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Crowd at the Paseo Nuevo Redevelopment Open House on October 15, 2025.
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Community Invited to Share Feedback on the Paseo Nuevo Redevelopment

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The Paseo Nuevo Redevelopment Project proposes to transform the existing shopping center into a vibrant, mixed-use district that will bring new residents, revitalize retail activity, and strengthen the long-term economic and social vitality of Downtown Santa Barbara. The project area extends from State Street to Chapala Street and Ortega Street to south of Carrillo Street, encompassing the former Macy’s site, in-line shops, and a portion of City Parking Lot 2.

Public comments are open through November 1, 2025. Feedback will be summarized for City Council review during consideration of the project’s Disposition and Development Agreement by the end of 2025.

We want to hear from you! Submit a Comment Online.

Key Project Elements

  • 313 new rental homes, including 233 market-rate units located on the former Macy’s site in a new 4–7 story residential building and 80 affordable units on City Parking Lot 2, adjacent to the existing parking structure
  • 125,000+ sq. ft. of Retail Space, including a market at State and W. Ortega Streets
  • Over 1,500 Parking Spaces across Lots 1, 2, and 10 (Lot 1 adds 28 spaces; Lot 2 reduced by 186)
  • Building Height: Up to 75 feet (via Density Bonus Law)

For more information, including frequently asked questions, visit Paseo Nuevo Redevelopment.