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68℉Opportunity Housing
Senate Bill 9 has preempted San José's exploration of Opportunity Housing; learn more about why Opportunity Housing was considered on this webpage.
Housing shortage and lack of multi-unit land
In San José, approximately 94% of residential land is designated for single-family houses.
For those who cannot afford to buy or rent a single-family home, this means finding a place to live in a multi-unit development (two or more units per parcel) on what is only 6 percent of San José's residential land -- or cramming multiple persons/families into a single-family home.
While San José has the highest known imbalance of single-family to multi-unit parcels, the zoning decisions made in the 1900s have left most cities across the U.S. with a disproportionate allocation of residential land to single-family homes. Today, this imbalance in zoning is one factor that is constraining the housing supply in many cities.
The constrained supply spurs high housing prices and the affordability crisis. Many people face a difficult choice: leave San José or live in overcrowded conditions. Overcrowding is not only a qualify of life issue for the affected families, but also for the community at large, the environment, and the economy.
There are hundreds of single-family neighborhoods in San José, many of which offer a high quality of life through factors such as walkability, parks, and high-performing schools. Both the expense and expanse of single-family houses make it hard for many people to have access to these resources and opportunities.
What can be done?
Opportunity Housing is the City of San Jose's term for enabling multi-unit housing on properties with a Residential Neighborhood General Plan land use designation, which generally covers single-family neighborhoods.
The concept is also referred to as "upzoning" and many other cities have adopted or are considering some form of this concept -- see a discussion of which cities in our FAQs.
In 2019, the state of Oregon passed a bipartisan law that required cities of 10,000 or more to ban exclusionary single-family zoning. Other states are considering similar actions. Having passed and signed into law Senate Bills 9 and 10 in September 2021, California is now the second state to act on a form of upzoning.
Opportunity Housing, as conceptualized, could open up some or all of the 94 percent of San José's residential lands to accommodate more of the people who we rely on in our economy and educational systems, as well as family members. The premise of Opportunity Housing is that it would improve access to housing and affordability by increasing the City's housing supply over time. It is a strategy that could potentially complement the City’s existing Urban Village framework and Fair Housing strategies.
City Council Direction. The City Council directed Planning Division staff to explore Opportunity Housing with the General Plan 4-Year Review Task Force as part of the General Plan 4-Year Review that took place in 2020. Staff prepared and presented a recommendation on Opportunity Housing at the February, July, and August 2020 Task Force meetings (see Meetings webpage for details).
What would an Opportunity Housing policy allow?
The concept of Opportunity Housing explored by staff and the Task Force entailed allowing up to four units per parcel while generally maintaining zoning setbacks and heights.
This means that a parcel that currently has one unit could be remodeled or redeveloped to up to four dwelling units (the parcel could be developed with a single-family home, duplex, triplex, or fourplex.
This type of development was allowed in San José prior to World War II and still exists in many older neighborhoods.
Planning staff recommendation - The recommendation that staff brought to the Task Force and is bringing to the Planning Commission and City Council in December 2021 is:
- Allow Opportunity Housing within an approximate half-mile area around transit-oriented urban villages and/or on parcels that share a property line with lands that allow multifamily development. The recommendation also describes potential next steps.
- The City Council should approve exploring Opportunity Housing citywide for properties with a Residential Neighborhood land use designation; and
- Staff should proceed with its recommended Opportunity Housing work plan and prioritize urban village planning.
Factoring in Accessory Dwelling Units (ADUs)
In accordance with state law and San Jose's zoning regulations, accessory dwelling units (ADUs) could be allowed in addition to the four units.
- Duplex properties may have two detached ADUs (one detached ADU per duplex unit) and one attached ADU for a total of 5 units, in accordance with zoning setbacks and heights.
- Triplexes and fourplexes potentially may have two detached ADUs and one attached ADU for a total of 6 units for a triplex and 7 units for a fourplex.
- In all cases, the multifamily unit would have to be built and occupied before it could qualify to build ADUs.
Unless state law and the local Zoning Ordinance are amended, Opportunity Housing proposals could build ADUs as outlined above.
See our FAQs for additional information.
next steps
In September 2021, Gov. Newsom signed two bills -- SB 9 and SB 10 -- that potentially impact the process for an Opportunity Housing policy in San Jose. City staff have planned a study session with the City Council on October 28, 2021 to discuss the implications of these bills; see About SB 9 & 10 for details and see the Info Memo that summarizes the senate bills and provides a comparative chart that highlights the difference between San José's Opportunity Housing proposal and the senate bills.
Meetings to consider the Opportunity Housing concept and to get further direction are schedule with the Planning Commission (December 1, 2021) and City Council (December 14, 2021); staff will be providing:
- Opportunity Housing preliminary objectives and parameters;
- Conceptual maps for applicable areas; and
- A work plan that includes the short- and long-term steps needed to continue exploring Opportunity Housing.
The process is graphically presented below:
If the City Council decides in December to direct staff to pursue the policy framework for Opportunity Housing, staff would then undertake the tasks outlined in the long-term next steps.