Council Directs a Closer Look at Neighborhood Housing Density

San Jose City Council spent hours on Aug. 18 hearing from residents before voting 8-3 to study several density options rather than lock in a single number. Staff will now analyze 16, 24 and 32 dwelling units per acre in Residential Neighborhood areas that currently sit at about eight units per acre, along with parking standards. A finished proposal is slated to return for a final decision late in 2027.

The debate sits inside the four-year review of Envision San José 2040. Planners had floated a jump to 32 units per acre on most of the city’s residential land as a way to add “missing middle” homes: duplexes, fourplexes, townhomes and small multifamily buildings that sit between a single house and a large apartment block. Mixed-use corridors and Urban Residential areas, including parts of Downtown San Jose, also appeared in the package with higher proposed ranges and extra stories.

State housing targets explain the urgency. San Jose must plan for more than 62,000 additional units between 2023 and 2031. Production so far has lagged that pace, and large apartment projects have struggled to find financing. City housing officials told the council that smaller, scattered buildings can pencil out without heavy public subsidy and can give middle-income households more choices.

Neighbors who filled the chamber raised traffic, street parking and the look of established blocks. Several council members asked staff to treat the city as a collection of different places rather than one uniform map. The study period will include more outreach, environmental review and work on design standards so any future rules can respect existing street patterns while still adding homes.

Anyone who cares about where the next generation of San Jose families will live now has more than a year to follow the details. The city that already mixes Downtown towers with tree-lined streets is trying to decide how those two scales can grow together. That conversation, handled carefully, is how San Jose keeps room for teachers, nurses, restaurant crews and young households without losing the neighborhoods people already love.

Additional information on the General Plan Four-Year Review is available through the City of San Jose Planning Division.

Source: Silicon Valley Business Journal

CityView Retail Moves Forward While Housing Plans Shift to New Construction in Downtown San Jose

Construction has started on the retail phase of Jay Paul Company’s CityView project at the corner of Park Avenue and Almaden Boulevard in Downtown San Jose. The first phase will deliver roughly 35,000 to 40,000 square feet of ground-floor retail space beneath a new parking garage, with completion targeted for early 2028.

The retail mix is still taking shape. Planners are exploring shops, restaurants, health and wellness businesses, and child-care options, with ongoing conversations about whether a smaller-format grocery could fit. Jay Paul has also talked with San Jose State University about letting students use dining credits at future CityView eateries, aiming to serve office workers, nearby residents, convention visitors, and campus traffic.

On the residential side, the company has decided to pursue ground-up construction rather than converting existing office buildings. Seismic retrofit costs for conversion proved nearly as expensive as new builds, so the team is now designing purpose-built housing with architect Solomon Cordwell Buenz. The change allows better layouts tailored specifically for apartments.

These steps keep momentum going on a large mixed-use block that sits near 200 Park and the convention center. As the retail spaces fill and residential designs firm up, the project will add more daily activity to the streets of Downtown San Jose... we'll just need a little bit of patience.

Source: SVBJ

Icon Echo Advances with 645 Homes Near City Hall in Downtown San Jose

Urban Catalyst’s Icon Echo project is moving forward with plans for two eight-story residential buildings that will deliver 645 new apartments in Downtown San Jose. The development covers a 2.1-acre site along North Fourth Street between East Santa Clara Street and East Saint John Street, across from San Jose City Hall and a short walk from Saint James Park.

The unit mix includes 233 studios, 272 one-bedrooms, and 140 two-bedrooms, with 33 of the homes deed-restricted as affordable. Each building rises to 89 feet and features podium-top courtyards, ground-level parking with stackers totaling 527 spaces, and a small retail space on the Icon building. Architect BDE Architecture has designed the exteriors with brick veneer, stucco, and cast stone panels.

A Planning Director’s hearing on the site development permit and vesting tentative map took place on August 12, with city staff recommending approval. The project represents a shift from earlier mixed-use concepts that included office space, reflecting the current emphasis on adding housing in the urban core.

Once built, the complex will place hundreds of new residents within easy reach of transit, civic buildings, and the daily activity of Downtown San Jose. The mid-rise scale fits the surrounding blocks while contributing meaningful density to an area that continues to evolve.

