Block 67: Construction Starting Spring 2026

Construction to start on key Downtown Hillsboro Site

Groundbreaking on a transformative mixed-use development in Downtown Hillsboro is planned for April 2026, marking the start of a new chapter for a prominent site in Hillsboro's Health & Education District.

The project, delivered by Kōz Development, will create 338 residential units designed for older adults and working families along with commercial spaces and an anchor grocery store.

Known as Kōz on Baseline and located on the "Block 67" site, the project will further strengthen Hillsboro's downtown core and create a place where more people can live, shop, and connect in the heart of the community.

Block 67 Construction Details

Community members are invited to attend an informational meeting to learn more about the project and the next steps:

Wednesday, April 15 | 6 to 7:30 pm
Health Education Center @ OHSU Hillsboro Medical Center
334 SE 8th Avenue

Representatives from Kōz Development and lead contractor Deacon Construction will be present to share the overall vision, logistics, and milestones for the project with a two-year construction plan.

Attendees can also learn more about plans for the Virginia Garcia Hillsboro Wellness Center and Portland Community College Workforce Project proposed on the nearby Block 56 site. Both projects are part of the Hillsboro School District's plan to redevelop the property, which was formerly the Miller Education Center. Together, they will create a new health, education, and workforce development campus.

Block 67 Construction Timeline

Begin Construction: April 2026

Sitework: April - June 2026

Building Construction: Summer 2026 - Spring 2028

Grand Opening: Spring 2028

Block 67 Project Background

Block 67 was formerly the home of Hank's Thriftway for 80 years. The grocery store closed in 2015.

Recognizing the significance of the 3.61-acre site within the Downtown Area, the City of Hillsboro purchased the property for $4.8 million in 2016.

After demolition of the former grocery store, the City sought developers to deliver a project that would further the community's goals for Downtown Hillsboro as well as enhance the connection between Hillsboro's Health & Education District and Main Street.

After exploring proposals with other developers, the City of Hillsboro entered into a Disposition and Development Agreement with Kōz Development in December 2024 for the Block 67 site.

Hillsboro City Council approved the transfer of the property to Kōz Development in June 2025 after the group received land-use entitlement for the project and began work to secure other required permits for development.

Kōz Development has signed a letter of intent with Fresh Foods and the Hillsboro Food Co-Op to occupy the anchor grocery store space on the ground level.

Block 67 Project Features

Building A

• Fronts Washington Street
• Four-story, 114-unit age-restricted community for those 55+
• 69 studios; 31 one-bedrooms; 14 two-bedrooms
• Commercial spaces on the ground floor

Building B:

• Fronts SE Baseline Street
• Six-story, 224-unit workforce housing
• 129 studios; 65 one-bedrooms; 30 two-bedrooms
• Two retail commercial spaces on the ground level, one being a grocer and/or food co-op.

Parking: 114 proposed on-site surface parking spaces and proposed lease of approximately 130 additional currently underutilized spaces at the Intermodal Transit Facility (ITF) garage.

On-site Grocer: Kōz Development has signed a letter of intent with Fresh Foods and the Hillsboro Food Co-Op to occupy one of the commercial spaces on the ground level.

Alignment with previous public input: The proposed project addresses many of these community desires for the site.

• housing options at a range of affordability levels
• maximize the property's value to the community
• construct a grocery store or food market

Block 67 Project Context

Making Downtown Hillsboro a more vibrant, livable place continues to be a top community priority. The redevelopment of Block 67 will help further meet the community's goals for Downtown Hillsboro as well as enhance the connection between Hillsboro's Health and Education District and the historic Downtown.