San Jose Pioneers Affordable Housing with First ADU Condo Sale

San Jose has marked a significant milestone by becoming the first city in California to approve the sale of an accessory dwelling unit as a condominium. This achievement opens new pathways for homeownership and addresses the pressing need for more housing options in the region. The inaugural unit at 410 Josefa Street, near Diridon Station, stands as a model for future developments, already occupied by tenants and ready for market.

Enabled by Assembly Bill 1033, which took effect in 2024, this initiative allows ADUs to be sold independently from the main residence. Cupertino-based AlphaX RE Capital led the project, with the city's Department of Public Works completing the necessary parcel map review in just 60 days. Such efficiency demonstrates San Jose's commitment to streamlining processes that support innovative housing solutions.

Since 2022, the city has approved 1,500 ADUs, accounting for over 20 percent of its new housing production. These units provide an accessible entry into ownership, particularly for those seeking affordable alternatives in a competitive market. AlphaX RE Capital plans to develop more than 80 additional spaces, expanding opportunities across neighborhoods.

To assist residents and developers, San Jose offers resources like the ADU Condominium Checklist and the longstanding ADU Universal Checklist, which simplify permitting and conversion steps. The addition of two ADU Ally positions in the Building Division further eases navigation through the process, ensuring more people can participate in this growing trend.

This development highlights San Jose's proactive approach to housing challenges, fostering a community where innovation meets practicality. As the city continues to lead in such efforts, residents gain fresh ways to build equity and stability right in their backyards.

Source: SVBJ

Affordable Housing Takes Center Stage at 1197 Lick Avenue

Local developers, The Core Cos. and Republic Urban Properties, have shifted their plans to prioritize affordable housing at 1197 Lick Avenue. The revised proposal now includes 135 units of affordable housing, a significant increase from the original plan. Located next to Tamien Station, the development offers unparalleled access to Caltrain, Amtrak, VTA, and other public transit options. This prime location means residents can easily commute to work, access essential services, and enjoy the nearby amenities that make San Jose a desirable place to live. The project’s focus on affordability, paired with its transit-oriented design, makes it a standout in the city’s efforts to create housing that works for all.

Designed by Studio T-Square, the development will feature three buildings, each five stories tall, with a mix of one-, two-, and three-bedroom units. The affordable units are specifically set aside for households earning between 30% and 60% of the area’s median income, addressing a critical gap in San Jose’s housing market. Additionally, the project includes a ground-floor child-care center, which will serve up to 60 students, further enhancing the community’s resources. The pivot to affordable housing was driven by funding opportunities and the desire to deliver a project that meets the city’s most pressing needs.

With median rents soaring to $2,500 and a homeownership rate of just 55%, the city has been grappling with affordability for years. The development at 1197 Lick Avenue is a crucial step toward easing this burden, offering relief to low-income families and individuals who have long been priced out of the market. It also aligns with San Jose’s broader goals for transit-oriented growth, ensuring that housing is not only affordable but also sustainable and connected.

Source: SF YIMBY