Despite some recent delays, downtown Morgan Hill continues to proceed toward city officials’ long-term vision as the most visitor-friendly, pedestrian-safe, transit oriented neighborhood in town.
At least five new restaurants, three high-density residential projects, a boutique hotel and a handful of retail establishments are projected to be complete at various times within the next two years, according to city staff and developers. On top of that, three new public parks—sponsored by city funds—are nearing completion that will provide more casual recreational choices.
At the intersection of Third Street and Monterey Road—considered by many city officials as the center of downtown—last winter’s rains significantly delayed the construction of four new restaurants, according to Morgan Hill Economic Development Manager Edith Ramirez. The restaurants are now projected to be complete by January 2018.
Developers Ken Rodrigues and Don Imwalle acquired the property, formerly the site of Simple Beverages, from the city in 2016, through the Redevelopment Agency liquidation process that started in 2012. The developer struck a deal with the Opa! Group of restaurants to bring its four signature joints into two new structures on the property: Opa, a Greek restaurant; Mo’s…the Breakfast & Burger Joint; Willard Hicks (steaks and American food); and Tac-Oh!, the group’s fledgling “designer Mexican food.”
The exterior of the two new buildings—about 5,600 and 6,425 square feet, respectively—currently looms over the busy intersection of Monterey Road and Third Street.
Up the street on Monterey Road is the former site of the Downtown Mall, which was demolished by hospitality development guru Frank Leal in late 2016. Leal, who developed the next-door Granada Theater and remodeled it into a happening dinner theater and events venue last year, hopes to have the hotel complete by the fall of 2019, he said earlier this week.
“Just waiting on some final kitchen design and elevator design,” Leal replied to an email from the Times.
The four-story Granada Hotel—a “boutique” lodging accommodation—will consist of a steakhouse, floral shop, market hall and lobby with a wine bar on the first floor. The second floor will house conference and banquet space, a pool and spa. The third and fourth floor will each house 30 guest rooms.
Leal acquired these properties from the city, also through the RDA wind-down process.
Back on the other side of Monterey Road, at Second Street, the Edes Gallery project proposed by restaurateur Dan McCranie—owner of Ladera Grill just a block away—has also been delayed, but the developer is determined to wait until things are just right before beginning construction.
“There’s a couple issues—I think they’re solvable, but they’re important to me,” McCranie said of his back-and-forth approval process with city staff. “It’s a small footprint, and there’s a lot of things going on, and I need to have it as efficient as possible.”
McCranie declined to say exactly what was holding up the project, but he doesn’t expect it to affect his vision for the site. The three-story project will include a ground-floor art gallery and wine bar, with more gallery space on the second floor and a restaurant with rooftop dining on the third floor. He is now hoping to start construction before this coming winter.
On the east side of downtown, the Sunsweet project with frontage on Third, Depot and Fourth streets is undergoing a “second construction plan check” by city staff, Ramirez said. This four-story development includes 83 residential units, with an outdoor plaza and office and retail components. Morgan Hill residents Rocke and Glenda Garcia are the developers of that site.
Another former RDA property—previously the site of the BookSmart shopping center—is also under development on Depot Street, between Second and Third streets. The developer, City Ventures, is planning to build a 29-unit housing project with 8,500 square feet of condominium/retail space facing Third Street.
Earth moving crews have been active at the site recently, and Ramirez said the project is currently “under construction.”
New parks under construction
Residents and visitors should be able to enjoy three new downtown parks by the end of November, Ramirez said. Construction crews have also been active at these sites throughout the summer.
The parks are located on Depot Street, just across from the Third Street intersection with a wide variety of play equipment scattered throughout the site that sits along the Union Pacific Railroad tracks; The Hilltop Park and Trail, at the top of the hill at the end of West Third Street; and the Creek Park, located on a small, quiet stretch of West Little Llagas Creek on the west side of downtown, between Second and Third streets.
All of the downtown projects are part of the city’s $25-million-plus plan to revitalize the neighborhood, funded largely by leftover RDA monies. Previous projects include the downtown garage, various street resurfacing efforts on Monterey Road and side streets, utility undergrounding and other improvements.
