Controversial Development Site in Cupertino Compounds Legal Controversy
"The developer that wants to transform the defunct Vallco Shopping Mall into a mixed use development has filed a complaint against the city of Cupertino for trying to gut the heart of its proposal," reports Thy Vo.
The claim by Sand Hill Property Co. says "general plan amendments the City Council approved in August eliminated a zoning allowance for up to 2 million square feet of office space, and confines housing development to 13.1 acres of the 50-acre Vallco site," according to Vo.
The amendment would affect not the developer's current plan, which is currently awaiting a court decision as a crucial test for the state's SB 35 law, according to an article by Marissa Kendall from December 2019. (SB 35 went into effect in 2018, "and attempts to encourage housing development by requiring cities to fast-track residential and mixed-use projects that meet certain criteria," according to Kendall.) If the court does toss the current plan, however, the zoning amendment approved in August would take effect for the site.
"The company has argued office space is critical for penciling out large projects with retail and affordable housing and that the city’s action amounts to an illegal seizure of the company’s property without compensation, which would result in a 'loss of tens or hundreds of millions of dollars,'" according to Vo's explanation of the developer's response to the zoning changes.
Previous Planetizen coverage of the Vallco Shopping Mall development and its intersections with Prop 35: