Quick Take

State efforts to create special aerial pathways among the airports in Watsonville, Salinas, Marina and Hollister could get off the ground as soon as the end of January, Jessica M. Pasko reports in her weekly look at Santa Cruz County business.

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.

Project to connect area’s rural airports in support of electric air taxis inches forward; state seeks input on California’s preparedness for new era of air traffic

Watsonville Municipal Airport from the air
Watsonville Municipal Airport. Credit: City of Watsonville

As efforts to bring electric air taxis to U.S. skies accelerate, a project to connect the Monterey Bay region’s four rural airports could get off the ground as soon as the end of this month. 

In September, the state allocated $7.45 million in grant funding to create special aerial pathways among the airports in Watsonville, Salinas, Marina and Hollister. Essentially, these pathways would work like highways in the sky to help flying vehicles avoid collision as electric air taxis and unmanned drones join traditional aircraft in the air. The Monterey Bay Economic Partnership is spearheading the project, called the California Advanced Air Mobility Corridors Initiative, and plans to complete it within two years. The organization had initially hoped to begin the work in November, but it was delayed pending approval from state officials.

However, last month, the state issued contracts, paving the way for the work to begin by potentially the end of this month, according to Lavera Alexander, chief growth officer of MBEP, who is leading the project. 

Planned work includes installing new sensors, signs, charging stations for electric aircraft, and digital navigation aids, as well as establishing a new communications network for advanced aircraft. Workers also will need training to operate it, and it will need approval by the Federal Aviation Administration.

In other efforts to support advanced air mobility, the state Department of Transportation is seeking public comment on its draft plan that outlines California’s preparedness and the additional steps needed. Comments on the Advanced Air Mobility Infrastructure Readiness and Three-Year Implementation Work Plan can be submitted through next Friday, Jan. 16.

ICYMI: Newsmakers 2025: Barista who helped unionize Verve says the experience changed how she saw herself

Sasha Pavy making a matcha drink at Verve Coffee Roasters’ downtown Santa Cruz café.

One of the biggest stories in the local business community last year was ramped-up unionization activity. Local employees of Starbucks have been participating in national labor action amid ongoing contract negotiations with the national chain. Employees at Woodstock’s Pizza in Santa Cruz voted to form their own independent union. Employees at Verve Coffee Roasters locations in Santa Cruz and San Francisco led a vocal campaign to unionize that coincided with Labor Day.

For Lookout’s Newsmakers 2025 series, Lily Belli spoke in depth with one of the employees who helped galvanize efforts to create a union for Verve workers. Check out her profile of Sasha Pavy here.

Ch-ch-changes

  • GameStop to close in Capitola: The GameStop in Brown Ranch Marketplace in Capitola will shutter this week, part of a wave of nationwide closures. The store’s last day in business is Thursday, Jan. 8. An email sent to customers said existing pre-orders would be shifted to the chain’s location on Blossom Hill Road in San Jose. In March of last year, the company announced it would close a “significant number” of stores in an effort to cut costs.
  • Elkhorn Slough Foundation seeks new executive director: The Moss Landing-based Elkhorn Slough Foundation will begin the search for a new executive director to replace founding executive director Mark Silberstein. Silberstein is set to retire after more than four decades at the helm of the organization, which was established in 1982. Under his leadership, the nonprofit has conserved more than 4,200 acres of habitat and restored another 2,000 acres or more. Silberstein will remain executive director until a replacement is found; after that, he will transition to an advisor role.
  • Watsonville berry company achieves B Corporation Certification: California Giant Berry Farms is now a Certified B Corporation, a globally recognized designation for companies that have met certain standards for social and environmental performance, accountability and transparency. Company leaders say the designation is part of California Giant’s ongoing efforts to operate more sustainably.
Fried chicken kiosk Flashbird closed its final location in late December; Pana Venezuelan Food will be moving over from the Octagon to fill the space in Abbott Square Market’s food hall. Credit: Kevin Painchaud / Lookout Santa Cruz
  • Abbott Square seeks two new vendors: Abbott Square in downtown Santa Cruz is seeking two new vendors following the closure of Flashbird Chicken and Press. The Santa Cruz Flashbird was the remaining location of the fried chicken restaurant; stores in Pleasure Point and Scotts Valley closed previously. Pana, which specializes in Venezuelan arepas, will move from its current outpost in the adjacent Octagon building into the former Flashbird space in the main hall. The two available spaces include one with a full kitchen with a hood in the Octagon and a deli stall in the main market. Interested vendors should contact Abbott Square’s general manager, Joey Ward, at joey@abbottsquaremarket.com or 831-471-7288.
  • New board member for Big Brothers Big Sisters of Monterey Bay: Matt Payne has joined the board of directors for the local chapter of Big Brothers Big Sisters. Payne is the former board president of DigitalNEST and serves on the board of directors for the Teen Kitchen Project and the BirchBark Foundation. He’s also a member of the Santa Cruz Area Chamber of Commerce and works as a hardware product manager, including previous roles with Intel Corporation and Logitech.
  • County hires next chief probation officer: Santa Cruz County officials have named Sandra Mendez as the new chief probation officer, starting Feb. 2. She replaces Fernando Giraldo, who retired in July. Mendez comes to the county from Madera County, where she served as deputy chief probation officer.
  • Surfer magazine names Pleasure Point store a “top 10 surf shop to support in 2026”: Your Board Santa Cruz, managed by former pro surfer Adam Replogle, topped a new list of the country’s best surf shops published by Surfer magazine. Your Board, opened in late 2024 on 41st Avenue, specializes in secondhand surfboards. 

