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SEARCHVTA announced a long-term ground lease agreement with Charities Housing, which will build 45 townhomes on property next to VTA’s Branham Light Rail Station.
San Jose, Calif.’s Santa Clara Valley Transportation Authority (VTA) is taking a pioneering role in affordable housing in Silicon Valley, creating homeownership for extremely low-income residents of Santa Clara County.
VTA announced a long-term ground lease agreement with Charities Housing, which will build 45 townhomes on property next to VTA’s Branham Light Rail Station.
While most affordable and low-income housing being built in the San Francisco Bay Area is rental property, the development going up next to VTA’s Branham Light Rail Station will be townhomes for sale.
About a quarter of the units will be designated for extremely low-income residents, earning 30% of the median income in Santa Clara County, or less. This is the first such housing development VTA has included in its broad portfolio of Transit-Oriented Development.
VTA announced the agreement to lease the property to Charities Housing at a press conference.
“At VTA, we are proud to be on the cutting edge of this opportunity, and we hope this is just the beginning, with other projects and developers following suit,” said VTA GM/CEO Carolyn Gonot.
The Branham homeownership project is one of several new housing projects benefiting from a cooperative agreement between VTA and the Santa Clara County Office of Supportive Housing, which manages funds from the 2016 Measure A Affordable Housing Bond.
“This project is a good example of VTA’s role as a leader in solving problems in our community,” said VTA Board Chair and Campbell Mayor Sergio Lopez. “Hopefully we are paving the way for future innovations in affordable housing solutions.”
The homes at Branham station will prioritize affordability, fostering an opportunity for owners to build equity in their own homes.
Anticipating that some of the homes will be sold again in future years, the affordable Area Median Income levels will be guaranteed in perpetuity through recorded deed restrictions administered by the Office of Supportive Housing.
The Branham townhome project recently received a generous grant from Destination Home, a public-private partnership that has funded thousands of affordable homes throughout Santa Clara County.
In addition, because VTA qualified for a Metropolitan Transportation Commission (MTC) Priority Sites designation in 2023, the Branham homeownership project has also earned a grant from MTC.
Through partnerships with nonprofits, private developers, and public sector agencies, VTA’s TOD program allows developers to lease under-utilized VTA properties near transit. This initiative aims to provide much-needed housing while increasing system ridership and farebox revenues.
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