The three recently constructed Mozart buildings have taken away approximately 100 parking spaces previously available to Town & Country Village businesses and patrons.

"The proximity of those spaces is very important to those businesses," said Suzi Blackman, president and CEO of the Sunnyvale Chamber of Commerce.

Downtown businesses continue to face hardships from the economy and the ongoing construction, she said, adding that losing parking spaces close to their establishments will only make matters worse.

City staff met with members of the Sunnyvale Downtown Association and the Sunnyvale Chamber of Commerce to gain input on the larger plaza proposal before city council members unanimously approved it on Oct. 8.

"The downtown association supports the larger plaza, but it was a hard decision," said Joe Antuzzi, chairman of the association.

He added it's not just replacing the number of spaces but the location of those spaces that downtown businesses are concerned about. In addition, there is concern about the city following through on the proposal, he said.

"There are major questions about the real ability for the city to deliver the parking places previously suggested," Antuzzi wrote in a letter to Robert Paternoster, director of community development. "Ever since the downtown redevelopment began almost five years ago, there have been times when expectations didn't match reality, especially in as timely a manner as expected."

Although the underground parking garage across from the Caltrain station is now open for the public, people don't know about it, he said. According to staff estimates, additional signage—per Antuzzi's request—will take at least another 2 to 3 months.

"There've been a lot of problems," Blackman said. "A lot of the merchants are barely hanging on."

Although businesses have been asked to be flexible, communication with the downtown businesses hasn't been good, she said. Businesses have been told one thing and they find out that something else is going on, often the hard way.

Challenges are far from over for the downtown area. Several upcoming projects will most likely have an impact on the businesses in the next few years. These include the downtown redevelopment plan, which includes the Town & Country Village, the Caltrain multi-modal plan and the Mathilda Avenue overpass rehabilitation.

In addition, there is uncertainty about the Town Center Mall, which is currently under receivership because of bankruptcy proceedings.

"Everyone's sitting on pins and needles now, waiting to see what happens," Blackman said.