841 Capitola Road apartments

Read about other notable housing and construction projects in Santa Cruz County.

A home at 841 Capitola Road could be replaced by apartments. (Jesse Kathan — Santa Cruz Local file)

Last updated: October 2025

Location: 841 Capitola Road

The site is in Live Oak near Seventh Avenue. The site and surrounding area is zoned for single-family homes.

Status

• The Santa Cruz County Planning Commission approved the project — with conditions — at its Oct. 22 meeting. Developer Workbench, or neighbors who oppose the project, could appeal the decision and the send the project to the Santa Cruz County Board of Supervisors for approval. Resident Michael Reis said in an email he and other neighbors plan to appeal the project and believe that Builder’s Remedy rules should not apply to the project.
• The most recent version of the project calls for 57 homes, including three units priced for very-low-income renters and one for extremely-low-income renters. State authorities set income limits annually. An earlier version of the project would have invoked state law SB 35, which would have bypassed public hearings and allowed approval by county staff.

Project timeline

• Workbench submitted a pre-application for 40 units to Santa Cruz County planners using the Builder’s Remedy law in April 2024. The project was later reduced to 28 units, then grew to 63 units in early 2025. A full application was submitted in June 2025 that called for 57 units and a concession to allow several additional apartments as converted ADUs, or accessory dwelling units. 
• Developers held an online community meeting in April 2025 to present the latest version of the project. It had 63 units including studios and one- and two-bedroom apartments. 

Developer

Santa Cruz-based Workbench.

Project description

• Total units: 57.
• Height: Five stories.
• Affordable units: Three units are anticipated to be priced for very-low-income renters and one for extremely-low-income renters. State authorities set income limits annually.
• Details: “Our goal is to create something that is totally livable, beautiful, great design aesthetic, but also something that doesn’t hit the top of the market,” said Tim Gordin, president of Santa Cruz-based Workbench at a community event in April 2025. Neighbors at the meeting expressed concerns about increased traffic, affordability and the scale of the development. The proposal takes advantage of SB 35, a state law that allows projects to be approved without public input if they meet the county’s “objective standards” for development. 

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