SAN JOSE — A downtown San Jose housing tower that could offer hundreds of apartments landed a key piece of its financing puzzle that will allow construction to begin sometime this summer.
At 470 South Market St., Bay Area real estate firm The Core Cos. is leading the development of a project expected to include 220 housing units at a corner where South Market Street, East William Street and South First Street converge in the city’s SoFA district.
(DLR Group)
Gateway Tower, a 220-unit, 15-story affordable housing development at 470 South Market Street in downtown San Jose, concept.
(DLR Group)
Gateway Tower, a 15-story, 220-unit affordable housing development at 470 South Market Street in downtown San Jose, concept.
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(DLR Group)
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Gateway Tower, a 220-unit, 15-story affordable housing development at 470 South Market Street in downtown San Jose, concept.
Housing Trust Silicon Valley provided the project with $1.5 million in predevelopment financing from its TECH fund, the nonprofit stated.
The 15-story Gateway Tower will be 100% affordable, according to Core Cos. It will serve households with an area median income ranging from 30% to 70%.
In 2025, the area median income for Santa Clara County was $136,650 a year for a one-person household and $195,200 annually for a four-person household, according to a post at the state Housing and Community Development.
This means the yearly income limits for tenants would range from $40,995 to $95,655 for a one-person household and from $58,560 to $136,640 for a four-person household.
“Gateway Tower represents an important shift in downtown San Jose’s housing priorities,” Housing Trust Silicon Valley stated.
The residential hub was originally approved as a market-rate development. Core Cos., however, decided to shift to affordable residences.
“The project was reapproved as 100% affordable housing, reflecting the city’s growing focus on expanding affordability in transit-oriented neighborhoods,” Housing Trust stated.