Developer credited to Macerich’s predecessor entities opened Capitola Mall in April 1977 in Capitola, California, on the northern edge of Monterey Bay in Santa Cruz County, anchored at opening by Sears and Mervyn’s; the property remains the only enclosed regional shopping center in Santa Cruz County. A major 1988-89 expansion nearly doubled the mall’s size, adding a food court, a new JCPenney and an expanded specialty-retail mix, and Gottschalks joined as a further anchor in 1990, replacing that chain’s former downtown Santa Cruz location.
Mervyn’s space was reoccupied by Kohl’s after that chain’s decline, which remains a current anchor; Gottschalks closed in July 2009 following its own bankruptcy, and Sears closed in November 2018 as part of a 46-store national closure announcement. Macerich sold the property to Merlone Geier Partners in April 2016.
At roughly 584,419 sqft, the property carries more than 80 stores and restaurants, per its own current marketing materials, anchored by Kohl’s, Macy’s and Target, with one further anchor position (the former Sears) vacant. Merlone Geier now manages the property directly.
A 2025 California-mandated municipal housing-element update identified the Capitola Mall site, among the city’s few large parcels, as a location that could accommodate future required housing; Merlone Geier and the City of Capitola have both stated publicly there are no approved plans to demolish or close the mall, and that Target, Macy’s, Ross, Olive Garden and Bank of America, all operating on parcels the mall’s owner doesn’t control, continue normal day-to-day operations regardless of any zoning change.