Source: SF YIMBY

New Housing Community Planned for Former Oracle Campus

Valley Oak Partners continues advancing its proposal to transform 38 acres of the former Oracle campus in Santa Clara into a mixed residential community of 584 homes. The San Jose-based developer shared updated details on timeline and design during a recent community meeting, outlining plans for 48 single-family homes, 416 townhomes and 120 apartments.

The project site currently contains nearly 500,000 square feet of vacant office buildings that would be removed. Seven acres of open space would feature parks, a recreation and yoga deck, bocce court, playground and lawns. The two-story single-family homes are expected to measure between 2,400 and 2,700 square feet, while the affordable apartment building would reach six stories. Architect KTGY and landscape planner RHAA are guiding the design work. The development borders a historic park and buildings that will remain untouched.

Environmental review is underway and typically requires about a year. Valley Oak anticipates securing project approvals by mid-2027, after which it intends to purchase the land from Oracle as a joint venture with a homebuilder. Past partnerships have included firms such as Lennar, Pulte and KB Home. Demolition and infrastructure work could follow later in 2027, with home construction potentially starting in the first half of 2028.

The proposal operates under the builder’s remedy, which limits a city’s ability to reject qualifying housing projects that include a required share of lower-income units. A formal application was filed in 2024 after a preliminary filing the previous year. If the schedule holds, the redevelopment would convert underused office land into a range of housing options with substantial outdoor amenities in a location close to major employment centers and transportation routes serving San Jose and the broader South Bay.

Source: SVBJ

Affordable Townhomes Arrive in East San Jose to Expand Homeownership Options

A new collection of 18 townhomes is taking shape at 125 Kirk Avenue in East San Jose, directly across from Linda Vista Elementary School. Developer AlphaX RE Capital, led by Stephanie Yi, is delivering the project known as The Kirk with a focus on creating ownership opportunities for working families.

Two three-bedroom units will be offered at roughly $300,000 below market rates, while the remaining homes—mostly four-bedroom, two-and-a-half-bath floor plans ranging from 1,481 to 1,909 square feet—are priced between $1.18 million and $1.3 million. Select buyers can also access a $50,000 credit and interest rates starting as low as 3.99 percent.

The project opened to the public on August 14, with some units expected to become available as early as October and full construction completion targeted for February 2027. Local leaders have welcomed the development as a practical step toward keeping more families rooted in the neighborhood and building long-term equity.

East San Jose has long needed additional pathways to ownership that match the incomes of teachers, nurses, small-business owners, and other working residents. This modest-scale effort shows how targeted new construction can open doors without waiting for larger citywide solutions.

For details on availability and qualification, contact the developer directly through their sales channels.

Source: San Jose Spotlight

New Townhomes Proposed for McKendrie Street Near The Alameda

A 12-unit townhouse project is advancing at 1030-1038 McKendrie Street in Central San Jose. The plan would replace an existing surface parking lot on a 0.45-acre site with two multi-family residential buildings that include private garages and limited guest parking.

Studio Current is handling the design and application. The site sits on a block bounded by McKendrie Street, Myrtle Street, The Alameda, and West Hedding Street, placing it within walking distance of the College Park Caltrain station and inside the broader Alameda historic district.

Environmental review has been completed, with a mitigated negative declaration issued to address potential construction impacts. Work could begin as early as next March and is expected to take roughly five months once underway.

The modest-scale project adds housing in a central neighborhood already served by transit and nearby commercial activity. It represents another example of converting underused surface lots into residential use closer to existing infrastructure.

Source: SF YIMBY

Affordable Housing Project Breaks Ground Near Downtown San Jose

Eden Housing has broken ground on a new four-story affordable housing development at 700 East Saint John Street. The project will deliver 68 units, including 48 homes for households earning up to 60 percent of the area median income and 20 permanent supportive housing units for seniors exiting homelessness.

