As a Tier 4 advisory body, the Economic Development and Technology Committee has no independent authority to adopt policy or direct programs. Any recommendations that emerge from Tuesday’s discussion would be forwarded to the full City Council, which retains final authority over zoning, specific plans, fees, and any regulatory changes affecting Pasadena’s commercial districts.
The nut graf for Pasadena residents and business owners is this: the presentation argues that the city’s retail vacancies are less a simple oversupply problem than a “retail iceberg” — a complex mix of leasing timelines, undercapitalized small businesses, long tenant build-outs of 12 to 24 months, and regulatory friction that would not be solved by any single intervention. If committee members endorse the framing, recommendations to right-size ground-floor retail requirements, streamline permitting, and reduce barriers to entry for experiential uses could be forwarded to the City Council for consideration.
According to the staff presentation, Pasadena’s combined retail supply across its core districts, as zoned, would constitute the largest commercial offerings in the entire Los Angeles region. Old Pasadena and Playhouse Village together make up the second largest shopping destination in Southern California at roughly 2,371,860 square feet of gross leasable space, and the South Lake corridor carries square footage comparable to The Grove in Los Angeles.
A district-level breakdown shows significant variation in vacancy. Quadrant A holds 220 retail businesses across 1.3 million square feet with a 3% vacancy rate and $36 asking rent. Quadrant B, which encompasses the downtown core, contains 890 retail businesses across 5.4 million square feet with a 7.8% vacancy rate and $43 asking rent. Quadrants C and D post 3.8% and 4% vacancy rates, respectively. Year-over-year comparisons show Old Pasadena vacancy edging down from roughly 11.4% in the first quarter of 2025 to 11.2% in the first quarter of 2026, Playhouse dropping from about 7.5% to 6.6%, and South Lake rising from roughly 6% to 8.7%.
The presentation also addresses Senate Bill 789, introduced in 2025 by State Sen. Caroline Menjivar, which proposed a $5-per-square-foot annual tax on commercial properties vacant for 182 or more days. That bill failed in February, according to the staff materials.
Staff identifies Conditional Use Permits as a significant hurdle to market entry, particularly for experiential uses such as bars, live entertainment, breweries, hotels, recreation, childcare, and certain office uses that have become increasingly common visitation drivers. The 2023 Specific Plan for the Central District expanded allowed ground-floor commercial uses compared with the 2004 Specific Plan, but staff notes additional updates may be needed to reflect market needs.
The committee will also hear about notable 2026 openings including Boot Barn at 3353 E. Foothill Blvd., Bob’s Furniture at 3341 E. Foothill Blvd., Escapology and Monarca Collective at 300 E. Colorado Blvd., Lunasia Signature at 865 E. Colorado Blvd., I-Mei Spa at 1 W. California Blvd., and Ry’s Poke Shack at 2700 E. Colorado Blvd. Anticipated openings include Mammoth Coffee Roasting at 183 N. Fair Oaks, Thumbling at 113 N. Fair Oaks Ave., Nana’s Green Tea at 45 N. Raymond Ave., Olive Young at 58 W. Colorado Blvd., and Nova Lagree at 305 E. Foothill Blvd. At The Paseo specifically, staff reports 95,000 square feet leased in the last year with another 16,000 square feet in the pipeline, including Round 1 anticipated in spring 2027 and Paris Baguette anticipated in summer 2026.
The Economic Development and Technology Committee is scheduled to meet at 5 p.m. on Tuesday, April 21, in the Council Chamber at Pasadena City Hall, 100 N. Garfield Ave., Room S249, in Pasadena. For more information call (626) 744-7311 or visit https://www.cityofpasadena.
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