File No. SR2020-0027/EA2020-0020
The Monterey and Madrone apartment project is a 100 percent affordable housing community and is processing under State Density Bonus law and SB330. The project would be comprised of 249 multi-family units, 246 deed-restricted units and three manager units. The new development will include active and passive open space amenities and a centrally located clubhouse. The project would require approval of a Design Review Permit and environmental review.
The applicant will be dedicating up to 20 percent of the units (not including managers units) for moderate-income households, and the remainder of the units (80%) for lower income households. The rent levels for the lower income units will range from 50% to 80% of the Area Median Income (AMI). The County of Santa Clara has one of the highest AMI's in the County, at $151,300 for a family of four. These apartments will serve a segment of our workforce that have an annual household income that ranges from a maximum of $58,000 for a household of one person to a maximum of $117,750 for a household of four. Rents will range from approximately $1,503 for a one bedroom to $2,270 for a three bedroom, and $2,451 for a four bedroom.
Jemcor (the developer) proposes to use FPI Management to manage the affordable housing development. FPI does manage projects in the Morgan Hill community, which include:
- Murphy Ranch (310 E. Dunne Avenue) - 100 units
- The Lodge (515 Barrett Avenue)- 138 units
- The Huntington (16505 Butterfield Boulevard)- 114 units
The City of Morgan Hill has a good working relationship with FPI, and finds them to be responsive to our team. FPI will manage the qualification process for each resident that will live in the community.
At this time, the project is not receiving any City or County funding. The developer is planning to apply to the State for an allocation of tax credits and bonds. The project will pay school impact fees during the building permit process.
Density Bonus law provides for increased density of projects depending on the number and affordability level of housing units. As with all projects that process under Density Bonus laws, concessions and waivers to code requirements are included as part of a project entitlement.
The project site is approximately 7.5 acres. The site is located along Monterey Road at Madrone Parkway, the site of the California Tow and Salvage. The land use of the site is Residential Attached Low (6-16 du/ac) and Mixed Use Flex (7-24 du/ac) and the zoning is Residential Attached Low (RAL) and Residential Mixed Use Flex (MU-F).
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City Council Hearing
The City Council conducted a public hearing on April 21, 2021, to consider an 80 percent density bonus and three concessions for the project pursuant to Government Code Sections 65915(f)(3)(D)(i) and 65915(d)(2)(D). The City Council approved the density bonus and concessions for reduced parking space dimensions for enclosed garages, the elimination of covered and long-term bicycle storage, and the reduction of decorative pavement.
Planning Commission Hearing
The Planning Commission conducted a public hearing on October 26, 2021 to consider the approval of a Design Permit and Mitigated Negative Declaration and Monitoring Program. The Planning Commission approved the project with an additional condition requiring decorative iron fencing along Taylor Avenue.
- Public Hearing Notice (pdf)
- Resolution No. 21-12 (pdf)
- Resolution No. 21-13 (pdf)
- October 26, 2021 Planning Commission Hearing (HTML)
- Responses to Non-Environmental Comments (pdf)
Project Plans and Specifications
An environmental analysis will be conducted during the entitlement processing of the project. For more information, please visit the environmental page for this project.