The L-shaped building incorporates ground-level podium parking and forms part of the broader East Santa Clara Master Plan. Design work by Architects FORA includes a façade that shifts from cement panels on the lower levels to darker brown and tan tones higher up, along with painted mural elements. Amenities planned for residents include a community room with kitchen, food pantry, laundry facilities, and recreation spaces on each floor.

The site sits close to Downtown San Jose, San Jose State University, and neighborhood services. It also involves adaptive reuse of the neighboring Building 800, a historic structure that once housed IBM’s first West Coast offices.

Officials including U.S. Congresswoman Zoe Lofgren, San Jose Mayor Matt Mahan, and California State Treasurer Fiona Ma attended the groundbreaking ceremony on August 6. The project adds much-needed homes for seniors and lower-income residents in a central location while contributing to the ongoing transformation of the former hospital area.

Source: SF YIMBY

Ensemble Breaks Ground on 301-Unit Parkside Apartments in Clara District

Ensemble Real Estate Investments has begun construction on Parkside, a 301-unit apartment complex at 2301 Calle Del Mundo in Santa Clara’s Clara District. The eight-story project carries an estimated $190 million price tag after the developer spent an extra year refining plans to cut costs by 10 to 15 percent and secure financing.

Bank of America provided the construction loan. Value engineering focused on more efficient kitchen and bathroom designs and reduced variation among unit types, making the numbers work in a high-cost environment. Amenities will include a golf simulator, cinema screening room, karaoke lounge, and other social spaces intended to create a lively residential atmosphere.

Parkside follows Ensemble’s AVE Santa Clara complex, which opened in the same neighborhood in 2025 and is fully leased. The firm views the two properties as complementary and expects 500 to 1,000 additional units to arrive in the Clara District over the next few years. Ensemble also holds further entitlements in the area and aims to start its next project within two to three years.

The site once held light industrial buildings, continuing the district’s shift toward housing. With an anticipated opening in fall 2028, Parkside adds another substantial residential option to a neighborhood that saw significant new apartments arrive in 2025.

Source: SVBJ

Bank Takes Ownership of Vacant Housing Site in Downtown San Jose

The empty lot at 51 and 65 Notre Dame Avenue next to Carlysle Street in Downtown San Jose passed to West Coast Community Bank earlier this year after the lender completed foreclosure on a $10 million loan. An affiliate of Palo Alto-based Acquity Realty had paid $20 million for the four parcels in 2021, cleared the former Andy’s Pet Shop building, and never broke ground on any of its successive plans.

Early visions called for a 21-story mixed-use tower that would have combined housing, office space, and ground-floor retail. Later marketing materials scaled the idea back to a 148-unit mid-rise with roughly 4,700 square feet of street-level shops. Neither version advanced beyond drawings, and repeated loan defaults eventually transferred the property to the bank for $2.3 million in January.

The site sits in a compact, walkable pocket of Downtown San Jose close to transit corridors and the broader Diridon area. Bank ownership opens the door for a new buyer to step in and deliver the housing that has long been discussed for the corner. Local residents who have watched the parcel remain idle through several ownership chapters now have reason to expect fresh movement.

A successful redevelopment here would add homes and street-level activity to a part of Downtown that continues to evolve. The location’s proximity to existing amenities and future growth projects gives any incoming owner a strong foundation to build upon.

Source: SiliconValley.com

San Jose Posts Strong Second Place in Silicon Valley Housing Completions

Silicon Valley added more than 9,000 new housing units in 2025, according to state data, with San Jose finishing second behind Santa Clara. The city completed 2,192 units while Santa Clara led the region with 2,685.

Four cities in the area finished more than 1,000 units each. High construction costs continue to shape which projects move forward, yet the overall numbers reflect steady progress toward regional needs. Santa Clara’s total benefited from projects that secured financing earlier, particularly in the Clara District and the first phase of Gateway Crossings.

Morgan Hill completed just 35 units last year but sits on track to meet its state-assigned RHNA target of 1,037 homes for the 2023-31 cycle, with stronger permitting activity already showing in the first half of 2026. San Jose carries the largest regional obligation at more than 62,000 units over the same period.

The results highlight ongoing efforts across the South Bay to expand the housing supply. Continued collaboration between cities and developers will determine whether the momentum carries into the next several years as communities work to meet long-term goals.

