tourism impacts

Close to Home: Supervisors double down on ‘inebriation tourism’

Judith Olney, PRESS DEMOCRAT

Once again, the Board of Supervisors is ready to throw Sonoma County taxpayers under the proverbial bus — and then back over us.

On Oct. 28, the board will discuss a cannabis ordinance that would reduce permit fees for cannabis cultivation on properties of 10 acres or more with agricultural or rural resource zoning, with operations only 100 feet from neighboring residences. In addition, the ordinance would allow events with cannabis consumption and sales.

After lowering fees for cannabis growers, the county still must pay for infrastructure and other public services, which means increasing the burden on other taxpayers.

It was bad enough when the supervisors granted the cannabis industry significant tax breaks, leaving residential taxpayers and businesses to cover the shortfall in revenue. Now, contrary to state regulations, the proposed ordinance includes unmitigated rights to host cannabis events, even on parcels that don’t have permits for cannabis cultivation, which require safety measures and qualified on-site security personnel.

With up to 104 event days per venue, plus large-scale cannabis events under zoning permits, the cannabis industry is securing more rights than the wine industry.

Read more at https://www.pressdemocrat.com/2025/10/26/close-to-home-supervisors-double-down-on-inebriation-tourism/

Agriculture/Food System, Land Use, , , , ,

What could redevelopment at former Sears site mean for downtown Santa Rosa? Local officials weigh in

Sara Edwards & Paulina Pineda, PRESS DEMOCRAT

Government officials, business leaders and observers say two competing visions for the former Sears site at Santa Rosa Plaza could help inject new life in that corner of the mall and provide a boost to downtown merchants and restaurants.

Sonoma County Tourism has proposed building a convention center and 250-room hotel at First and A streets to rope more business tourism into the local economy.

Meanwhile, mall owner Simon Property Group is said to be in talks with an unnamed national housing developer to bring apartments and retail to the site.

The full picture of the economic impact of either proposal is still coming into view as public details of the proposals emerge.

But the discussion comes as Santa Rosa’s urban core grapples with an identity crisis fueled in part by boarded up shops and less foot traffic following the COVID-19 pandemic.

Read more at https://www.pressdemocrat.com/article/industrynews/sears-downtown-santa-rosa-plaza-mall/

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Developer terminates agreement with Windsor, leaving civic center project in limbo

Kathleen Coates, THE PRESS DEMOCRAT

The developer of a controversial Windsor civic center project has withdrawn from an exclusive negotiating agreement with the town, according to a letter received this week by officials, leaving the development’s future uncertain.

Robert Green of the eponymous Robert Green Co. sent a letter Thursday to interim Windsor Town Manager Mark Linder that said the company was exercising its right to terminate the agreement, which was a pact giving the developer the sole right to design the project.

Windsor Town Council had voted Dec. 1, 2021, to halt any work on the project until June 30. A vote on whether to continue the agreement and allow work on the project to move forward would have been held before that.

Mayor Sam Salmon said he anticipated a letter from Green, and wasn’t surprised that he was pulling out of the pact. He said the April 6 election was likely a referendum on the civic center project.

Read more at https://www.pressdemocrat.com/article/news/developer-terminates-agreement-with-windsor-leaving-civic-center-project-in/

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Planning commission works on new rules for Sonoma County winery events

Bill Swindell, THE PRESS DEMOCRAT

The Sonoma County Planning Commission on Thursday made some progress to finish new rules to regulate winery events that have triggered disputes between neighborhood activists and the wine industry over past years.

The panel revisited the draft that it initially considered last June, and again in February, in its quest to find a balance between rural neighbors who have complained about traffic and noise among wine tourists, against the local industry that contends the need for visitors.

But after five hours of debate, commissioners said they realized they had more work to do and would reconvene June 7 in attempt to finish the proposal. The Board of Supervisors is slated to take up the proposal on Sept. 27.

The rules would apply to only new and modified event applications. There are more than 460 winery permits in Sonoma County and roughly 60% have visitor components, such as tasting rooms, according to county staff.

Read more at https://www.pressdemocrat.com/article/business/planning-commission-works-on-new-rules-for-sonoma-county-winery-events/

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Proposed hotel sparks controversy among Healdsburg residents

Katherine Minkiewicz-Martine, SOCONEWS

Many Healdsburg residents are up in arms over a proposed four-story 16-room hotel — called Hotel Healdsburg Residences — that would be segmented into three separate buildings at 400, 412 and 418 Healdsburg Avenue.

