The outside of a single-story ACE Hardware in Los Gatos
A potential eight-story housing development with retail on the ground floor might replace the Los Gatos Ace Hardware at 15300 Los Gatos Blvd., but there's a chance the store could stay. Photo by Annalise Freimarck.

Bright red flyers rallying neighbors against a proposed housing development with seven stories of homes hang from a development sign in Los Gatos, where a beloved hardware store sits. Rumors have been swirling the store will be razed and the “quaint town” will be damaged — but that might not be true.

The Arya, a housing project proposed by developer Arya Properties LLC, could bring 182 condos to 15300 and 15330 Los Gatos Blvd., with 37 affordable to lower-income homes. The potential plans include a rooftop restaurant with three levels of underground parking and the likelihood of retaining Ace Hardware on the roughly 1.91-acre site. Project applicant Ali Moayed said the developer has been in contact with the store’s owners, who have shown interest in continuing the business on the ground floor of the development.

A notice of development proposal sign with a homemade cardboard box holder carrying red flyers attached to the sign.
Red flyers listing reasons against a proposed housing project in Los Gatos are attached to the development sign. Photo by Annalise Freimarck.

The project is still under review and needs the town’s approval for what would be one of the tallest buildings in Los Gatos.

Moayed said the development will benefit the town more than take away from it.

“I think it’s a great asset. I don’t think it replaces single-family homes, but for a lot of people, it’s more advantageous to be in a condo,” he told San José Spotlight. “I wouldn’t be surprised if people want to switch from homes to this.”

Nearby residents are still upset with the proposed development, even though the hardware store may stay.

Los Gatos resident Janice Yeh’s home backs up against the hardware store. She said she’ll consider moving if the project is built, even though she’s lived there for 12 years. She said as an architect, she’s normally supportive of new developments, but is concerned about future condo residents looking into her backyard.

She added the higher number of affordable homes doesn’t justify the height.

“Bottom line, no one’s moving into Los Gatos just because they want to live in a studio apartment. People are here because of the schools, different neighborhoods,” Yeh told San José Spotlight. “So what are they really building that for?”

The project is one of 13 builder’s remedy projects in town, citing a state law making it easier for developers to bypass local zoning and development standards for swift approval. The provision makes it harder for the town to deny the development.

The projects are allowed to use the provision due to Los Gatos’ late state approval of its eight-year housing plan. The town received the state’s greenlight in May and official certification last month, more than a year past the deadline, but builder’s remedy projects filed before then can still move forward.

The project site was identified in the town’s housing plan as a good spot for future homes.
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Los Gatos resident Tom Johnson, who has lived in a house near the development for about 20 years, said he’s frustrated the town couldn’t get state approval earlier to avoid projects like this, which would have given the town greater control. He said he supports affordable housing for the average working person who can’t live in a pricey place like Los Gatos, but in a location where it makes sense.

“They’ve let something slip and so I think it’s really sad and I’d fight it tooth and nail,” he told San José Spotlight.

Councilmember Rob Moore couldn’t comment on the project because he lives close to it, but said the town needs projects that increase affordability. He said the projects don’t make the town, the residents do.

“When I think about the character of Los Gatos, I think about the people who live here more than anything else, and if we are kicking out all of the people who love this community so much, I do not think we are preserving the character,” he told San José Spotlight.

Contact Annalise Freimarck at [email protected] or follow @annalise_ellen on X, formerly known as Twitter.

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