The building was formerly a storage facility owned by Palace Art & Office Supply. (Tarmo Hannula/The Panaronian)

Grey Bears, which has been helping seniors for more than five decades, has unveiled plans to renovate an 11,000 square-foot warehouse next to its existing mid-county facility. 

The space, formally a warehouse for Palace Art & Office Supply, will serve as a home of the Grey Bears Healthy Food Program. 

“This critical infrastructure expansion supports the organization’s mission to meet rapidly growing demand for senior nutrition and community services,” said Executive Director Jennifer Merchant. “We’re bursting at the seams. This is an opportunity for us to create a home where we can live in for the next 50-plus years.”

Grey Bears in Santa Cruz is currently working on transforming this 11,000 square-foot warehouse into their Healthy Food Program facility. (Tarmo Hannula/The Panaronian) 

Building plans, submitted to the County of Santa Cruz in February, include a renovated multi-use warehouse space, expanded ADA restrooms, permanent indoor market designed to feel like a neighborhood grocery store, expanded interior refrigeration and storage capacity, and a state-of-the-art kitchen nearly double the size of the existing kitchen. That kitchen in 2025 was used to serve 63,000 meals.

“This new facility allows us to support the next generation of seniors,” said Kayla Traber, Development Director. “We all know that Santa Cruz County has the fastest growing senior population in the state of California and this project will allow us to support local seniors to thrive in their community and have a place where they belong.” 

Grey Bears purchased the warehouse in 2024 for $4 million and has already begun transitioning some administrative operations into the building. Full renovation efforts will take several years, with projected completion by 2028. The total project is anticipated to cost $9.6 million dollars. 

Community support for the project includes philanthropists Rebecca and Bud Colligan, Julie Packard, the Packard Foundation, Monterey Peninsula Foundation and the Community Foundation of Santa Cruz County. Grey Bears also received a matching grant from the 1440 Foundation, which agreed to match dollar-for-dollar up to $500,000 in donations to support the project.  

The project is 80% funded, with $1.8 million remaining to be raised. Grey Bears is asking the community to help with donations.

Additionally, Grey Bears runs a large thrift store of repurposed donated household items that helps with their funding.“We promote activity, seniors learning and volunteering to keep our community engaged and connected,” Grey Bears said. To donate and learn more, visit greybears.org.

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Tarmo Hannula has been the lead photographer with The Pajaronian newspaper in Watsonville since 1997. More recently Good Times & Press Banner. He also reports on a wide range of topics, including police, fire, environment, schools, the arts and events. A fifth generation Californian, Tarmo was born in the Mother Lode of the Sierra (Columbia) and has lived in Santa Cruz County since the late 1970s. He earned a BA from UC Santa Cruz and has traveled to 33 countries.

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