Program Description:

Downtown Pops! is the City's program designed to lower the barriers to entry for businesses looking to open a brick and mortar space. In addition, the program intends to reduce the risk for property owners to take on new tenants during challenging times. Through the program, the City enters a master lease with downtown commercial property owners with vacant spaces on Pacific Avenue, provides a guaranteed minimum rent, and then sub-leases these spaces to various pop-up tenants for a six-month term.

Lease terms are set at a percentage of monthly sales. Long term lease options may be negotiated with the broker or property owner based on initial six-month term.

Downtown Pops! tenants are eligible for:

• Up to six months of free internet service provided by Cruzio Internet. The leased space must be ready to serve with Cruzio Internet to receive this benefit.
• A $1,000 tenant improvement grant to assist with preparing their new commercial space.

Current Downtown Pops! Businesses:

Santa Cruz Gear Exchange (SCGE)

Santa Cruz Gear Exchange (SCGE) provides a curated marketplace for the local Santa Cruz community to buy and sell gently used outdoor adventure equipment and apparel. The focus is on quality gear for activities like rock climbing, backpacking, and mountain biking. SCGE aims to be a trusted, one-stop shop for high-quality, pre-owned outdoor essentials, serving customers who appreciate lower-cost alternatives to new, expensive gear. Visit SCGE at 1306 Pacific Ave.

Santa Cruz Mountain Makers Market

The Santa Cruz Mountain Makers Market is a dedicated event company that hosts craft and art fairs, serving as a valuable venue for local artists. Known for their long-running monthly markets on Pacific Avenue, they consistently feature more than 25 artists and makers. Their focus is on providing a dependable, indoor marketplace experience—often filling large, iconic storefronts—to showcase the talent and handmade goods of the local Santa Cruz community. Check out their holiday market pop-ups every Friday- Sunday from 10am to 5pm throughout December inside the former Palace Art & Office Supply space at 1407 Pacific Ave.

Available Spaces

Who Should Apply?

We are seeking successful retail businesses with temporary expansion needs or looking to prototype new products or concepts, and other creative pop-ups designed to activate and invite downtown engagement. Concepts should be complimentary, not competing with or duplicating existing Downtown businesses.

We invite established businesses or groups interested in:

• Shared Retail Space: Collaborate with other retailers to create a vibrant and diverse shopping experience.

• Temporary Expansion: Test new products or concepts in a prime downtown location.

• Unique Retail Concepts: Offer innovative and engaging shopping experiences.

How does the lease structure work?

The City guarantees a base rent of $1.25/ square foot each month, plus 10% of the tenant’s monthly revenue, up to $2.50/ square foot, or the advertised rate if less than $2.50.

For example, monthly rent on a 2,000 square foot space would range between $2,500 (min)- $5,000 (max) each month.

Any revenue collected above the $2.50/SF max will be rolled over to cover lower performing months, or returned to the tenant if funds remain.

For a deeper dive, see Appendix A of our Program Guide.

Calculating your Financial Projections:

Security Deposit: You'll pay a security deposit of $2.50 per square foot of your leased space.

First Month's Rent: The initial month's rent is a flat rate of $1.25 per square foot.

Monthly Rent Structure: Following the first month, you pay a percentage of your adjusted gross monthly sales as rent, currently set at 10%.

A note for multi-tenant applicants: While we will only accept a single monthly rent payment from the group, the allocation of rent among individual tenants is a matter to be determined by the group themselves. We encourage open communication and a fair distribution of costs based on factors such as square footage, sales volume, and other relevant considerations.

How do property owners get involved?

We are seeking Downtown Santa Cruz property owners with vacant ground-floor spaces, primarily on Pacific Avenue, interested in participating in the program. Property owners can complete this interest form or contact Sarah Domondon at sdomondon@cityofsantacruz.com to learn more and sign up.

Past Downtown Pops! Businesses:

Inspired by her search for quality toys for her young daughter, owner Dyane Villalobos started thinking about the idea of starting her own toy store. Villalobos’ vision is to create a clean, modern and welcoming space that celebrates the magic and wonder of toys, and offers a family-friendly destination. As a woman-owned, minority-owned, queer-owned independent business, creating a culture of openness, inclusivity and community is core to the Childish ethos.

Read more about Childish's journey in this great Lookout Santa Cruz article!

Terra and Self is a sustainable skincare brand focused on celebrating all beauty through fun and simple formulas. Owner Kenne Johnson-Scianna created Terra and Self not to be a brand that “makes” you beautiful, but one that sees your beauty now and celebrates who you are, uniquely and naturally. Now at their new location on 347 Soquel Ave, Terra and Self continues to feature sustainable and clean skincare products created by Kenne herself, alongside local goods from other women of color-owned businesses.

Founded in Capitola Village in August of 2019, Curated by the Sea (now M.K. Contemporary Art) regrouped and relocated to a light filled, 4,600 sq. ft. empty storefront in the heart of downtown Santa Cruz. The gallery represents the work of 30+ local and regional artists as well as exhibit a rotating series of themed shows and special events.

A staple in the Downtown design community, Stripe held a temporary pop-up at 1528 Pacific Ave. as they reimagined their Walnut Avenue space. Owner Suna Lock led the brand's transition from an airy boutique carrying apparel, gifts & vintage items to a thoughtfully curated showroom, focusing on the brand's roots of design, homewares and furnishings. You’ll find both new and old, familiar things in their newly reimagined space at 107 Walnut Ave.

RREVV is an artist-run gallery, featuring industrial chic leather handbags and accessories, custom furniture, bespoke lighting, jewelry and other local art. Artists Rachel and Rigel Hunter opened the gallery on Pacific Avenue in December 2021, featuring their personal work along with revolving guest artists.