Sunnyvale moves to preserve commercial space in Village Centers amid housing push

The Sunnyvale City Council approved new enhancement standards last week for the city s seven Village Centers requiring designated commercial spaces in an effort to preserve retail and locality services as developers seek to build housing Related Articles Housing might sprout on site of proposed San Jose hotel advancement Stagnation hobbles rise for Santa Clara County real estate values Will Democrats big changes to landmark California environmental law lower housing prices California approves largest part major environmental law rollback in decades Docs Alleged bribe came before East Bay homebuilders played all legal cards The sites first identified in for redevelopment into concentrated hubs of housing and retail are part of the city s long-term efforts to add housing and promote walkability The new standards outlined in the Village Centers Master Plan establish zones for commercial and office space within the centers among other requirements Such planning aims to balance residential improvement with retail in light of previously approved projects that prioritized housing and displaced existing businesses Not all of the Village Center sites have undergone redevelopment yet it is up to developers to propose projects Since however three approved projects have significantly reduced the amount of commercial space at the site in favor of residential units This according to city staff was enabled largely by changes in state law that limit local control over improvement Our general perspective is that we can work with the developer and talk to them about what the area interest and desire is and try to persuade them to do things differently but otherwise they have a lot of ability to say Well that doesn t work for my project ' Trudi Ryan Sunnyvale s area enhancement director recounted this news organization Four additional project proposals are presently under review but will not be subject to new standards because they were submitted before the plan was adopted Any new proposals moving forward must follow advance requirements During last week s hearing councilmembers and city staff emphasized that the city s flexibility is limited If Sunnyvale fails to meet state housing construction goals the state can decertify its Housing Element the city s roadmap for meeting housing targets through and allow developers to maneuver around city zoning rules You can kiss any retail goodbye in one of those scenarios announced Councilmember Alysa Cisneros She declared the City Council and city staff have been working for years on the plan to ensure outcomes are as ideal as we can make them in a very unideal circumstance where we have limited control District outcry has been especially strong in north Sunnyvale where residents say redevelopment plans could eliminate the limited affordable grocery stores and family-owned restaurants they rely on and cherish Plazas along Duane Avenue and Lawrence Expressway are among the sites slated for redevelopment with two townhouse proposals submitted last year that utilize state law to potentially override the city s vision for the centers Even with new commercial zoning requirements within Village Centers small businesses may still struggle to return after construction If developers absolutely demolish the existing commercial space and rebuild it Ryan explained they are likely to charge higher rent which small businesses may not be able to afford And even if the small businesses can afford the increased rent they may have nowhere to relocate during demolition and construction which can take years