A tentative agreement with Pacific Gas & Electric could help transform the perception of downtown and Gourmet Alley, according to business leaders.
John Taft, a board member of the Gilroy Downtown Business Association, said the 60,000 square feet of boarded-up buildings have created an image that the economic conditions are poor in downtown. But the current state of the buildings stems back to decisions made more than 15 years ago, he noted.
In response to a 1986 state law, the Gilroy City Council in 2006 adopted an ordinance identifying 25 remaining buildings constructed with unreinforced masonry, requiring the owners to empty out the buildings and make the necessary retrofits.
The council also ordered PG&E to disconnect the power to prevent unauthorized use.
All of the owners have now finished the process of bringing them up to code. The GDBA has been working for months with PG&E to find ways to bring power back to the buildings. Due to the power requirements these buildings require, large underground transformers are essentially impossible due to the crowded services below the alley’s pavement.
Specifically, underneath the alley, which runs from Fourth to Seventh streets, is home to a storm drain, sewer and water systems, and communication lines, leaving virtually no room for a transformer that averages about 6-by-9-by-9 feet in addition to setbacks, according to Taft.
“With all the other services down there,” he said, “trying to figure out where in the alley it will work is very difficult to comply with.”
PG&E and city policies require undergrounding transformers of a certain size. But the tentative agreement reached between the GDBA and the power utility company would allow for a transformer to be placed at 7515 Monterey St., which is where the coming-soon Settle Down Beer is set to open. That transformer would be allowed to power four adjacent buildings, according to Taft.
“We argued that if you are going to retain the historic nature of the building, you can’t make some of the changes you would do with a more modern building,” he said. “There has to be some flexibility in the tariff standards.”
PG&E spokesperson Mayra Tostado said the company’s leadership teams work to address issues specific to a local area, such as the case with Gourmet Alley in Gilroy.
“We are committed to supporting our customers by working with them directly to find innovative solutions that address their needs,” she said.
The agreement will also pave the way for other long-dark downtown buildings such as the Hall’s building at 7401 Monterey St., which is currently engulfed in scaffolding as workers paint the exterior.
“I think it’s going to make a heck of a difference in 2022 and beyond in downtown,” Taft said.
A plan for Gourmet Alley by the GDBA and the city includes adding lighting and landscaping, decorative paving, common trash enclosures and more, which would allow room for outdoor patios for diners, among other things.
