SANTA CRUZ >> The eight-story Clocktower Center mixed-use development at 2020 N. Pacific Ave. in downtown Santa Cruz will move forward after the project was approved by the city’s Planning Commission Thursday evening.

Following the meeting’s oral communications component, where community members can speak to items of concern not listed on the meeting agenda, Santa Cruz Senior Planner Timothy Maier gave a presentation about the project in its current, modified form. In March 2024, the project developer, Workbench, submitted a preapplication with two alternate sets of plans: an eight-story mixed-use structure with 174 housing units and a 16-story mixed-use building with 260 housing units, which the developer ultimately abandoned.

Workbench later decided to move forward with a modified version of the eight-story project, which is approximately 170,000 square feet with 178 residential units, about 2,700 square feet of commercial and residential amenity space and 100 parking spaces.The Clocktower Center project is about 90 feet high and spans two lots that are roughly a half-acre in size. The lots are currently occupied by the now vacant Santa Cruz County Bank at 2020 N. Pacific Ave., the Rush Inn bar at 113 Knight St. and a real estate office at 115 Knight St. The existing buildings will be demolished, and the two heritage redwood trees and four street trees on the property will be cut down to make way for the building.

“And of note, no modifications to the clock tower or the park are proposed to take place as part of the project,” Maier said.

He then summarized the public feedback received at the three community meetings that were held on the contested project.

“Feedback at the public outreach meetings was mixed,” said Maier. “With many expressing concern about building height, proposed parking capacity and traffic impacts, along with other topics, while some participants did express support for the project.”

According to the latest version of the project plans, of the 178 housing units in the upper seven floors of the building, 79 would be studios, which are roughly 370 square feet, and 99 would be junior one-bedroom apartments, which are about 470 square feet. The ground floor would have a residential lobby and the commercial space fronting North Pacific Avenue and Knight Street. The ground floor will also contain the building’s parking garage with 100 spaces. The building also contains a substantial amount of “non-livable space,” which the developer will eventually convert to accessory dwelling units after entitlement.

Maier pointed out that the number of affordable units in the project had changed since the agenda report was published. The current version of the project contains 30 units that are considered affordable by the state, with 14 units set aside for those considered making very low-income, four units for those making low-income and 12 units at the moderate income level, which are based on the county’s area median income for a family of four.

The inclusion of the affordable units in the project allows the developer to take advantage of the state’s Density Bonus Law. Under the law, the project qualifies for unlimited waivers and three concessions. Workbench is asking for increased floor area ratio and building height, reduced sidewalk width and building setbacks, and allowing the balconies to encroach into the public right-of-way 4 feet and 6 inches instead of the allowable 3 feet described in the city’s Downtown Plan, which city staff determined was not an objective standard that could not be waived.

The agenda report states: “In consultation with the City Attorney’s Office, a condition of approval has been added, requiring elimination of any encroachment beyond a distance of three feet beyond the lot lines of the subject site and requiring balcony redesign as necessary to fulfill the objective design requirements of the Downtown Plan related balcony dimensions for punctuation of the building façade.”

Commissioner Timerie Gordon asked the developer to elaborate on why they needed to build balconies larger than the city code allows. As Workbench Senior Development Manager Clay Toombs attempted to answer the question, a community member suffered from medical issues inside the council chambers and the meeting was paused for about 15 minutes while paramedics arrived.

Following a back and forth between commissioners, city staff and Toombs regarding the size of the project’s balconies, the floor was open to public comment. Community members spoke both in favor of and against the project, such as Rush Inn owner Karen Madura.

“This will shutter the small business that’s there and it will put people out of work,” said Madura. “I know that progress marches on and I know that lot will eventually be developed, but to put an eight-story building there when something much smaller would suffice and would fit in with that part of our city with ample parking would just be a lot better for everybody.”

Following Madura, who was one of several commenters that mentioned the current vacancies in residential buildings downtown, Rafa Sonnenfeld with YIMBY Law said he hoped the Clocktower Center project would be approved as is.

“I support the proposal as submitted by the applicant,” said Sonnenfeld. “I really hope we can move past these little differences about balconies and allow a project with as much housing and as many homes for people as we can possibly have.”

After numerous community members spoke, followed by a brief presentation by Toombs, Planning Commissioner Matthew Thompson made a motion to accept the staff recommendation. Commissioner Carolyn Book-Kelley then proposed a friendly amendment to accept the staff recommendation but to allow balconies that would encroach 4 feet into the public right-of-way. However, city staff pushed against the friendly amendment and Book-Kelley retracted the amendment. She seconded Thompson’s original motion to accept the staff recommendation.

The Planning Commission then approved the motion in a unanimous vote, with Commissioners Rachel Dann and Pete Kennedy absent.

To watch the meeting, visit cityofsantacruz.com.