A developer is proposing to build housing at 2504 Spruce Street without demolishing the Mecha fitness studio. Credit: John Herrick

The city’s Planning Board on Oct. 1 voted 4-1 to approve a plan to build a 52-unit townhome development at 2504 Spruce St., likely concluding a multiyear review process that saw major changes to the project. 

The proposed site, located just east of downtown, underscores the challenges of urban infill and efforts to increase housing density to drive down housing costs in a city struggling with affordability.

Pace Development LLC, the developer, first proposed the project in 2021, initially planning to build apartment buildings but eventually shifting to for-sale three- and four-bedroom townhomes. Four of these units would be designated as permanently affordable for those earning up to 120% of the area median income — about $123,000 for an individual. The developers are also expecting to pay about $3 million into the city’s Affordable Housing Fund to comply with the city’s development requirements. 

“Central to all that we have been working on for the past three-and-a-half years is to create an environment where persons of different incomes can live together. And that is why we have the affordable units on site,” Ali Gidfar, president of Pace Development LLC, told the city’s Planning Board last week. “Those are extremely expensive for us to do, and we don’t intend to give them up.” 

The plan includes tearing down several existing buildings, such as those occupied by Spruce Street Auto and Boulder Furniture Arts. However, the developer has agreed to spare the Mecha fitness studio, located in a former tire shop. Pace Development intends to sell the property to Mecha’s owner, Rebecca Baack. 

The developer was interested in building up to five stories to lower the cost per unit. But Boulder’s city charter imposes a strict 55-foot height limit, with limited exceptions. To maximize usable space, the project includes rooftop “backyard living” areas, which seeks to replicate a single-family home experience within a compact urban setting, according to the developers. The design also includes reduced setbacks by placing buildings closer to the street to increase density.

Additionally, the Planning Board granted the developer permission to provide 97 parking spaces, which is fewer than the city’s required minimum of 129. The site includes a “woonerf-style” street intended to be shared by pedestrians, cyclists and slow-moving vehicle drivers. To encourage alternative transportation, residents will receive an EcoPass and access to e-bike charging within their units, according to the developers.

Neighboring residents raised concerns about the potential impacts on views and limited parking. Some said the reduction in parking would worsen an already tight parking situation, including for businesses. 

The Boulder City Council could still weigh in on the project by holding a public hearing and vote. Alternatively, councilmembers could let the project proceed. The developer will still need to obtain demolition and building permits before construction can begin.

John Herrick is a reporter for Boulder Reporting Lab, covering housing, transportation, policing and local government. He previously covered the state Capitol for The Colorado Independent and environmental policy for VTDigger.org. Email: john@boulderreportinglab.org.

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7 Comments

  1. Good, for sale townhomes satisfies a need, no more for rent luxury apartments. But other than the designated units, this project will have no impact on affordability, these units will be $$$.

    1. I am also glad these are for sale, not for rent, and that some are designated permanently affordable. Every housing unit added to the market still helps affordability overall though.

      It’s a shame it took so long for this project to get approved: The easier we make it to build (by streamlining permitting and removing capricious decision points in the process), the faster we can address our housing shortage.

      1. Every housing unit added does not create to affordability, and don’t tell me economics 101. Boulder is an inelastic market because it is tiny; there is unlimited demand for expensive housing, this means more expensive units creates more expensive units for more rich to move in. But this has zero impact on affordability in Boulder.

  2. Glad the Mecha building is remaining and that there are some on site affordable for sale units – wish there were more as they could be attractive for families since Whittier Elementary is 4 blocks to the west, and Casey Middle School and Boulder High near by. It is also nice that walkers can walk thru between Spruce and Pearl. To view the development plans as well as architectural elevations see below:
    Dev Review Spruce and Folsom https://bouldercolorado.gov/development-review-cases-map
    Arch Plans. https://maps.bouldercolorado.gov/websites/docs/pds/LUR2024-00020/ArchPlns_2504%20Spruce_06-14-2024_v1.pdf

  3. Matt – This statement “Every housing unit added to the market still helps affordability overall though.” validates a myth. Without jobs/housing being balanced, all that happens is less affordable housing, higher demand and more need for services. This property should be built to accommodate the services that the massive quantity of housing that is already built and proposed in the area demands. Hyundai site, Nat’l Geographic (Iris W of Foothills), Rally Sport big development, townhomes already clustered all down Folsom and the east end of Spruce and Pine, Boulder Junction, Diagonal Plaza, McKenzie Junction, Weathervane, CU South, Millennium, College student row the full length of 28th that was City of Boulder Sales Tax Revenue generating hotels now converted to exclusive and high end student housing except for Flatirons Place for seniors. No wonder our budget is in deficit. There will be no more hotel rooms for homeless overflow, with higher demand and lower beds at the shelter. Deaths coming.

    Papellios is the name of this project. No one calls it that anymore. I’ve followed it since ’21 when the name WAS used. “Spruce Street” provides it anonymity. It encompasses almost the entire block of Pearl to Spruce and 25th (Folsom) to 26th. It is massive. It is mostly high end and a trinket of affordable units, the residents of which cannot utilize the rooftop decks (“open space” allocation) or swimming pool, like should have been learned from denying the affordable residents at McKenzie Junction and Coburn’s massive development at the Diagonal, both of which are not allowing the affordable residents use of the swimming pool amenity or probably fitness space and other exclusive spaces. Then they are going to drive and congest more.

    Are tourists going to come to tour a sea of apartment buildings that completely compose Boulder? We’re losing landmarks placemaking like never before, including the beautiful evergreen PROMISED to stay at the probably soon to be demolished perfectly good house at 425 Arapahoe. Kerri Whitman’s assistant Chloe volunteered, making a public point, to promise this tree would be preserved. This was at the Landmarks site visit on Thur. 26 Sept. at 4 PM. The tree was gone on Sun. 29 Sept., 3 days later, which means they had the audacity to take it out the very next day! Kerri is working on behalf of Stephen Tebo on the 1105 Spruce development. 302 Arapahoe is going down for the addition of high view multilevel condos blocking the open space and adding to a set of two condos just west of 4th/ Arapahoe.

    The great functional services pre-existing at “Papellios” are Boulder Furniture Arts, Hoshi Motors, Mecca fitness, a scooter place and some other plumbing or other kind of functional service the area NEEDS. The prominent Mecca structural form that didn’t make landmarking (which was probably coerced) was going to be incorporated into the entrance of Papellios as enticement proposed by Ali (the developer from Aspen) to gain approval. There is a duplicated fitness center IN Papillios. WE NEED ACTUAL SERVICES ANYBODY CAN USE, NOT MORE OVERPRICED HOUSING.

    Call me 24/7 if you don’t understand what magnitude of a disaster this is going to be for “Boulder Valley Regional Center”. The short walking distance required by BVRC should be for the high pre-existing demand for services, not more housing generating yet more demand for even more services. Lynn 303-434-8128

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