Housing Affordability

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In Gilroy this week, the city continues to address its housing affordability challenges amid a significant state-mandated RHNA obligation of about 1,810 units for 2023–2031. The city’s housing strategy includes commitments to 40 opportunity sites for multi-family homes, a downtown expansion district, and a First Street mixed-use corridor. However, housing delivery remains slower than planned, highlighting ongoing challenges in meeting production goals. Key recent developments: - The Gilroy City Council awarded a two-year contract to Hello Housing to administer the city’s Below Market Rate (BMR) Housing Program, with options to extend for three additional years and a total contract amount not to exceed $973,689. - Budget amendments related to housing programs were adopted to support ongoing affordability efforts. - The city is actively monitoring and updating its BMR preservation and overall housing programs to improve outcomes. What to watch: Continued progress on the BMR program administration and efforts to accelerate housing production on designated opportunity sites will be critical to meeting Gilroy’s RHNA targets.

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