane.
- Three buildings with businesses and eateries near Mount Hermon Road.
- About 5 acres of parks and open space.
A proposed development on Mount Hermon Road includes two three-story apartment buildings. (Robson Homes)
A draft environmental review for the project was published Aug. 30. It awaits review by the Scotts Valley Planning Commission. The development also would require approval by Scotts Valley City Council.
Read more about Valley Gardens on Santa Cruz Local’s Housing and Construction page.
Beverly Garden Apartments, 4444 Scotts Valley Drive
A below-market-rate housing proposal on Scotts Valley Drive would use state money to build 25 apartments. (BSB Design)
On Sept. 12, the city council voted to support an application from a nonprofit developer to apply for state money to construct affordable housing on Scotts Valley Drive across from Erba Lane. In February 2025, the state will decide whether to award the money.
The development would include:
- A three-story building with 25 new homes, including 24 units priced below market rate.
- 38 parking spaces.
A grant program from California Department of Housing and Community Development that gives money for new affordable housing in counties affected by recent natural disasters has earmarked $41 million for projects in Santa Cruz County.
San Diego-based CRP Affordable Housing & Community Development submitted an application to draw on that money. Awardees are set to be announced Feb. 5, 2025. The city’s letter of support for the grant doesn’t guarantee that leaders will approve the project.
Oak Creek Park, Mount Hermon and Glen Canyon Roads
A planned Oak Creek Park development includes four buildings with a total of 52 housing units and about 25,000 square feet of commercial space. (Thacher & Thompson Architects)
Three buildings at the corner of Mount Hermon and Glen Canyon roads were approved in December 2022. As of December 2024 there are “no updates” and no timeline for construction, said Greg Eger, owner of Los Altos-based developer Granum Partners.
The approved development includes:
- A single-story building with offices and businesses.
- A four-story building with 44 apartments, stores, offices and a parking garage.
- Two buildings with a total of eight townhomes.
- Seven apartments and one townhome priced below market rate.
A rendering shows the Oak Creek Park development at Mount Hermon and Glen Canyon roads. (Thacher & Thompson Architects)
Read more
- Housing and construction projects in Santa Cruz County
- Scotts Valley election results: Lind, Clark, Jett lead council race – Nov. 7, 2024
- Graham Hill housing proposal faces challenges, ownership lawsuit – Dec. 5, 2024
-Jesse Kathan, Santa Cruz Local, December 12, 2024
