At its Jan. 10 meeting, the commission also supported a three-story parking garage, which is considered a key part of the residential and commercial project. The development, which would involve Vallco's owners, Landmark Properties, and the Perkowitz and Ruth architectural firm, will go to the city council for final approval.

"The structure helps us secure the department stores, movie theaters and other buildings," said Mike Rohde, manager of Vallco.

Due to concerns of nearby residents, designs of the parking garage and other components of the project were tailored to be more neighborhood-friendly. In response to those concerns, the proposed project is to have two-story condominiums, limited vehicle and pedestrian access to nearby neighborhoods and landscaping to screen views of the Vallco buildings. The number of residences was also reduced from a proposed 156.

"Relationships are very important to the neighborhood," said Steve Piasecki, Cupertino's director of community development. "Building height, setback [from the street] and traffic patterns are ways to make [the project] compatible."

With these suggestions in mind, the planning commission unanimously recommended the project to the city council for approval. Angela Chen, a commissioner for five years, did not vote since she unexpectedly resigned her position Jan. 1 to devote more time to her personal life.

The redevelopment of Vallco, which has seen business decline in the last decade, is seen as key to jump-starting Cupertino's sales tax revenue.

To help ensure that will happen, Commissioner Marty Miller also recommended the city council hire a consultant to assess Vallco's future fiscal health. At the moment, city officials speculate the mall could generate about $4 million per year in revenue.

"We don't want to see an under-performing mall," Piasecki said.