Good-bye, used car dealership. Hello, condos

Despite a sour housing market, one developer is moving ahead
with plans to build a four-story condominium and retail complex at
the southern end of downtown.
Good-bye, used car dealership. Hello, condos.

Despite a sour housing market, one developer is moving ahead with plans to build a four-story condominium and retail complex at the southern end of downtown.

Ali Bakhtar’s four-story project at 7161 Monterey Street – downtown between Eighth and Ninth streets across from the Caltrain station – will include 36 residential condominiums on the top three floors and six retail spaces on the first floor, a far cry from the man’s small used car dealership now at the site. The city council voted unanimously Monday night to have staff prepare a resolution for the body’s formal approval next month. The planning commission unanimously recommended July 2 that the council approve the project. Bakhtar could not be reached for comment Wednesday.

Gilroy’s Economic Development Corporation President Larry Cope, who said he has been working with Bakhtar and local architect Reid Lerner for the past year, lauded the project at Monday night’s council meeting. He encouraged the body to approve it despite parking concerns raised by Councilman Dion Bracco.

The project will include 36 parking spots, but city zoning codes require 78. To allow the shortfall requires a waiver, which City Planner Laura McIntyre and Transportation Engineer Don Day have signed. McIntyre told the council Monday night that there have been talks of reserving some of the parking for the stores during the day and for the residents at night. There is also unrestricted parking around the corner and in the Valley Transportation Authority parking lot across the street, but the VTA can retract its leniency at will.

On the same block immediately south of the project, city staff are also working on smaller four-story residential-commercial building with 27 housing units and two retail spaces. And one block south, between Ninth and 10th streets, a developer has proposed a smaller mixed-used project with nine residential units and undetermined number of commercial spots.