Source: SVBJ

San Jose Posts Nation’s Weakest Home Price Growth Amid Tech Layoffs

Local buyers gained a measure of breathing room in June as the San Jose metro area recorded the weakest year-over-year home-price change among the nation’s 40 largest housing markets. The median sale price fell 4.6 percent to $1.619 million, a drop of roughly $78,500 from the same month a year earlier, according to Homes.com data. Nationally the median rose $6,000 to $401,000.

San Francisco followed a different path. That city’s median climbed 7.2 percent to $1.7 million, lifted by concentrated AI hiring and startup activity that San Jose has not matched at the same scale. Analysts pointed to a sharp rise in second-quarter layoff announcements, including several thousand positions at Meta that touched Menlo Park, Sunnyvale and Fremont, plus additional cuts at Oracle, LinkedIn and Intuit. Recent monthly payroll reports also showed the broader Bay Area job market contracting after a period of modest growth.

Slower immigration has further cooled demand. Foreign-born residents make up about 41 percent of Silicon Valley’s population and have long filled high-skilled roles, founded companies and eventually purchased homes. With that pipeline thinning, one key source of both labor and housing pressure has eased. The resulting price softness stands out after years in which the region’s market appeared almost immune to gravity, raising questions about the longer-term strength of the local economic engine even as it offers short-term relief to would-be buyers.

San Jose remains one of the most expensive markets in the country, still more than triple the national median. Yet the recent dip, combined with rising inventory, gives shoppers slightly more choices and negotiating room than they enjoyed a year ago. Well-priced homes continue to move, but the balance has tilted just enough to matter for families and first-time buyers watching the listings.

For a city whose identity remains tightly linked to technology and global talent, the June numbers mark a noticeable shift. How the market absorbs further changes in employment and immigration will shape both housing costs and the broader vitality of Silicon Valley in the months ahead.

Source: SVBJ

New Research Puts San Jose at the Top of the Minimum-Wage Rent Gap

Fresh numbers from Best Interest and Clever Real Estate lay out a stark picture of housing costs for the lowest-paid full-time workers across America’s largest metros. In San Jose a typical one-bedroom fair-market rent sits at $2,982 a month. A full-time minimum-wage paycheck, calculated at the city’s $18.45 hourly rate, comes in at roughly $2,952. That leaves a $30 shortfall before any other bills arrive.

Under the long-standing 30 percent rule, the same worker could responsibly spend only $886 on housing. The difference between that figure and actual rent reaches $2,096 every month. Closing the gap would require either a far higher wage or the combined paychecks of four minimum-wage earners sharing a single one-bedroom unit. Put another way, one person would need to log about 135 hours a week just to cover the rent alone.

San Jose joins 13 other large metros where monthly rent exceeds an entire minimum-wage paycheck. The city’s high local wage still ranks among the strongest in the country, yet demand driven by tech jobs and limited housing supply keeps rents elevated. The data underscores why many households look for roommates, longer commutes, or dual incomes to stay in the region.

Anyone watching the local market will find these figures useful context for conversations about housing production, wage growth, and the daily arithmetic of living here. The full report in the source link examines all 50 largest metros and offers a clear ranking of where the pressure runs highest.

Source: Best Interest

Japantown Set to Gain New Housing and Taiko Performance Hub

City officials cleared the way for a six-story mixed-use building at 653 North 7th Street that will bring 65 residential units together with a dedicated San Jose Taiko performance space. Staff approval arrived on July 8 and locates the project inside San Jose’s historic Japantown, one of only three remaining Japantowns in the United States.

Shea Properties leads the effort, building on its earlier work with the completed Sixth and Jackson apartments just a block away. The plans include roughly 14,100 square feet of commercial space that will house the Taiko performance building along with an office, workshop, and gallery. The site sits next to a proposed public park, extending outdoor green space and seating areas that stay open to the broader neighborhood.

Taiko San Jose has anchored cultural life in Japantown since 1973. The nonprofit keeps traditional Japanese drumming vibrant through original performances and education that crosses cultures and generations. Placing a permanent performance facility on the block gives the art form a stronger home while adding daily activity to the street.

