Planning Commision Approves Massive Palisades Tahoe Village Expansion With Unanimous Vote

The Village at Palisades Tahoe Specific Plan took a significant step forward this week after the Placer County Planning Commission gave it a unanimous recommendation for approval.

The plan now moves to the Placer County Board of Supervisors, which is expected to consider it in May.

The proposal has gone through extensive revisions following input from more than 5,000 people across 300-plus community meetings. Collaboration with environmental groups Sierra Watch and League to Save Lake Tahoe also led to notable changes in the project’s scope and approach.

Among the most significant revisions: total lodging bedrooms were cut by 40%, dropping from 1,493 to 896, and commercial square footage was trimmed from 278,000 to a maximum of 242,000. Development was pulled back from Shirley Canyon, opening up roughly 24% more open space zoning in the main village area, including about 40 acres set aside for forest recreation and conservation.

The project would be built primarily on existing paved parking areas and previously disturbed land. It includes dedicated on-site workforce housing for up to 296 employees, with room for at least 200 within Olympic Valley.

Other key elements include restoration of Washeshu Creek, a $2 million TRPA Mobility Fee for regional transportation, $800,000 in community contributions, and a 2.5% short-term lodging fee expected to generate around $1 million annually for workforce housing and transit.

The plan also prioritizes walkability, with direct connections to the Truckee River bike path.

“This process has never been about being right. It’s about getting it right,” said Amy Ohran, President and COO of Palisades Tahoe.