SAN JOSE — A site where nearly 100 homes could be built near downtown San Jose has been bought by a development firm that specializes in affordable housing.
Milestone Housing Group, acting through an affiliate, has bought two parcels near the corner of East Santa Clara Street and South 20th Street in San Jose, according to public property records.
The recently purchased sites have addresses of 934, 938, 942 and 948 E. Santa Clara St., the county documents show. The project site is in the vicinity of the Olinder and Roosevelt Park neighborhoods.
Los Gatos-based Milestone Housing has proposed the development of 99 residential units and 2,500 square feet of ground-floor retail space at the site, documents filed with San Jose planners show.
“San Jose desperately needs to build as much affordable housing as it can muster,” said Bob Staedler, principal executive with Silicon Valley Synergy, a land-use consultancy.
Milestone Housing Group’s affiliate paid a combined total of $5.1 million for the two parcels at the site, Santa Clara County property records filed on two different dates in late April show.
The parcel that contains a retail building with businesses such as a bridal shop, tailor shop and beauty lounge with addresses from 942 through 948 E. Santa Clara St. was bought for $3.4 million.
The Pacific Auto Body & Paint shop building at 934 through 936 E. Santa Clara St. was bought for $1.7 million.
Together, the two parcels total about 0.4 acres, San Jose planning documents show.
The new owner of the properties specializes in affordable housing, according to the company’s website.
“Milestone Housing’s mission is to generate and maintain high quality, safe and affordable housing,” the company states on its site. “Creating housing stability establishes a strong foundation for our residents, enabling them to focus on bettering their lives.”
The real estate developer didn’t respond to email and phone requests for a comment about the transaction and the proposal.
Milestone has developed three residential projects in San Jose and one residential project in each of the following cities: Livermore, Santa Cruz, San Luis Obispo, Los Angeles and San Diego, the firm’s website states.
“We produce housing for individuals and families with a variety of needs, including permanent housing for the homeless, veterans and individuals with disabilities, along with traditional family and senior housing,” Milestone stated in the web post.
Milestone also obtained $4.8 million in financing from Enterprise Community Loan Fund, a nonprofit that specializes in funding affordable homes, at the time of the company’s purchase of the properties.
“This transaction continues a pattern of development interest on Santa Clara Street between Coyote Creek and Highway 101,” Staedler said. “Let’s see how long it will take them to get their financing and construction started.”