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This memorandum from Mayor Mahan and Councilmembers Kamei, Campos, Tordillos, and Cohen addresses the cost of residential development in San José. It recommends that the City Manager amend the scope of the next Cost of Residential Development Study to include various analyses related to housing typologies, off-site improvements, Reach Codes, parking ratios, and development review timelines. The memorandum emphasizes the rising costs of construction in California and the need for a detailed understanding of how policy decisions impact financial feasibility for residential developers.
Key points
The memorandum is from Mayor Mahan and Councilmembers Kamei, Campos, Tordillos, and Cohen.
It recommends amending the scope of the next Cost of Residential Development Study.
Proposed analyses include feasibility of housing typologies, impact of off-site improvements, financial impact of Reach Codes, parking ratios, and development review timelines.
Construction costs in California have increased significantly from 2021-2024.
The study aims to inform future policy decisions affecting residential development.
Limitations
The text includes unresolved placeholders and lacks specific details on certain analyses.
The document does not specify the exact nature of the 'Cost of Residential Development Study' or its previous findings.
Generated for convenience from extracted text using AI. Review the official source document before relying on this summary.
Extracted text preview · 3,900 chars
RULES COMMITTEE: 3/11/2026 ITEM: C.2 TO: RULES AND OPEN GOVERNMENT COMMITTEE SUBJECT: SEE BELOW FROM: Mayor Mahan Councilmember Kamei Councilmember Campos Councilmember Tordillos Councilmember Cohen DATE: February 24, 2026 Approved Date: 2/24/2026 SUBJECT: The Cost of Residential Development in San José RECOMMENDATION Direct the City Manager to amend the scope of work for the next Cost of Residential Development Study to include: 1. A feasibility analysis based on an expanded list of housing typologies including singlestairwell multifamily buildings and other small multifamily buildings. 2. An analysis of the impact of off-site improvements on the cost and supply of housing, based on past improvements conditioned on various housing development projects. 3. An analysis of the financial impact of various Reach Codes and local amendments adopted or under consideration for adoption by the City. 4. An analysis that identifies the parking ratio as one factor in the cost of development and compares like for like, especially in larger multifamily products. 5. A sensitivity analysis testing the impact of development review timelines, with specific quantification of holding costs over the...
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The document titled 'Workload Analysis' pertains to a request for policy analysis regarding the cost of residential development. It includes staff recommendations and evaluations related to the project complexity and resource requirements. The Housing Department, represented by Erik Soliván, is involved in this analysis, which is aligned with the Building More Housing Focus Area. The document outlines the rationale for the staff recommendation, indicating that the work can be incorporated into the existing process without requiring new staffing resources. The analysis also mentions that the next update of the Cost of Residential Development report is scheduled for Q3 FY 2026-2027.
Key points
Department involved: Housing
Department representative: Erik Soliván
Policy subject: Cost of Residential Development
Councilmember sponsors include Mahan, Kamei, Campos, Tordillos, and Cohen
Staff recommendation is to not adopt the nominated idea
Project complexity score: 10 (High Complexity)
Estimated duration: 6-9 months
The work aligns with the Building More Housing Focus Area
Next update of the Cost of Residential Development report is scheduled for Q3 FY 2026-2027
Limitations
The document contains unresolved placeholders and blank fields.
Specific cost implications, workload impacts, or other factors for deferral are not provided.
No details are given for the 'YELLOW LIGHT' and 'RED LIGHT' sections.
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Extracted text preview · 4,684 chars
Request for Policy Analysis (Council Referrals) Rules Date 3/11/2026 Department Housing Department Rep. Name/Ext. Erik Soliván/x5-3855 Policy/Ordinance Subject Cost of Residential Development Item C.2 Councilmember Sponsorship Mahan, Kamei, Campos, Tordillos, and Cohen Staff Recommendation ܆GREEN Adopt based on tradeoffs ܆YELLOW Defer to a later designated ܆RED ✔ date or the annual Budget Process outlined on next page Recommend Council not adopt nominated idea Staff Evaluation Is this already underway in a department work plan? Is this time critical or an emergency? ܆Yes ✔ No ܆ Will this require substantial resources, staffing, budget, strategic support, or reprioritizing existing work plan? ✔ No ܆ ܆Yes ܆NEEDS CLARIFICATION OR MORE TIME TO EVALUATE ܆ ✔ Yes ܆No DEPT. Required Scoring Criterion Criterion to Determine Scale of Project Complexity Project complexity is determined by scoring the project in each of the 3 criterions below and then summing the score. a. Low Complexity is a sum of 6 or less. b. Medium Complexity is a sum of 7 – 9. Total Score = 10 c. High Complexity is a sum of 10 or greater. Low Complexity Medium Complexity High Complexity...
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Generated summaryAI-assisted
The Housing Action Coalition, Bay Area Council, and SV@Home express support for the expansion of the Cost of Residential Development Study in San José. They highlight the importance of understanding the costs of residential development to address the gap between approved and constructed homes. The letter emphasizes the value of the study as a policy tool and supports specific additions to the study, including analysis of single-stairwell buildings, parking ratios, development review timelines, and off-site improvements. The authors encourage a balanced approach to analyzing Reach Codes and local amendments, emphasizing the importance of data in informing housing production policies.
Key points
Support for expanding the Cost of Residential Development Study.
Addressing the gap between approved and constructed homes is crucial.
The study has proven valuable in informing incentive programs.
Support for analysis of single-stairwell buildings and parking ratios.
Emphasis on the need for sensitivity analysis on development review timelines.
Encouragement for a balanced approach to Reach Codes and sustainability standards.
Generated for convenience from extracted text using AI. Review the official source document before relying on this summary.
Extracted text preview · 2,577 chars
March 11, 2026 200 E. Santa Clara Street, San José, CA 95113 Re: Letter of Support, The Cost of Residential Development in San José Dear Mayor Mahan and Councilmembers Kamei, Campos, Tordillos, and Cohen, The Housing Action Coalition (HAC), Bay Area Council, and SV@Home write in support of your memo directing the City Manager to expand the scope of the next Cost of Residential Development Study. This is exactly the kind of evidence-building the City needs to make informed, defensible policy decisions and we commend you for advancing it. San José has approved tens of thousands of homes over the past several years. Most of them have not been built. The gap between approval and construction is the central housing challenge this city faces, and closing it requires a clear understanding of what it actually costs to build and why. The annual Cost of Residential Development Study has already proven its value as a policy tool, informing incentive programs that are now getting shovels in the ground. Expanding its scope will make it even more useful. We are particularly supportive of the additions related to single-stairwell and small multifamily buildings, which can unlock more homes on...