Second Street Studios helps meet the need for permanent supportive housing in San Jose, California. Located at the southern gateway to downtown, it’s home to about 150 formerly homeless residents.
The inspiring development comes at a time when Santa Clara County reported more than 9,700 people experiencing homelessness in January 2019, a 31% increase from 2017 and the highest number seen in over a decade. The vast majority of the area’s homeless population is in San Jose.
Developed by First Community Housing, Second Street Studios aims to address this crisis while uplifting its residents by providing a healthy living environment. It was the grand winner in the affordable housing category of sister publication Multifamily Executive’s awards program this year.
The development hosts a micro-urban farm on site as well as around-the-clock security and management staff. Several common spaces are designed to accommodate community activities like support groups and classes, and a large portion of the ground floor is reserved for the property’s robust resident services and management staff. There are 13 on-site support staff members with specialties in different areas from harm reduction to employment. There’s also an on-site nurse.
First Community Housing acquired the land for the 135-unit development during the Great Recession when a planned hotel project no longer penciled out. The nonprofit developer then had to make several moves for its affordable housing deal to be feasible, including revising its plans to build a conventional wood-over-podium structure. Instead, the project utilized new building technology, resulting in four modular, wood-frame floors above the ground-floor commercial space to help lower costs. Terraces and balconies help articulate the façade and provide “eyes on the street.”
Boasting an energy-efficient building envelope and other green features, Second Street Studios is expected to earn LEED Platinum certification. In addition, the site is adjacent to a major transit route, and free transit passes are provided to residents.
The apartments are covered by Section 8 project-based vouchers to serve the extremely low-income residents that are most vulnerable to the region’s high housing costs.
Financing for the approximately $62 million development includes about $21.8 million in low-income housing tax credit equity from syndicator Red Stone Equity Partners. Additional funding partners include the city of San Jose, California Department of Housing and Community Development, Federal Home Loan Bank of San Francisco, Boston Private, Silicon Valley Bank, and Housing Trust Silicon Valley.