Designers focused on an activated urban edge where housing and arts meet public space. Residents and visitors alike will share the green areas and seating that offer room to pause outside. The combination of homes and cultural facilities is meant to lift the everyday rhythm of the neighborhood.

San Jose keeps finding ways to honor its historic districts while adding the housing and gathering places that keep them alive. This Japantown project threads new residences and performance energy into an already distinctive corner of the city. It would be amazing to see more local projects in the future seamlessly incorporate arts and culture like this.

Source: The Mercury News

New Eight-Story Apartment Building Planned Near SAP Center

San Jose adds has a new proposed mid-rise development in the Garden-Alameda neighborhood. Plans filed with the city show a new eight-story apartment building at 945 W. Julian St., right at the intersection with Morrison Avenue. The project would replace a house and office that currently occupy the site and bring 136 new units to the area.

The development team, headed by Anthony Ho, envisions a mix of homes suited to different needs. Twenty-eight studios would measure about 360 square feet. Fifty-four one-bedroom apartments would come in at roughly 490 square feet. Another fifty-four two-bedroom units would offer around 730 square feet each. The site covers just under a half acre.

This stretch of Julian Street already hosts the Diridon West apartments, a 249-unit project completed in recent years at the corner of Stockton Avenue. The current proposal would make use of Senate Bill 330 provisions that help expedite housing reviews across California.

Living here would put residents within easy reach of SAP Center events, from hockey games to major concerts. The spot also benefits from connections to regional transit and the broader momentum building around the Diridon station area.

City planning records describe the submission as preliminary. Final designs and details remain subject to change through the review process. Even at this stage, the plans reflect sustained interest in creating more places to call home near one of San Jose's most recognizable landmarks.

Source: The Mercury News

Affordable Housing Will Rise from a Downtown San Jose Parking Lot to Strengthen the Urban Core

A 173-unit affordable housing project slated for a 1.3-acre surface parking lot at 143 South Third Street. The site sits between South Second and Third Streets, steps from the Paseo de San Antonio and the Hammer Theatre Center, where asphalt has long dominated instead of homes.

Sobrato Organization and Pacific West Communities have teamed up on the preliminary plan, which calls for 171 apartments reserved for extremely low, very low, and low-income households plus two market-rate units for on-site managers. The developers intend to use state streamlining provisions under SB 330 to move the project forward efficiently. Once complete, the buildings will house hundreds of new neighbors who will shop, dine, and gather in the surrounding plazas and streets.

Real estate observers have long argued that adding residents to the urban core helps create an authentic downtown over time. Land-use experts have welcomed the prospect of increased daytime and nighttime activity that comes with hundreds more people living right in the heart of the city. The Sobrato firm has owned the parcel since around 2010 and always envisioned high-density housing rather than perpetual parking, a vision now moving closer to reality.

This proposal reflects a broader shift in San Jose toward prioritizing homes over surface lots in the places where density makes the most sense. By delivering deeply affordable units in a walkable, transit-rich location, the project will support local businesses, reduce pressure on surrounding neighborhoods, and contribute to a more complete, equitable, and dynamic Downtown San Jose.

While it is a major downgrade from the high-rise projects originally planned for the site, it will be a big improvement over the empty parking lot in the middle of Downtown San Jose.

Source: The Mercury News

213-Unit Mixed-Use Apartment Project Advances at Former Hotel Site in Buena Vista Near Downtown San Jose

San Jose residents seeking new housing options will celebrate the progress on a 213-unit rental complex proposed for West San Carlos Street in the Buena Vista neighborhood. The site, once eyed for a hotel, now shifts toward homes with ground-floor commercial space.

Plans call for 155 one-bedroom and 58 two-bedroom units, with about 5 percent set aside as affordable housing for low-income households. A modest 1,500 square feet of street-level retail will activate the sidewalk and support local commerce in this transitioning area.

Local South Bay executives own the property and have pivoted from hospitality to residential use, reflecting broader market realities and a clear priority on addressing housing demand. City staff stood ready to grant final approvals, moving the project from concept toward reality.

