Located on a 1.2-acre infill site within the San Jose Diridon Station Area Plan (DSAP), Madrone Place directly addresses the city’s pressing need for affordable and supportive housing. The community includes 50 studios, 25 one-bedroom, 39 two-bedroom, and 39 three-bedroom apartments. Affordability levels are evenly distributed: one-third of the units are reserved for extremely low-income households (≤30% AMI), one-third for very low-income households (≤50% AMI), and one-third for low-income households (≤60% AMI).
Madrone Place is ideally situated near the future Google transit village, the anticipated BART extension, and future high-speed rail. Residents enjoy quick, easy access to jobs, retail, parks, and community amenities, as Madrone Place is located within a 10-minute walk of Diridon Station and adjacent to the VTA Line.
At its core, Madrone Place is about building an inclusive, supportive community. On-site management and resident services offices, together with the Santa Clara County Office of Supportive Housing and local partners, provide residents with personalized support and long-term stability.
The project’s design emphasizes equity and sustainability. Two landscaped second-floor courtyards anchor the building. One includes a misting pad and a 1,250-square-foot play yard connected to a 2,950-square-foot childcare facility, while the other provides a calm gathering space and barbeque area for residents of all ages. Additional amenities include a shared rooftop terrace, multipurpose community room, exercise rooms, meeting rooms, laundry facilities on every floor, 74 covered parking spaces, and secure parking for 154 bicycles.
Sustainability extends beyond energy efficiency. A majority of the building’s power usage is offset by on-site energy generated from rooftop solar panels, with no natural gas use. The building integrates energy-efficient appliances, water-wise landscaping, and sustainable building materials throughout. We design flexible building components for adaptability and potential reuse, supporting circular economy principles and reducing long-term environmental impact.
Madrone Place also demonstrates how streamlined development can meet urgent housing needs. Approved under SB 35 for its proximity to transit and affordability levels, the project benefited from ministerial approvals and reduced parking requirements. Using the State Density Bonus Law, it secured concessions for side and rear setbacks while maintaining an 80-foot height—well within DSAP limits and achieving a density of 127 dwelling units per acre.
The $136 million development relies on a layered financing strategy. Santa Clara County owns the land, leased back to the developer, while the City of San Jose issued tax-exempt bonds. The project leverages more than $26 million in federal and state Low-Income Housing Tax Credits, public funding from Santa Clara County’s Measure A Affordable Housing Bond and the City of San Jose, private equity investments, and 16 Section 8 Project-Based Vouchers from the Santa Clara County Housing Authority to ensure long-term affordability.
Earlier this year, SGPA hosted a site tour of Madrone Place and the nearby Mariposa Place for graduate real estate students from San Jose State University. The visit offered an opportunity to explore both projects and discuss the design and financing strategies behind high-quality affordable housing in Silicon Valley.
With construction nearly complete, Madrone Place is set to welcome residents soon. More than housing, it is a model of inclusive, sustainable, and community-focused development, showing how thoughtful design, innovative planning, and strong partnerships can transform San Jose’s urban landscape.