While residents and planning commissioners share some of the same concerns regarding the scale of the project and its proposed design elements, the main concern for several community members is the project in relation to the city’s hotel ordinance, which limits the amount of hotels built in the Plaza retail area and in the city’s Downtown Commercial District (CD) near Piper, Vine, East and Mill Streets.

Read more at https://soconews.org/scn_healdsburg/news/proposed-hotel-sparks-controversy-among-healdsburg-residents/article_19536ba2-82ba-11ec-8cb7-b31ba0b8200c.html

Land Use, ,

Pacaso: You can’t unring a warning bell

Rue Furch, SONOMA COUNTY GAZETTE

The latest assault on the social fabric of our rural neighborhoods has arrived. The Pacaso LLC business model sells a “fractional ownership” to eight parties, providing access to a rural mansion multiple times a year. There is no limit on the number of people occupying the timeshare and the model skirts the obligation to pay Transient Occupancy Tax. Pacaso’s “party pads” are now found in Santa Rosa, Dry Creek Valley and Napa County, with more timeshare sales underway.

Pacaso is just the latest destructive element in “Tourism’s Faustian Deal” – the term coined at a 2015 NapaVision2050 Conference, where tourism and economic experts presented compelling data about Napa’s tourist-based economy and its unintended consequences both to communities and public trust resources.

Organizations have formed across Sonoma County including in Sonoma Valley (StopPacasoNow) and Dry Creek Valley (S.C.A.T. – Sonoma County Against Timeshares). Preserve Rural Sonoma County presented data to Sonoma’s decision makers demonstrating that the “Arm’s Race” for winery use permits was resulting in destructive competition, and that the inevitable economic course correction would result in harm to our signature small, family wineries.

Despite subsequent disruption from fire, flood and drought, Napa and Sonoma officials ignored expert advice and gave in to the lure of “Tourism’s Faustian Deal” – seemingly ignoring tourism’s external costs. The 2020-21 pandemic brought the economic realities home to tourist-oriented businesses.

Meanwhile, cities continued permitting hotel rooms and large-scale restaurants, while County officials opened ag and forest lands to accessory dwelling units, with no restrictions limiting their use as vacation rentals. New residents are building massive water and energy-intensive structures for use a few weeks each year, or for the short-term rental market.

Read more at https://www.sonomacountygazette.com/sonoma-county-news/pacaso-you-cant-unring-a-warning-bell/

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A startup is turning houses into corporations, and the neighbors are fighting back

Greg Rosalsky, NPR

On a sleepy cul-de-sac amid the bucolic vineyards and grassy hills of California’s Sonoma Valley, a $4 million house has become the epicenter of a summer-long spat between angry neighbors and a new venture capital-backed startup buying up homes around the nation. The company is called Pacaso. It says it’s the fastest company in American history to achieve the “unicorn” status of a billion-dollar valuation — but its quarrels in wine country, one of the first regions where it’s begun operations, foreshadow business troubles ahead.

Brad Day and his wife, Holly Kulak, were first introduced to Pacaso in May after a romantic sunset dinner in their yard. “And we just saw this drone, coming up and over our backyard,” Day says. “And we’re like, what is that?”

Pacaso denies directing or paying a drone operator to film the neighborhood. But its website does have drone photos of the house in question, located at 1405 Old Winery Court. It says it bought the photos after the fact.

Nonetheless, after the drone incident, Day and Kulak got suspicious about what was going on in their neighborhood. About a week later, their neighbors told them they were moving and selling their house to a limited liability corporation, or LLC. But they were super vague about it.

Day and Kulak began speaking with other residents on their cul-de-sac. One of them, Nancy Gardner, had learned from a friend in nearby Napa Valley about a new company called Pacaso that was buying houses in the area. The company was co-founded by a Napa resident, and it converts houses into LLCs. Pacaso then sells shares of these corporate houses to multiple investors. Gardner Googled Pacaso, and, sure enough, the house on their cul-de-sac was on its website. The company had named the house “Chardonnay” and was now selling investors the chance to buy a one-eighth share of it for $606,000.

Read more at https://www.npr.org/sections/money/2021/08/24/1030151330/a-unicorn-startup-is-turning-houses-into-corporations

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