Affordable housing coming to Buena Vista neighborhood in Midtown San Jose

259 Meridian Avenue is the current site of a few 1-story commercial buildings built in 1958 that are tucked away behind W. San Carlos. This is the Buena Vista neighborhood or Midtown between Downtown San Jose, and Santana Row/Valley Fair (Uptown).

Developer Milestone Housing Group is proposing to build a 154-unit six-story project on this site. This developer specializes in affordable homes and teams with nonprofit organizations. The housing they build is typical for individuals and families that have a wide variety of specific needs, including veterans with disabilities, senior housing, and permanent housing for the unhoused.

This was just filed with the San Jose Planning Department, and there is no official ETA.

Source: The Merc

380 North 1st apartment project moves forward in North San Jose

A seven-story apartment project at 380 North 1st street is moving forward to environmental review. The proposal is an infill project that will replace a two-story commercial building at the edge of Downtown San Jose (5 minute walk to St. James Park).

The apartment building will have 118 homes, 18 of which will be designated as affordable units. There will be 74 parking spaces at the ground level using a car stacking system that will stack up to three cars on top of one another. There will also be parking for 30 bicycles and a bike cafe. An amenity deck is situated on the third floor and a clubroom with a balcony on the sixth floor.

Overall it's a significant upgrade from what was there before and is close to both Light Rail and transit lines (Buses 72 and 73 stop across the street).

Source: SF YIMBY

San Jose housing project upsized in "Uptown"

The site of the former Century 24 domed movie theater at 741 South Winchester Blvd. is destined to become an affordable housing project. The developers SyRes Properties LLC is increasing the number of units to 264 in a seven-story residential building.

The project would have 35 studios, 113 one-bedroom apartments, and 116 two-bedroom apartments. 20% of the units units would be considered affordable, which allow the complex to qualify as a housing development for very low, low, or moderate-income households. This designation allows the developer to apply for a "builder's remedy" which not only accelerates the project through city planning but enables to builder to add more units to the project.

The project would also include a community room, a 3rd floor outdoor space, a gym, and co-working spaces for residents. However, the biggest draw might be that is is just blocks away from Santana Row and other development projects around the Winchester Mystery House.

Source: The Merc

New permit activity for Orchard Residential in Downtown San Jose

A 30-story apartment tower called Orchard Residential is slowly moving forward. Plans were approved last November, but some revisions were requested such as cutting car parking by half. They are hoping to receive their full building permit by fall to proceed with a pretty stunning 294-foot tall project.

The building will have 502,340 SQFT dedicated to residences, 13,860 SQFT of ground-floor retail, 104 parking spaces for cars, and 176 spaces for bicycles. The renders below are not just concepts--they are actually planning to plant 312 fruit trees and additional plants across the facade which is something more projects should consider doing.

Source: SF YIMBY, Dirk_Birkin from Skyscraper City

List of major Downtown San Jose projects under development

After many years of relatively generic proposals for Downtown San Jose throughout the early 2000s and 2010s, we are starting to see some bolder proposals that better reflect the diversity and uniqueness of Silicon Valley. 

I especially love projects that combine historic buildings with newer elements above or beside the original building, like what Bayview Development is doing at 150 E. Santa Clara.

For more details on each of these projects, hit the source link below.

Source: SVBJ

33 S. Montgomery St. (1.2 million SQF office, retail, and restaurants)

150 E. Santa Clara (75,285 SQFT Office + Retail)

The Terraine (319-unit residential, 12,263 SQFT of retail)

The Mark (Housing for 1,000 students)

Woz Way (1 million SQFT office, 10,100 SQFT retail)

More homes to replace surface parking near Roosevelt Park

213 homes are being planned at the corner of North 17th Street and East St. John Street, right on the outskirts of Downtown San Jose in the Julian-St. James neighborhood. 113 of the units are affordable family-oriented apartments, 64 would be dedicated to seniors, and 36 will be for-sale townhomes offered at affordable prices.

The family apartments will have 8,300 SQFT of amenities and an open-space courtyard while the senior apartments would have 10,400 SQFT of amenity space and a courtyard of their own. The townhomes will have a paseo running through them.

The project includes an 80-year old building that served as IBM's first operations on the West Coast. The developers are looking to somehow incorporate that building into the project.

Source: The Merc

San Jose dethrones New York as most expensive rental market

Cheers to awards we don't want to win! In June the San Jose metro became the most expensive place to rent a home in the United States--beating out both New York and San Francisco. The median rent for a typical apartment, condo, or single family home in San Jose hit a staggering $3,411 per month. This just edged out the notoriously expensive New York Metro, which came in at $3,405.

