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A Tracy Hills wine label

Tracy Hills is one of California's younger AVAs, created in 2006 after the Tulip Hill winery lobbied for the AVA's recognition. The Tracy Hills, and the small number of vineyards planted among them, are located about 55 miles (90km) east and south-east of San Francisco through the Livermore Valley.

Only five vineyards were planted before the AVA's formalisation: they are 100–500ft (30–152m) above sea level, and overlook the vineyards of the tiny River Junction AVA on an alluvial plain. Tracy Hills AVA's 40,000 acres (16,185ha) are located mostly at the southern edge of San Joaquin County, although they creep over into Stanislaus County. The vineyards within this area are generally planted between the low, rolling Altamont Hills around the town of Tracy (a factor in the AVA's name), where they are protected from the Pacific Ocean's influence by the peaks of the Californian Coastal Ranges.

Despite being located along the eastern edge of the Coastal Ranges, the topography is mostly gentle, sloping steadily down towards the San Joaquin valley floor. The geological profile consists mostly of fairly free-draining alluvial and colluvial soils. Limited rainfall, particularly during the harvest, helps control yields and persistent breezes help keep temperatures down and vine disease to a minimum.

A small number of boutique winemakers produce a variety of wines in Tracy Hills, with no regional signature variety emerging as yet. The Italian varieties Nero d'Avola, Montepulciano and Sagrantino are used here, although in small quantities, and are complemented by French counterparts such as Syrah, Cabernet Sauvignon and Chardonnay.

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