The Summit Fire was reported about 7 p.m. and was fully contained just after 9 p.m., according to Cal Fire's CZU unit, which covers San Mateo and Santa Cruz counties.
Evacuations were ordered for Alta Vista Lane and Santa Cruz Ridge Road, the Scotts Valley Police Department said.
The right lane of southbound Highway 17 was closed as firefighters attacked the blaze.
Cal Fire, the Boulder Creek Fire Protection District and the Scotts Valley Fire Department responded to the fire.