Third place on the list was also a surprise. San Diego surpassed our neighbor up north with a median rent of $3,175/mo. San Francisco was fourth at $3,168 and Boston rounded out the top five at $3,045.

Source: TheRealDeal, Discophil from Skyscraper City

Affordable housing in Berryessa, San Jose

The VTA is planning to use an empty lot next to the Berryessa Transit Center (BART & bus terminal) to build 195 affordable apartments. Housing will only be available to those making 60% or less than the county's median income. For a family of four that would mean they would need to earn less than $100k a year. 46 of the apartments will be used to provide support for residents who have experienced homelessness.

The render looks pretty nice for affordable housing. Each resident will have access to bikes and scooters as well as get a free BART and VTA pass to encourage more use of public transit. Part of the first floor will be a child care facility, another surprising amenity for a project like this.

Measure A funds will be used to pay for the project as well three other projects specifically designated as affordable housing. VTA plans to build a total of 2,600 affordable homes over the next 20 years.

This specific project is expected to break ground in 2026 with completion slated for 2028.

Source: San Jose Spotlight

237 new apartments proposed for San Jose's Buena Vista neighborhood

Buena Vista is a midtown neighborhood that has not gotten much development love over the years. However, that might change with a proposed midrise on 1.3-acres encompassing an abandoned car rental business with three vacant commercial buildings and eight older homes.

The project backed by Urban Villas LLC would have 237 apartments (8 affordable), 17,000 SQFT of retail space on the ground floor, and 199 parking spaces. It would be designated as an urban village and include a 30-foot-wide paseo connecting it to another project with up to 256 apartments to the east.

It still has to go through all the proper city approvals and there is no ETA at this time.

Source: San Jose Spotlight

Urban Catalyst replacing Garden City Casino with a large mixed-use project

The former Garden City Casino and Harry's Hofbrau area in West San Jose is going to get a significant overhaul. Urban Catalyst would like to build a mixed-use project combining office space, residential, a senior living complex, and a hotel.

Each of these four elements would have it's own dedicated building. Along Saratoga you'll find the office building and hotel. The offices would clock in around 300,000 SQFT across nine stories. The hotel would have 175 rooms, with suitability for both for short and long-term accommodations (I think this will mean two hotel brands sharing the same back-of-house resources and staff). One really neat feature is a rooftop deck above the hotel lobby (or lobbies) with the swimming pool and amenity space.

The residential building will house 425-450 apartments across eight stories. A separate senior living and memory care facility will have 165 units.

This seems like quite a nice proposal. The only element missing is retail--it would be great to see some restaurants and stores on the ground floor of all the buildings. However, Santana Row and Valley Fair are less than a mile away so this is not as critical for this particular area.

Source: SVBJ

Urban Catalyst proposes a residential mid-rise by Diridon

Urban Catalyst does not seem to be slowing down one bit when it comes to new development proposals. Their latest endeavor is Madera @ Downtown West, a 157-unit apartment complex near where Google plans to build their San Jose megacampus of up to 8 million SQFT.

Madera will have 49 studios, 14 one-bedroom, 14 two-bedroom, 26 three-bedroom, and 54 four-bedroom apartments. I'm happy to see a large number of studios and 3-4 bedroom units as theses are rare products in the San Jose apartment and condo markets. In fact, I'm quite shocked at there being 54 four-bedroom apartments as there are typically only a couple of these in each Downtown San Jose high-rise building and they are extremely expensive penthouses. This building might actually be family-friendly.

While it is only eight-stories, it is located in a medium density area that still has a large number of single family homes. This will certainly be an upgrade for the block, especially with ground-floor retail. The project is bound by 486-498 W. San Carlos St. and 332-338 Josefa St and it will replace a few small commercial buildings and a vacant house.

Construction could start as early as July 2021 and take two years to complete.

Source: SVBJ

New luxury apartment project coming to Santana Row area

Greystar Real Estate Partners is going to transform an existing 216 unit apartment building into a a 636 unit luxury apartment community called The Reserve. The project is at 881 S. Winchester Boulevard, very close to Santana Row.

The apartments will mostly be one and two-bedroom loft-style units in four to five-story buildings with two levels of underground parking. Amenities include a pool, rooftop lounge, a fitness center, and 8,000 SQFT of retail.

The Reserve should be ready for leasing in 2020.

Source: SVBJ (subscription required)

Saturday Status: Two San Jose neighborhoods made the US Top 20 in post-recession apartment growth

RentCafe has put together a list of the fastest growing apartment markets in the country post-recession. Not one, but two San Jose neighborhoods made the list. North San Jose took 3rd place with a staggering 6,814 new apartments across 11 buildings, a 74% increase. Downtown San Jose was #20 on the list with 2,663 apartments across 14 buildings.