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

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Looking at the numbers

  • $7.4 million: That’s how much money was invested in renewable energy projects in 2025 through the Climatize platform. That accounts for more than $13.6 million invested through the Santa Cruz-based company’s platform, which was launched in 2023 to help foster crowdfunding efforts for renewable energy projects across the U.S.

Save the date 

  • Tuesday, Jan. 13: The Small Business Development Center of Santa Cruz will hold a webinar on the essentials for starting a business in Santa Cruz County, covering topics including business licenses, possible permits needed and required tax documents. Keith Holtaway, a longtime local business consultant, will host the interactive event from 6 to 7:30 p.m. Register here.
  • Thursday, Jan. 15: The Santa Cruz Area Chamber of Commerce will hold its next business after-hours event at local security company Abbott SPI, Inc., from 5 to 7 p.m. Abbott SPI’s headquarters are located at 2030 N. Pacific Ave., Suite A, in downtown Santa Cruz. Register here to attend.
  • Thursday, Jan. 22: The Aptos Chamber of Commerce will host a luncheon with the county’s new executive officer, Nicole Coburn, from 11:30 a.m. to 1 p.m. at Seascape Golf Course in Aptos. Tickets are $35. Register here.
  • Sunday, Jan. 25: The 3D Entrepreneurs Club will launch its afterschool entrepreneurship clubs in 10 schools in Santa Cruz and Monterey counties this year, following successful pilot programs in 2025. An official launch event will be held at the Museum of Art & History in Santa Cruz from 2 to 4 p.m. The event will open with a panel featuring leading Santa Cruz tech entrepreneurs discussing how parents and schools can prepare students for the AI era. There will also be a mini “Shark Tank” style showcase for students to show off their 3D-printed creations. Additional details and registration are available here.
  • Thursday, Jan. 29: The Monterey Bay Economic Partnership will hold its 10th anniversary gala at the Monterey Bay Aquarium from 6:30 to 9:30 p.m. Attendees will include business leaders, policymakers and community leaders working to tackle the tri-county region’s most pressing challenges. For tickets and additional details, go here.
  • Thursday, Feb. 26: Santa Cruz Pride will hold a workshop for executives, business owners, human resources professionals and managers at the Hotel Paradox in Santa Cruz from 9 a.m. to noon. The event, titled Elevate LGBTQ+ Workplace Inclusion: The Power of Belonging, will include real stories from local businesses, networking and more. Speakers include Santa Cruz County Supervisor Monica Martinez and Sharon Papo, the CEO of LGBTQ eLearning. Register here to attend.
  • Friday, March 13: The Capitola-Soquel Chamber of Commerce’s annual awards gala takes place from 5:30 to 9 p.m. at Chaminade Resort and Spa in Santa Cruz. Nominations are currently open for person of the year, business of the year, educator of the year, outstanding youth and the community spirit awards. For registration, details and the nomination form, click here.
  • Thursday, April 16: The Santa Cruz Area Chamber of Commerce will hold its annual community recognition awards event at The Grove in Santa Cruz from 5:30 to 9 p.m. Early bird registration is available through March 15.

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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...