Quick Take

In this week's look at Santa Cruz County business news, Jessica M. Pasko writes about state funding for broadband access, a new county ordinance allowing commercial use of home kitchens, and hiring news from the Santa Cruz hospitality industry.

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.

State OKs nearly $14 million for local broadband

Expanded broadband access in Santa Cruz and adjacent counties got another boost with a new round of funding from the California Public Utilities Commission. The new funding comes on the heels of $45 million granted earlier this year to help fund 10 projects aimed at increasing internet connectivity in underserved areas around the Central Coast. It’s part of the state’s goal of ensuring broadband access to 98% of state households by 2032. This latest funding round is focused on four separate projects in Santa Cruz and San Benito counties. Santa Cruz County-based Surfnet Communications is getting $4.3 million for three projects in unincorporated Santa Cruz County that will provide up to 1-gigabit-per-second service to customers there. Additionally, Hankins Information Technology will receive over $10 million dollars to serve an estimated 1,200 unserved locations in Hollister, San Juan and Aromas in neighboring San Benito County.

ICYMI: New permits home kitchens for commercial use

Thanks to a new ordinance, local home cooks will soon be able to turn their kitchens into mini-restaurants. A state law allowing microenterprise home kitchen operations passed in 2018, but required approval by each county in order to be adopted locally. As Lily Belli reported, the Santa Cruz County Board of Supervisors unanimously approved a local ordinance last week and a two-year pilot program will go into effect in January. The law permits residents to serve food commercially from their homes, but they’ll have to first have their kitchens certified by the health department and obtain food-handler safety certifications.

Ch-ch-changes: Openings, closings and other developments

  • Janus to open new treatment center for pregnant women and families: Janus of Santa Cruz, a nonprofit that’s been providing substance-use disorder treatment since 1976, is breaking ground this week on a new facility in Watsonville. The new perinatal center on Pennsylvania Avenue will be a 25-bed residential treatment center for expectant mothers and their children. It will serve high-risk women and their children up to age 12 from Santa Cruz, San Benito and Monterey counties.
  • Three new leaders for local hotels: Julie Jimenez is now the director of sales and marketing at Chaminade Resort & Spa, a position she recently held at Hotel Paradox in downtown Santa Cruz. Additionally, Nichole Aguilera was hired as general manager of the Beach Street Inn & Suites, and Abel Barrera was brought on as director of sales and marketing for the La Bahia Hotel and Spa, which is expected to open next year. 
  • Local tourism organization looks to make Santa Cruz a filming destination: Visit Santa Cruz County is promoting Santa Cruz as a destination for filmmakers. Representatives from the county’s tourism marketing organization recently attended the Association of Film Commissioners International Week to help spread the word and showcase the county as a filming location. Santa Cruz is no stranger to the spotlight; in recent years, movies like “Us” and “Chasing Mavericks” both prominently featured the area. 
  • Cruz Hotel gets green light from Coastal Commission: A proposed six-story hotel in downtown Santa Cruz is moving closer to reality following approval by the California Coastal Commission. Commissioners reviewed the proposed project on the corner of Front and Laurel streets last week following an appeal of the Santa Cruz City Council’s approval. The approval came with a few caveats: The hotel will reserve 20 rooms for low-income visitors, lease four affordable housing units to full-time hotel employees and contribute $5 million to help finance a low-cost cabin project in Greyhound Rock County Park.
  • Santa Cruz Athletic Club opens “pre-sale memberships”: The Santa Cruz Athletic Club isn’t expected to open until next year, but the gym is already signing up interested members. The new gym from the owners of Santa Cruz Power Fitness will be located in the former Rite Aid next to Whole Foods on Soquel Avenue in Santa Cruz. Co-owners Chris Ellis and Camile Periat say it will be a new kind of fitness facility that combines state-of-the-art equipment with classes, nutrition education and more. Stay tuned for an update on the project’s progress in the coming weeks.

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

Looking at the numbers

  • $5,749,000: That’s the listed price for 125 Walnut Ave. and 130 Pearl Alley in Santa Cruz, a two-story, 17,319-square-foot building. Known as the Eulensen Building, its current tenants include Petroglyph Ceramic Lounge. Check out the full listing here.

Save the date 

  • Thursday, Sept. 19: The Santa Cruz County Business Council’s next board of directors meeting takes place at noon at Cabrillo College in the Student Activities Center. Monica Martinez and Christopher Bradford, the two candidates for District 5 Santa Cruz County supervisor, will talk about their campaigns. Current supervisors Manu Koenig and Justin Cummings will also speak about a cigarette waste initiative.
  • Wednesday, Sept. 25: The Aptos Chamber of Commerce will showcase local businesses at the Marketplace on the Green, from 4 to 7 p.m. at Seascape Golf Course in Aptos. More information here.
  • Saturday, Sept. 28: The El Pajaro Community Development Corp. and the Regional Women’s Business Center will hold a Latina Entrepreneurship Leadership Conference from 9 a.m. to 2:30 p.m. at the Watsonville Civic Plaza. Tickets and registration here.
  • Thursday, Oct. 3: The Santa Cruz County Chamber of Commerce will hold a “business after hours” event at Abbott SPI Inc., a local security guard service. The networking event takes place from 5 to 7 p.m. at Abbott’s offices at 2030 North Pacific Ave., Suite A, in Santa Cruz. It’s $20 for non-members and $10 for chamber members to attend. More details here.
  • Saturday, Oct. 5: Santa Cruz Community Health will mark its 50th anniversary with a fundraising gala at Hotel Paradox in Santa Cruz, from 6 to 10 p.m. The event will feature speakers, a sitdown dinner and a cash bar. Tickets start at $150. For details and to purchase tickets, go here.
  • Thursday, Oct. 10: Workforce Santa Cruz County is sponsoring a job fair at Cocoanut Grove in Santa Cruz from 4 to 6 p.m. For more details and to register, click here.
  • Friday, Nov. 8: The Monterey Bay Economic Partnership hosts its 2024 annual State of the Region event from 9 a.m. to 5 p.m. at the CSUMB University Center in Seaside. Representatives from Santa Cruz, Monterey and San Benito counties will speak about the region’s economic progress and other key issues. Register here.

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Business news worth reading

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Jessica M. Pasko has been writing professionally for almost 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...