New York City dominated the top 50, which is to be expected given they have a population of 8 million people. San Francisco neighborhoods did not start showing up until #31. To see the full list, head over to the link below.

Source: RentCafe Blog

Saturday Stats: "Wealthy" San Jose renters grew by 32% in 2015

We ranked 7th in the nation when it comes to highest growth rate for "wealthy" renters. I put wealthy in quotes because the study is using $150,000/year of household income as the definition of wealthy. If you have a family in San Jose and your income is at that level between two working adults, you probably don't consider yourself wealthy.

In any case, San Jose now has 21,000 high-income renters (15% of the total renter population in San Jose). This number is increasing much faster than high-income homeowners. I don't think that is a good thing since it likely means fewer people can afford to purchase a home in the area. To read the full report, check out the source link below.

Source: RentCafe Blog

San Jose rents are going back up

Just when it looked like the real estate market was simmering down, San Jose rents have jumped up again. In fact, for November rents are up percentage-wise more than anywhere else in the county for one-bedroom units. The average rental price for these is now $2,591/month, which is a 13% increase over the previous month.

The reason for the surge is not clear, but most experts believe we are indeed at the top of the market and expect some decline going forward. It might be a good time to hold off on signing a long-term rental agreement.

Source: SVBJ

Saturday Stats: San Jose rents are stabilizing

This will be good news for a lot of folks. San Jose is one of the largest cities where rent growth has slowed down. The rate of increase has only been 0.6% in the last year (Sep 2015 - Sep 2016). Given that we have some of the highest rents in the US, hitting the brakes may not be a bad thing. The major downside is that this will likely delay some major development projects in San Jose.

Source: RENTCafe Blog

ROEM builds 200 new affordable homes at 295-acre Hitachi master-planned community in San Jose

It is not easy to find affordable housing in San Jose. The good news is ROAM is just wrapping up 200 new affordable homes in South San Jose. The $46 million project is called Charlotte Park Apartments. The homes include several amenities including solar power, access to an outdoor BBQ, children's play area, a lounge, and a community kitchen/entertainment area. The bad news is that the project is already 100% leased. If you are in the market and meet the income requirements, it wouldn't be a bad idea to get on the wait list.

Charlotte Park is part of a much larger planned development that includes market-rate apartments, condos, townhomes, and a 10-acre park. For more info on Charlotte Park, have a look at the press release below.

$46 Million Charlotte Park Apartments’ 200 Affordable Multi-Family Residential Units Are 100% Leased and Near Completion

SAN JOSE, Calif. ― With the near completion of 200 new, affordable housing homes, the $46 million Charlotte Park Apartments in San Jose, Calif., is a great example of ROEM’s expertise in building a high quality affordable residential rental community located within a market-rate development. In this case, ROEM Corp. satisfied most of the affordable housing requirement of the Hitachi master-planned community, with ROEM Builders, Inc., acting as both general contractor and construction manager.

“While inclusionary housing policies provide a major source of funding for affordable housing, they can significantly reduce a developer’s return and create long-term obligations,” said Alex Sanchez, Executive Vice President of ROEM Corporation. “Our market-rate developer partners recognize the benefits of having ROEM act as their third-party general contractor. We assume their affordable housing obligations and pay the in-lieu fees while designing and building high-quality affordable housing that seamlessly blends with their market-rate housing. About 430 of our more than 3,000 new affordable housing units completed since 2000 were built by ROEM for a market-rate developer.”

Located on the former Hitachi Global Storage Technologies campus, Charlotte Park is part of a 295-acre master-planned community that will include condominiums, apartments, attached townhomes, many pocket parks, and a large 10-acre park with a baseball field. Charlotte Park is situated near the intersection of Cottle Road and Highway 85, and within walking distance from the Blossom Hill Caltrain station and the Cottle and Santa Teresa light rail stations. This $46 million development with the construction and permanent financing provided by Citi is affordable to families that make 60 percent or less of the Santa Clara County Area Median Income and provides an amenity-rich residential experience.

“Charlotte Park provides a safe haven to those who are being squeezed out of quality housing in Silicon Valley,” said Jay Abeywardena, Director at Citi. “We are excited to help support this initiative and believe this project will have a meaningful impact on the community.”

Charlotte Park Apartments gained an efficiency of management thanks to two other ROEM developments – Oak Grove Apartments and LEX Apartments – being constructed simultaneously within about a half-mile radius. Although these are separate projects managed by separate teams, ROEM was able to share resources from time to time because of their close proximity.