This development will deliver much-needed rental inventory while weaving commercial activity into the neighborhood fabric. By placing homes and shops together in Midtown, it strengthens walkability, supports small businesses, and contributes to a more complete urban environment that benefits everyone who lives and works in the city.

Source: The Mercury News

San Jose Breaks Ground on First Type 1A Fire-Resistant ADU

Builtech Construction broke ground on an 850-square-foot ADU in San Jose that set a new benchmark for residential fire safety across California. This project became the first in the city built to Type 1A standards, the highest fire-resistance classification available under state building codes, through advanced Insulated Concrete Form technology.

The ICF system stacked lightweight foam blocks like oversized building blocks before crews inserted rebar and poured concrete to create a solid non-combustible core. The resulting walls delivered exceptional protection against fire spread while adding seismic strength, soundproofing, pest resistance, and energy efficiency far beyond traditional wood-frame construction.

The build came together at roughly $350,000, matching costs for conventional methods in the area. Additional features such as fire-resistant windows, a metal roof structure, and fire-rated vents completed the resilient design ready for today’s denser neighborhoods.

ADUs are a key avenue for growing the San Jose housing supply and lowering costs. Any technological advances here will have an amplified impact on our city.

San Jose Moves Forward with Over One Thousand New Homes

San Jose has unlocked substantial progress on housing by approving nearly ten million dollars in incentives for three residential developments. These waivers will help deliver more than one thousand one hundred new units while addressing affordability challenges that many residents face daily.

In Downtown San Jose the Gateway Tower project at 470 South Market Street will introduce two hundred twenty affordable apartments in a fifteen-story structure that also includes ground-floor retail space. Construction starts in May. Nearby the historic Bank of Italy building transforms into one hundred nine apartments, preserving architectural heritage and adding needed homes to the urban core with work beginning in April.

West San Jose gains momentum as well. Sand Hill Property Co. has already launched construction at El Paseo de Saratoga where seven hundred seventy-two units will take shape along the Saratoga corridor. Vertical building is expected to advance soon.

San Jose continues to demonstrate leadership by streamlining costs and encouraging developers to move forward despite broader market pressures. As these projects rise, residents will gain more choices for living spaces that fit their budgets and lives.

Source: SVBJ

99 Affordable Homes Will Rise on South Almaden Near Downtown San Jose

Satellite Affordable Housing Associates will build a nine-story apartment complex with 99 units at 501 South Almaden Avenue. The project will stand right next to the Arya affordable housing development the same team previously completed. SB 35 will enable a speedy approval process that moves the project forward without traditional delays.

All apartments will deliver 100 percent affordable housing. The building will contain 67 studio units, 31 one-bedroom apartments, and one two-bedroom home. This thoughtful mix will support a broad range of households seeking a central San Jose location.

Source: The Mercury News

River Oaks Parkway Prepares for a Vibrant Residential Revival in San Jose

A significant shift is underway along River Oaks Parkway, where a former commercial hub is set to bloom into something far more lively. TPG Angelo Gordon has taken ownership of the property at 211, 251, and 281 River Oaks Parkway in a $45 million deal that signals strong confidence in San Jose's future. Those three buildings, once filled with over 160,000 square feet of office space, now stand ready to make room for a dynamic mix of homes that will reshape daily life in this corner of the city. The approved plan weaves together 505 market-rate apartments in a sleek seven-story structure, 132 affordable units in a five-story building, and 100 townhouses arranged across 14 inviting clusters. This thoughtful blend caters to everyone from young professionals chasing urban energy to families seeking roots in a welcoming setting. With approvals secured last fall, the project feels like a timely breath of fresh air amid the city's ongoing push for more housing options. Nestled right across from River Oaks Park, the site already enjoys a natural edge with green spaces, walking paths, and a neighborhood rhythm that mixes offices and existing homes. Residents will step out to tree-lined streets, nearby services, and the kind of everyday convenience that makes San Jose feel connected and alive. This kind of development adds real momentum to North San Jose, proving that even in challenging economic times, forward-thinking investments can spark genuine progress.
Source: SVBJ