Gilroy approves plan to transform back alley into public square

In a step toward revitalizing downtown Gilroy, the City Council has unanimously agreed to turn a back alley into a public pedestrian walkway lined with trees, benches and lighting, following nearly two years of design, failed bids, downsizing, and deliberations.

Currently, Gourmet Alley is a narrow street in downtown Gilroy that abuts a strip of restaurants, serving to house dumpsters and access parking. But the approved funding aims to transform the space into two blocks of pedestrian-only public space, resurfaced and equipped with greenery and bike racks.

Gilroy mayor Marie Blankley said she hopes the change will allow nearby restaurants to open their back doors onto the walkway, creating a gathering space a la European square or Italian plaza. “It’s going to be completely transformed, you’re gonna have pedestrian only space that we don’t have downtown right now,” said Blankley.

The city was originally awarded a grant of $3.9 million from Caltrans in May 2022 to beautify Gourmet Alley and nearby Railroad Alley. After the design was completed in October, however, no construction companies responded to the city’s call for bids. A subsequent search found bids coming in more than $1 million over budget, so city staff downsized the project, cutting off a block of Gourmet Alley from the project and removing Railroad Alley entirely.

While the original deadline for construction was June 2024, the deadline was pushed back to December to make space for the delays.

Many on the council expressed their frustration with the downsizing and the delays in the project at a meeting Monday evening. Councilmember Fred Tovar noted that other cities who received the same type of grant already had their projects under construction. “There’s never been a sense of urgency,” he said at the meeting.

“I am supporting this tonight, but I would be lying if I said I was thrilled with this project because I am disappointed that we did not get (the original scope of the project),” said Councilmember Carol Marques at the meeting, noting that part of the goal of the original project was to beautify Railroad Alley located in the “disadvantaged” east side of the city.

Blankley echoed some of the sense of disillusionment. “When we got this grant, we were ecstatic. $3.9 million sounds like a lot of money – should be a lot of money,” said Blankley. “I am constantly amazed at how far the dollar does not go.”

Still, city staff noted that the project was among the largest funded by the Caltrans grant, and that the funding leaves some wiggle room to extend the project closer to its original scope if there is money left over once the current plan is complete.

Following the deliberations, the council voted 7-0 to move forward with the project as planned.

Construction is slated to start in April 2024 and finish in September 2024, led by Trinchero Construction.