“With Alliant’s investment of nearly $15 million, Charlotte Park Apartments will provide an additional 200 units of much needed safe and affordable housing to the San Jose Area,” said Brian Goldberg of Alliant Capital, Ltd. “We are proud to be a partner in the development of this property and excited for the residents who will benefit from it for years to come.”

With ROEM’s emphasis on sustainability, Charlotte Park will be pursuing USGBC LEED Gold certification. Because both solar thermal heating and solar photovoltaic power sources are being installed, Charlotte Park has the potential to save up to 85% on utility bills when compared to electric water heating. Per LEED standards, all apartments have high-efficiency flush toilets and faucets as well as “Evolve Roadrunner” showerheads that are thermostatically controlled. In addition, Charlotte Park integrates efficient landscape design by using native species and zero turf on a lot designed to capture and treat all stormwater.

The amenity-rich, four-story apartment building (with 230-parking space garage) includes a courtyard with outdoor barbecue, dining area, tot lot and lounge area; community room with media alcove, kitchen and entertainment area; storage area; homework and computer room; and laundry facilities. Apartments will be equipped with Energy Star refrigerators and dishwashers, blinds, carpet, coat closets, and electrical four-burner stove/ovens.

With completion slated by the end of June, Charlotte Park is already fully leased.

About ROEM Corporation
ROEM Development Corporation, ROEM Builders, Inc., and their affiliated entities are a full-service development and construction organization that has specialized in the acquisition, planning, financing, new construction, renovation and asset management of market-rate and affordable housing throughout California for more than 30 years. Ranked in Affordable Housing Finance magazine’s Top 50 Affordable Housing Developers of 2015 list and a registered member of USGBC and Build It Green, ROEM is dedicated to creating wholesome communities that are not only sustainable but also designed smarter to ensure that residents are healthier, happier and safer. ROEM has completed more than 3,000 affordable housing units with more than 1,000 units currently under construction. For more information, visit www.ROEMcorp.com.

The 9 largest rental developments completed last year in San Jose

San Jose's development efforts are focused more on jobs than housing these days, but lets not forget how much housing is still built in San Jose each year. In 2015, the 9 largest rental projects in our city added 2,317 new apartments to San Jose. To see which projects made the list and take a peek inside each of these developments, head to this blog post.

Source: RENTCafe

Huge development project proposed at former Garden City Casino site in West San Jose

When Garden City Casino moved their operations to M8trix, it left a huge land redevelopment opportunity behind. Now two developers are planning to build a mixed-use center on the 15-acre lot. The project would have around 300,000 SQFT of office, 870 apartment units, 15,000 SQFT of retail, and a 1.5-acre park. It would be the largest project built in West San Jose in a very long time.

Since San Jose has such a large imbalance of housing and jobs, I'm glad it sounds like a balanced proposal where the office side of the equation is not an afterthought. It would be nice to have a bit more retail included, especially since the project fronts Saratoga Avenue.

One unfortunate casualty would be Harry's Hofbrau, which has become a craft beer hotspot in recent years. The restaurant has been there for 36 years. At least they would look to either relocate in the neighborhood or use some of that new retail space after the project is complete.

It should take less than a year for project approvals to go through and construction is expected shortly thereafter.

Source: SVBJ

Saturday Stats: San Jose has #4 Highest 1BD Rents in the US

I'm not sure if this is good news or bad news. At $2,230 per month, San Jose had the 4th highest rent in the nation for one bedroom apartments in August. The positive way to spin this is that we did not have the #1 highest rent in the nation. San Francisco took that prize with a median rent of $3,500 a month. They were followed by New York with $3,100/mo and Boston at $2,250/mo. I have a feeling that some of the fancy new apartments Downtown will be driving this metric up over the next couple years.

Oh, and if we look at % change in rent this year for one-bedroom apartments, San Jose comes in at #5 in the nation with a 14.9% increase. Oakland was at the top of that list with 20% and San Francisco was 8th at 12.9%.

Source: Zumper, hat tip to Barclay Livker

% Changes This Year

1. Oakland, CA – $1,980 (+20%)
2. Austin, TX – $1,170 (+17%)
3. Kansas City, MO – $770 (+16.7%)
4. Sacramento, CA – $900 (+15.4%)
5. San Jose, CA – $2,230 (+14.9%)
6. Atlanta, GA – $1,250 (+13.6%)
7. Dallas, TX – $1,190 (+13.3%)
8. San Francisco, CA – $3,500 (+12.9%)
9. Chicago, IL – $1,920 (+11.6%)