In the midst of a housing crisis and skyrocketing real estate prices, the city of Cupertino is considering the future of the Vallco Shopping Mall, which has sat empty over the years and could be an appealing spot for mixed-use development.

Most of Vallco’s stores have closed since its widely anticipated opening back in 1976. Only a movie theater, a Benihana, and a few other stores remain.

Developer Sand Hill has expressed interested in turning the space into a 58-acre mixed-use development, preserving 640,000 square feet of space and combining it with two million square feet of new offices and 800 housing units. Cupertino’s City Council voted unanimously to begin the process of considering this proposal.

Rendering courtesy of the Hills at Vallco

Despite the unanimous vote, city officials still have their concerns about the idea. Vice Mayor Darcy Paul worries that the concept might grow too large, and he called for Cupertino to study how to prevent new housing entitlements from impacting the development, according to Curbed SF. The YIMBY group Residents For A United Cupertino responded with accusations that the council’s sentiments reflect an anti-housing attitude. Paul insists that he is not anti-housing and that the amount of office space is what concerns him. 

Sen. Scott Wiener (D) says that any talk of nixing housing is concerning, telling Curbed SF “we’re past the point where cities can opt out” of the obligation to build much-needed housing.

It remains to be seen what will become of the Vallco Shopping Mall, but one thing is for certain: There’s high demand and low supply of housing in Cupertino. That is making competition fierce, as the Mercury News reports. In 2016, five Cupertino homes sold for more than $200,000 above the asking price.

Rendering courtesy of the Hills at Vallco