Quick Take

In her weekly dispatch on Santa Cruz County business, Jessica M. Pasko reports on pop-up opportunities at a pair of Pacific Avenue spots, notes local participants in the ongoing indie bookstore renaissance and highlights names, dates and numbers to know.

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.

Downtown Pops! opportunities available at two Pacific Avenue spots

The City of Santa Cruz has added two more properties to its Downtown Pops! program, which was launched in 2021 to help businesses open downtown. Through the program, the city signs a lease with downtown commercial property owners whose spaces are vacant, guarantees a minimum rent and subleases the spaces to pop-up tenants for six-month terms. Longer-term leases can be negotiated, and Downtown Pops! tenants are eligible for up to six months of free internet service provided by Cruzio Internet and a $1,000 tenant improvement grant. 

The city has also expanded the program to include shorter-term options, particularly suited for seasonal businesses like holiday pop-ups, with flexible lease terms of one to six months. Short-term options are now available at 1117 and 1407 Pacific Ave., the former homes of Logos Books & Records and Palace Art & Office Supply, respectively. Those spaces were used for last year’s holiday market pop-up events put on by Collective Santa Cruz and Santa Cruz Mountains Makers Market. For more details about Downtown Pops! or to apply, go here.

Two local entrepreneurs join rising ranks of indie booksellers with Burning Ember set to open this week, Trailside on the way

Trailside Books is set to open soon in Aptos Village.
Trailside Books is set to open soon in Aptos Village. Credit: Kevin Painchaud / Lookout Santa Cruz

After years of declining sales and shuttered businesses, independent bookstores are once again growing. 

Last year, 422 new independent bookshops opened in the U.S., according to the American Booksellers Association. That’s been an upward trend, with the number of independent bookstores climbing by 70% over the past five years, according to recent reporting by Fast Company.

Two local entrepreneurs’ businesses will soon add to that number. 

The Burning Ember bookstore will open this week in downtown Santa Cruz, between Anthropologie and Cafe Delmarette on Pacific Avenue, with a focus on romantasy, a fast-growing literary genre that combines fantasy and romance. Just south in Aptos, the owner of Trailside Books is preparing to open her new bookstore, too.

Read more here.

ICYMI: Santa Cruz County new car sales fall 15% as gas prices, interest rates squeeze buyers

North Bay Ford on Soquel Avenue in Santa Cruz.
North Bay Ford on Soquel Avenue in Santa Cruz. Credit: Kevin Painchaud / Lookout Santa Cruz

Sales of new cars are sliding in Santa Cruz County, headed to their lowest level in more than a decade.

New passenger vehicle registrations in the county fell by more than 15% in the first nine months of 2026. Although the figures include vehicles purchased outside the county, they offer a useful indicator of local sales trends.

Lookout contributor Dieter Holger crunched the numbers to get a deeper look at what this says about the local economy and what it portends for the future. Read his piece here.

Ch-ch-changes

  • Bay Federal’s annual community giving program accepting applications: Bay Federal Credit Union is accepting applications for its community giving program through Nov. 15. The program, founded by local teachers in 1957, is open to local schools and youth sports organizations to apply for funding. Organizations operating in Santa Cruz, San Benito and Monterey counties are eligible. Typical contributions range from $500 to $2,000. For more details or to apply, go here.
  • New arcade slated to open in Scotts Valley: Coin Drop Arcade will hold its soft opening from noon to 4 p.m. on Saturday, Oct. 31. The new space, located at 3111 Scotts Valley Dr., will feature an array of classic and new arcade games and pinball machines. 
  • Dharma’s in Capitola up for sale: As Lily Belli reported last week, longtime vegetarian mainstay Dharma’s is looking for a new owner. The restaurant has struggled in recent months, and the death of founder Bernie Shapiro in August dealt another blow. Owner Yogi Shapiro, Bernie’s son, announced that the 44-year-old Capitola restaurant is seeking a buyer. Anyone interested in purchasing the restaurant is asked to email dharmasrestaurant@gmail.com or call 831-295-8091.
  • Specialty foods store opens in downtown Santa Cruz: Tomato Tomato officially opened its doors at 117 Walnut Ave. in Santa Cruz last week. The store, owned by Lizi Barba, focuses on specialty food items, including special spices, salts, pastas and cheeses, along with a few vintage kitchen items. Barba also stocks some fresh items, including local bread and eggs. 
  • Monterey Bay Economic Partnership names interim CEO: Kate Roberts will serve as interim CEO for Monterey Bay Economic Partnership (MBEP) effective immediately, the organization announced this week. Roberts previously led the organization from 2015 to 2021. She replaces Tahra Goraya, who has stepped down for undisclosed personal reasons. MBEP is a regional nonprofit organization focused on economic, educational and equality issues in Santa Cruz, San Benito and Monterey counties.

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

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Save the date

  • Wednesday, Oct. 28: The Santa Cruz Area Chamber of Commerce will hold a business after-hours event at Kaiser Permanente Arena in downtown Santa Cruz from 5 to 7 p.m. for chamber members and local business professionals to network. Tickets are $10 for chamber members and $20 for non-members. Register here.
  • Thursday, Oct. 29: The Monterey Bay Fisheries Trust, along with the Pajaro Valley Chamber of Commerce, the Moss Landing Chamber of Commerce and the Monterey Peninsula Chamber of Commerce, will host a ribbon-cutting and celebration for the organization’s new initiative to strengthen the Monterey Bay commercial fishing economy. The event takes place from 4 to 5:30 p.m. at The Haute Enchilada, 7902 Moss Landing Rd., Moss Landing. Attendees are asked to RSVP to Emily Hess by Oct. 27 at ehess@mbfishtrust.org or 831-717-8809.
  • Friday, Nov. 6: The Monterey Bay Economic Partnership will hold its annual State of the Region conference at the University Center at Cal State Monterey Bay from 8:30 a.m. to 3 p.m. Speakers will represent industries and municipalities throughout San Benito, Monterey and Santa Cruz counties. This year’s keynote speaker is Somjita Mitra, the chief economist for the California Department of Finance. For more details and to register to attend, go here. 
  • Friday, Nov. 13: The Aptos Chamber of Commerce will hold its annual awards dinner and auction from 5 to 9 p.m. at 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

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Jessica M. Pasko has been writing professionally for more than two decades. She cut her teeth in journalism as a reporter for the Associated Press in her native Albany, New York, where she covered everything...