UPDATE: A significant real estate deal has just been announced, propelling the development of 305 affordable homes in San Jose, California. The nonprofit Corporation for Better Housing and JSL Real Estate have secured $8.15 million to purchase vital land for this urgent housing project, aiming to address the critical shortage of affordable housing in the region.
Located at 1271 and 1279 East Julian St., the Julian Street Studios project is strategically positioned just blocks away from the proposed Little Portugal BART station. This seven-story structure will include exclusively studio apartments, targeting families earning between 30% and 70% of the Santa Clara County median income, which is pegged at $195,200 for a family of four as of April 2023.
Authorities report that the project has successfully obtained $138.6 million in construction financing, with Banc of California as the primary lender. Construction is expected to kick off as early as this month, with an estimated completion time of two years, leading to leasing opportunities beginning in September 2027.
According to the California Housing Finance Agency, the demand for family units in central San Jose is at an all-time high. The agency’s report highlights that the project must capture 22.1% of the local demand, with an anticipated leasing rate of 45 units per month, aiming for full occupancy within six months of opening.
The urgency of this development is underscored by existing conditions in the area. Currently, there are 35 affordable family projects in central San Jose, achieving a remarkable 99% occupancy rate, with extensive waitlists for prospective tenants. As of May, seven additional affordable housing projects were under construction, yet the need remains critical.
This initiative not only addresses the pressing need for affordable housing but also represents a significant step forward in urban development in San Jose. As the city grapples with a housing crisis, the Julian Street Studios stands as a beacon of hope for many families struggling to find affordable living spaces.
As construction begins, all eyes will be on how quickly these units can be made available and whether they will meet the soaring demand in the community. Follow this developing story for updates on the progress of this significant housing project.
