Data related to woody species encroachment by Baccharis pilularis from an experimental drought and restoration study at Younger Lagoon Reserve, Santa Cruz, California, USA from 2019-2021 are presented. The data includes cover, abundance counts, and trait measurements (stem diameter, leaf area, specific leaf area, leaf thickness, major vein length per unit area and leaf lobedness). Baccharis pilularis is an invading native woody shrub in western North America and has been shown to have higher recruitment following non-periodic disturbances. Woody species encroachment is increasingly displacing grasslands and negatively impacting regional plant richness and economic productivity from grazing. Although intermediate disturbance has been found to reduce woody species encroachment and maximize species diversity, ecological restoration can often lead to many small, infrequent disturbances. These small disturbances may not be strong enough to limit woody encroachment, and instead may promote invasion. To address these questions, I quantified natural Baccharis pilularis recruitment at an invaded coastal California grassland in plots after experimental restoration (singular planting efforts and non-native species control only in the first year) and extreme drought conditions (60% rain exclusion) six years post-restoration. I measured B. pilularis specific leaf area, major vein length per unit area, leaf thickness and leaf lobedness four years post-treatment and stem diameter five years post-treatment. Native woody shrub encroachment by B. pilularis was higher in restored plots compared to non-restored plots, which had zero recruitment. Drought caused by 60% rainout shelters reduced B. pilularis recruitment but not cover, indicating plastic trait responses may be sufficient to support persistence (leaf thickness and stem diameter versus major vein length per unit area). Results suggest that planting and other sporadic restoration activities (i.e. invasive species control) in grasslands can cause small, infrequent disturbances that promote native woody shrub encroachment.