Commercial Real Estate in New Almaden: Historic District Rules, Use Conversions and Almaden Road
By Matthew Martinez, Founder, CEO & Managing Broker, Diamond Real Estate Group. California DRE #01869679.
New Almaden is an unincorporated village south of San Jose, built around the old quicksilver mine. Almost everything about using property there for business runs through one County zoning overlay, the -h1 historic preservation district, which covers the New Almaden National Historic Landmark District. There is no conventional commercial zoning in the village. Commercial possibilities come instead from home occupations, conversion of registered historic buildings, nonprofit institutional uses and the County’s rural district rules on the surrounding land. Confirm the base zoning, historic status and permits for any parcel with the County of Santa Clara Department of Planning and Development before you commit.
Who controls the parcel
New Almaden is outside any city, so the Santa Clara County Zoning Ordinance applies, with the -h1 overlay layered over the base district. Under Chapter 3.50, the -h1 standards override any conflicting base district rule. The County describes the district as mostly parkland in Almaden Quicksilver County Park, with the rest mainly private homes. The City of San Jose boundary is close by, so check the parcel record: a nearby address may be in San Jose and follow city zoning instead. For countywide context, see our Santa Clara County commercial guide.
New Almaden zoning for business and institutional use
The -h1 district sets its own use list, summarized below from Section 3.50.090.
| Use | Permit in -h1 | Notes |
|---|---|---|
| Single-family homes, ADUs | By right | The district’s primary use |
| Home occupations | By right | County limits: one nonresident employee, about three visitors a day |
| Expanded home occupations | Special permit | One-acre minimum lot; accessory space up to 1,200 sq ft |
| Conversion of a registered historic structure to another use | Special permit, with findings | The main path to a business use in the village |
| Limited agriculture | By right | |
| Nonprofit institutions, such as community meeting facilities | Use permit and architecture and site approval | |
| Minor utilities | Architecture and site approval | Major utilities need a use permit as well |
| Surrounding rural land (HS, AR or RR districts) | Varies | B&Bs, camps and small wineries possible; see below |
The overlay does not list retail, restaurants or lodging as such, so a buyer hoping to open a shop or inn will usually need a historic use conversion or a base district that allows the use, plus every historic approval described below.
The -h1 historic district: what review looks like
- Design review. New buildings and exterior changes that alter appearance need design review, and individually designated historic resources are not eligible for discretionary exemptions.
- Historical Heritage Commission. In -h1, the Commission holds its own public hearing on design review and architecture and site applications before the County’s hearing. If it does not respond within 60 days, that counts as no opposition.
- Height and setbacks. Buildings are limited to 35 feet and two stories. Historic front setbacks along Almaden Road must be kept for Priority List 1 properties.
- Materials and color. These standards are mandatory for Priority List 1 and 2 properties and need substantial conformance elsewhere in the Central Community Area. They are advisory beyond it.
- Trees. Removing a protected tree of six inches in diameter or more needs a permit.
- Demolition. Tearing down a historic structure requires Board of Supervisors approval after referral to the Commission.
The -h1 standards have been amended several times, most recently by Ordinance NS-1200.371 in 2020. Ask the County which priority list a building is on before pricing any renovation.
Almaden Road, rural uses and fire
Scenic road. The County’s -sr scenic roads district lists Almaden Road from the San Jose city boundary to Alamitos Road. Any structure, including a sign, within 100 feet of the right-of-way needs design review, and buildings there cannot get exemptions. Each lot is limited to one on-site sign of 16 square feet plus a for-sale or for-lease sign.
Rural districts around the village. Chapter 2.20 governs hillside and ranch land outside the historic core. Small wineries and farm stands are permitted by right. Bed and breakfast inns, camps and retreats, commercial stables and kennels need a use permit. In Hillside and Ranchlands, local-serving retail and restaurants of up to 1,200 square feet are possible with a use permit.
Fire. The County Fire Department’s hazard mitigation annex lists New Almaden among its wildland-urban interface planning areas. CAL FIRE shares responsibility in State Responsibility Areas. Expect defensible space, access and water supply conditions on any permit for a public-serving use.
Transfer tax, business tax and property tax
The County’s real property transfer tax is $0.55 per $500 of consideration, excluding assumed liens. For unincorporated property, all of it goes to the County, and no city transfer tax applies. Lodging pays the County’s transient occupancy tax under Chapter V of the same taxation division; we did not verify the rate. We did not find an unincorporated business license tax. A change of ownership generally triggers Proposition 13 reassessment, and historic properties may be eligible for Mills Act contracts, which you should confirm with the County.
Due diligence that matters in New Almaden
Start with our commercial due diligence checklist, then add:
- Confirm the parcel is unincorporated, in -h1, and its base district.
- Find out whether the building is a registered historic resource and its priority list.
- For a business use, map the special permit findings for a historic use conversion and schedule the Commission hearing.
- Check the Almaden Road setback and scenic road sign limits.
- Confirm septic, water and fire access capacity for any public-serving use.
- Review the history of any existing business for legal nonconforming status.
Questions people ask
Is there commercial zoning in New Almaden?
Not in the conventional sense. The -h1 overlay allows home occupations, nonprofit institutions and, by special permit, conversion of registered historic buildings to other uses.
Who reviews changes to buildings in New Almaden?
The County’s Historical Heritage Commission, which holds its own public hearing in -h1 before County decision-makers act.
Can I open a bed and breakfast near New Almaden?
On surrounding rural land, a B&B needs a use permit. Inside -h1, it would generally need a historic use conversion permit. Ask the County which applies.
How tall can I build in New Almaden?
35 feet and two stories in -h1.
Is Almaden Road a scenic road?
Yes, from the San Jose boundary to Alamitos Road, so structures within 100 feet need design review.
Can a historic building be demolished?
Only with Board of Supervisors approval after referral to the Historical Heritage Commission.
Does Diamond handle commercial property in New Almaden?
Contact Matthew Martinez to discuss buying, selling or leasing property in New Almaden.
Sources & notes
- Santa Clara County Zoning Ordinance (GoCodebook)
- Chapter 3.50, -h Historic Preservation districts
- Chapter 3.30, -sr Scenic Roads
- Chapter 2.20, Rural Base Districts
- Santa Clara County Fire Department, hazard mitigation annex (2016)
- County real property transfer tax
Note: We did not review the County zoning map for individual parcels, the New Almaden design guidelines or priority lists, the TOT rate or Mills Act eligibility. Which base districts surround the village was not confirmed.
This page is general information, not legal or tax advice. Last reviewed October 2026 by Matthew Martinez.
Related: New Almaden real estate guide · Multifamily property in New Almaden · Commercial real estate services