This week in Santa Cruz County: Two more local Starbucks stores close; looking at the toll of ongoing closure of Watsonville Community Hospital’s NICU

Each week, we’re taking a closer look at the movers and shakers, the growth of industries and what’s really driving the Santa Cruz County economy. I’ll be spotlighting some of the biggest areas for opportunity, updates on local development and all things underpinning the regional business scene each Wednesday.

Got ideas? Send them my way to news@lookoutlocal.com with “Business News” in the subject line.

Two local Starbucks stores shutter amid national company’s restructuring

Two more Starbucks stores in Santa Cruz County have closed amid ongoing corporate restructuring. The stores at 2024 Freedom Blvd. in South County and 2720 41st Ave. in Soquel are among the roughly 250 locations in the U.S. to shutter as part of the second round of closures since CEO Brian Niccol took the helm. The closures come one year after the first wave of closures, during which the Starbucks cafes at 745 Ocean St. in Santa Cruz and 219 Mount Hermon Rd. in Scotts Valley shuttered.

In a public letter, Starbucks Chief Operating Officer Mike Grams said the company had reviewed its North American coffeehouses and identified locations that were underperforming. This wave of closures represents approximately 1% of the more than 18,000 Starbucks locations in the U.S. and Canada.

The Soquel location became the sixth area Starbucks to unionize last year, with local Starbucks workers leading efforts to unionize in California. Two Santa Cruz stores – the now-shuttered Ocean Street location and the one on Mission Street – marked the first Starbucks locations in California to unionize.

In a statement provided to Lookout, leaders for Workers United, which represents thousands of baristas in the U.S., said the decision to close more stores represented a betrayal of what workers and customers loved about the company. 

“As Starbucks continues to close stores, violate labor law, hike up our healthcare premiums and betray its core value of belonging to appease right-wing politicians, the company is moving farther away from everything it once was. Starbucks is becoming unrecognizable under CEO Brian Niccol, and that’s what labor allies, elected officials and customers are all joining together to boycott Starbucks until they finalize a fair union contract,” union leaders said. 

Workers United said it would be sending the coffee giant a formal request for more information about the planned closures, and that the union would work to ensure displaced workers at every impacted union store could be moved to another location.

A spokesperson for Starbucks did not immediately respond to Lookout’s requests for information.

ICYMI: Watsonville Community Hospital NICU remains closed, adding anxiety for expecting families

Staffing shortages prompted the closure of Watsonville Community Hospital’s neonatal intensive care unit in mid-July.

More than two months later, hospital officials haven’t announced a timeline for reopening, and that’s leading some expectant families to look elsewhere for their delivery plans. Watsonville’s NICU is categorized as a Level II unit, providing intermediate care to babies born at 32 weeks or later who may have mild breathing and feeding problems as well as stabilizing more premature infants before transferring them to a high-level hospital. Dominican Hospital in Santa Cruz and Salinas’ Natividad Medical Center have Level III NICUs.

Read Tania Ortiz’s article about how the ongoing closure is affecting local families, especially those who might not have as easy access to our resources.

Ch-ch-changes

• Two UC Santa Cruz professors honored by the American Geophysical Union: A national nonprofit focused on earth, atmospheric, space and ocean scientists this month recognized two UCSC professors for their contributions. Professor Jonathan Fortney, a leading authority on the atmospheres and internal compositions of planets in our solar system, received the 2026 Whipple Award. Fortney previously has worked with NASA and directs the university’s Other Worlds Laboratory. Dan Costa was named an AGU Union Fellow for his contributions to marine ecology, animal ecology and ocean conservation.
• Miches and Ceviches closes brick-and-mortar in Pleasure Point: After more than three years, Miches and Ceviches has closed its 41st Avenue location. It began as a home business before starting a food truck and eventually opening inside the former Off the Hook deli. In a post on the company’s Instagram account, owners Perla Pineda and Sergio Ferreira announced Sept. 27 was their last day at 743 41st Ave., but not the end of the business. “For now, we’re ready to take a different path and focus more of our energy on growing our catering and events business,” the couple wrote.
• Northern California collision repair company opens in Watsonville: G&C Auto Body, a Santa Rosa-headquartered collision repair company, opened its newest location, at 2031 Freedom Blvd., last week. G&C Auto Body Watsonville is the company’s 67th location. The family-owned company was founded in 1972.

Got hires, promotions or departures to report? Send them to news@lookoutlocal.com with the subject line “Career changes.”

Looking at the numbers

• $13.5 billion: That’s the amount U.S. consumers are expected to spend on Halloween this year, according to the National Retail Federation’s annual consumer survey. That’s higher than last year’s record $13.1 billion. Candy is expected to account for $4.1 billion of that amount. 

What’s new on the Lookout Job Board

• Enterprise Project Manager II (Temporary) at Central California Alliance for Health (the Alliance)
• Development Associate at Cabrillo Festival of Contemporary Music
• Digital Scholarship Associate at UC Santa Cruz
• Dining Cook at UC Santa Cruz
• Utility Service Representative, Field at Scotts Valley Water District

Want more? Browse all openings on our job board. | Hiring? Post your job today!

Save the date

• Wednesday, Sept. 30: The next Women in Business mixer is slated for 5 to 7 p.m. at Grey Bears’ facility at 2710 Chanticleer Ave. in Live Oak. Anyone who brings a can of food to donate will be entered in a raffle. Register here.
• Wednesday, Oct. 7: Santa Cruz Works will hold its next New Tech event at 6 p.m. at RiverRow, 444 Front St. in downtown Santa Cruz. Presenters include executives from Feanix Bio, Upsite, Firtop and Revida Reuse. Tickets and registration here.
• Thursday, Oct. 8: The Santa Cruz Area Chamber of Commerce will host its next Women in Business Summit from 9 a.m. to 3 p.m. at Mission Springs, 1050 Lockhart Gulch Rd., Scotts Valley. Registration is here.
• Friday, Oct. 16: Santa Cruz Junior Guards will celebrate 60 years in existence with an event at the Museum of Art & History from 5:30 to 7:30 p.m. Longtime instructor Jack Dufour and past and present leaders and guards will speak about the organization’s origins. A short film about the organization will also be shown. Tickets are available here.
• Saturday, Oct. 17: The Startup World Cup, a global competition and conference for startups, is coming to Santa Cruz. Those interested in participating must apply to be selected for a chance to pitch their company and win an opportunity to represent Santa Cruz at the national competition in San Francisco. The event will be held at The Catalyst nightclub in downtown Santa Cruz from 9 a.m. to 5 p.m. To purchase tickets, go here. 
• Thursday, Oct. 22: The Monterey Bay Economic Partnership will host the Creative Economy Summit, bringing together business leaders, community leaders and innovators from Monterey, San Benito and Santa Cruz counties to explore the role that arts and culture play in the region’s economic future. The event will be held from 10 a.m. to 2 p.m. at the Watsonville Civic Plaza. Register here.
• Friday, Nov. 13: The Aptos Chamber of Commerce will hold its annual awards dinner and auction from 5 to 9 p.m. at the Seascape Beach Resort. For tickets and registration, go here.

Add your business or networking events to Lookout’s free public calendar, BOLO. Click here to add your event.

Business news worth reading

• California farmers are struggling to sell grapes as demand for wine drops (The Associated Press)
• Historic California golf club designed by Pebble Beach architect eyes major changes (Golfweek)
• From motorcycles to booze, U.S. ban on $1 billion worth of Canadian imports goes into effect (The Associated Press)

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