Santa Cruz | River Street Java Junction will stay open

SANTA CRUZ - The River Street location of coffee shop Java Junction will remain open after owner Michael Spadafora reached a last-minute deal and sold the store to another local business owner.

"I'm glad my staff were able to retain the jobs, and another local business is taking it over," Spadafora said.

About a week before Java Junction's lease was set to expire, Spadafora announced that the River Street Java Junction would close April 27. He would then have a few days to sell equipment and vacate the premises by April 30, the date his lease ended.

Even as Spadafora worked on closing the shop, which is one of three Java Junction locations, a friend of his expressed interest in buying the store. Spadafora declined to name the friend, but said they owned local businesses in Santa Cruz, and would be able to absorb the high rent costs that prompted Spadafora to close the River Street store.

After working with the store's property owners until the last minute, the new owner was able to acquire all of the necessary assets. The shop's doors reopened around noon May 1, the day after Spadafora's lease was set to expire.

The coffee shop, which has been in its current storefront for 28 years, will keep its name, menu and staff for the time being, even under new ownership. Spadafora plans to consult with the new owner and help ease the transition.

"It's part of the family, not part of the company," Spadafora said.

Spadafora originally planned to close the River Street location because of an upcoming rent hike as well as the effects of nearby construction in Gateway Plaza, the shopping center where Java Junction is located. For months, Spadafora said, construction equipment, portable toilets or dumpsters were parked in front of Java Junction's front doors, blocking customer parking and the coffee shop's outdoor seating area. To boot, Spadafora said that the property's owners, Los Angeles-based Balboa Retail Partners, could not provide a clear timeline for when he could reopen his patio seating, or when construction would wrap up.

Over the past year, Spadafora estimated, sales have been down 5% to 10%, in part due to the effects of nearby construction, he said. The downtick in sales, combined with a rent hike that would bring monthly costs to around $9,000, pushed Spadafora to close the store.

Java Junction's other locations, especially the one located on Seabright Avenue, have also been suffering due to construction. Both locations are close to the Murray Street Bridge, which has undergone complete and partial closures over the past year. In June, the bridge will close to all traffic for over three months, prompting anxiety in some Lower Seabright business owners.

"Seabright is on a wait-and-see basis," Spadafora said.

The owner is unsure how the upcoming closure will impact his business, considering he saw a 15% dip in sales over the past year.

Though Java Junction on River Street will remain open and keep the name, Spadafora said he has no plans to buy back the store.

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This story was originally published May 6, 2026 at 5:20 PM.