La Crumbre Plaza Redevelopment
Current Status of La Cumbre Plaza Redevelopment
La Cumbre Plaza is undergoing a significant transition as anchor retail stores have closed and large portions of the site are being evaluated for housing. The City has identified this area as an appropriate location for higher density housing due to its proximity to services, employment centers, transit routes, and regional transportation access. Two major housing proposals are currently moving through the City review process on different portions of the La Cumbre Plaza property.
Macy’s Parcel
The most recent plan for redevelopment of the Macy’s parcel describes an approximately 680 unit mixed use rental housing project called The Neighborhood at State and Hope. This was developed under the City’s Average Unit Density incentive program and applicable state housing regulations. The most recently described unit mix includes:
• Approx. 680 total residential units
• Approx. 95 studio units
• Approx. 380 one bedroom units
• Approx. 185 two bedroom units
• Approx. 20 three bedroom units
The application also includes approximately 30,000 square feet of commercial space, open space areas, and structured and subterranean parking.
For affordability, currently the income restricted units include approximately 50 to 60 moderate income units and approximately 35 to 40 very low income units, this is consistent with state and local housing requirements. Macy’s has been reported to have a lease that runs through approximately 2028. Final project design, environmental review, and entitlements remain subject to public hearings and City decisions.
Former Sears Parcel
A separate project has been submitted for the property, the City describes this proposal as an approximately 443 unit rental housing project. The project includes a mix of studio, one bedroom, two bedroom, and three bedroom units, along with a leasing and amenities building, courtyards and outdoor common areas, as well as a multi use path along Arroyo Burro Creek. The proposal indicates that approximately 10 percent of the apartments would be designated for moderate income households. It is currently moving through the City’s review process, including completeness review, environmental review as required, Planning Commission action on the tentative map, and Architectural Board of Review approvals.
Affordability and Community Benefit
Housing production alone is not enough. The key question is how much of that housing will truly serve Santa Barbara residents who are struggling to afford to live here. As currently proposed, a portion of the Macy’s site includes very low income and moderate income units. The Sears site includes moderate income units as well. While this is a start, the overall percentage of deeply affordable housing remains limited compared to the total scale of development.
Given the size of these projects, we should continue to evaluate whether additional affordability can be achieved through:
• Creative financing tools
• State and federal housing partnerships
• Public private collaboration
• Phased affordability commitments
A project of this scale should meaningfully contribute to housing for working families, teachers, service workers, and young professionals.
Traffic and Infrastructure Considerations
Traffic is one of the primary concerns for our District 5 residents. La Cumbre Plaza is uniquely positioned compared to most other large development sites in the city. It sits immediately adjacent to Highway 101 access, near the Highway 154 connection, and along established transit corridors with bus service on Upper State Street.
Because of this regional access, the site has the potential to absorb traffic differently than projects embedded deep within residential neighborhoods. Its proximity to the 101, the 154, and public transit lines may help reduce localized traffic spillover into surrounding streets compared to other potential housing sites.
That said, we still need a traffic analysis that must be thorough and transparent. Infrastructure capacity, signal timing, school traffic, and neighborhood cut through patterns should all be studied carefully before final approvals. Good planning means placing growth where infrastructure already exists and where regional access is strongest.
My Perspective
La Cumbre Plaza represents a major inflection point for Santa Barbara. La Cumbre is one of the most appropriate areas in our city to focus new housing because it is close to jobs, services, transit, and regional highways. At the same time, projects of this scale must be reviewed carefully to ensure they strengthen rather than overwhelm surrounding neighborhoods.
I support a true mixed use redevelopment. A walkable neighborhood that includes grocery stores, restaurants, retail, and everyday services creates more than just housing. It creates a destination. Done correctly, this area can become inviting not only for new residents but for neighbors throughout District 5 and across Santa Barbara.
Responsible redevelopment means:
• Delivering meaningful housing supply with deeper affordability
• Ensuring architectural quality consistent with Santa Barbara’s character
• Addressing traffic and infrastructure impacts proactively
• Coordinating major projects so they function cohesively
• Creating walkable community oriented spaces rather than isolated residential blocks
We do not need to choose between housing production and neighborhood integrity. We can insist on both. The transformation of La Cumbre Plaza will shape Upper State for generations. This is an opportunity to revitalize underutilized commercial land while maintaining the qualities that define Santa Barbara. My commitment is to ensure that growth in District 5 and across our city is thoughtful, transparent, and grounded in long term community benefit.