Santa Clara County Study for an Affordable Housing Strategy

Background

Santa Clara County, the cradle of high-tech innovation, is also one of the most unaffordable places to live in the United States. The median price of a single family home has nearly tripled since 1990, such that only 15 percent of the county's households can afford to buy an average-priced home. Rental housing is also largely unaffordable, with 40 percent of renters overpaying for housing. This market reality represents a serious, long-term social and economic problem for Silicon Valley. Remarkably, no study has been done that assesses the aggregate investment in affordable housing in Santa Clara County to date or investigates the gaps between planned outlays and projected needs.

Organization Mission

The Santa Clara County Study for an Affordable Housing Strategy is a collaborative research project managed by Bay Area Local Initiatives Support Corporation (Bay Area LISC) with the support of Full Circle Fund and partner Chris Block. The study seeks to quantify the extent of the county's housing needs and provide a basis for raising the capital needed to adequately house the county's diverse population. This study will be the first step toward creating a comprehensive plan for solving the affordable housing crisis in Santa Clara County.

The study, which builds on two similar studies previously supported by Full Circle Fund, analyzes:

• Current production of affordable housing units
• Funding sources and gaps
• The economic impact of affordable housing production, including the benefit of creating construction jobs and the effect of affordable housing on local economic development.

Full Circle Fund Role

The Affordable Housing Impact Circle worked with partner Bay Area LISC to form the Advisory Council and commission The Institute for Metropolitan Studies at San Jose State University to conduct the research. Full Circle Fund leveraged its initial financial grant to attract additional funding for the study and team members also served on the Advisory Council to develop communications and fundraising outreach campaigns.

Impact

• The primary research and writing phase of the study, entitled Housing Silicon Valley: Affordable Housing Production Finance in Santa Clara County, was completed in Spring 2006.
• Full Circle Fund leveraged its $25,000 grant to attract an additional $40,000 in funding for the study, including $25,000 from the Skoll Foundation and $5,000 each from the Adobe Systems, Community Foundation of Silicon Valley and Union Bank of California.
• The team is analyzing policy implications of the study and how best to promote it among various constituencies in Santa Clara County. The team arranged for study partner Chris Block to present initial study data and research at the Silicon Valley Leadership Group's annual Vision & Values Summit in 2006.
• The final report, Housing Silicon Valley: A 20 Year Plan to End the Affordable Housing Crisis (download PDF) was released by Bay Area LISC and Charities Housing in April 2007. Housing Silicon Valley has already spurred action: a Blue Ribbon Commission made up of public and private leaders and housing experts has formed to develop practical strategies and provide the leadership necessary to move Silicon Valley forward; the Commission aims to develop and adopt an action plan to help end homelessness and solve the affordable housing crisis in Silicon Valley. Affordable Housing Impact Circle Chair and Full Circle Fund member, Ben Spero, is a member of the Blue Ribbon Commission.

NAME: Santa Clara County Study for an Affordable Housing Strategy
LOCATION: Santa Clara County
WEB: bayarealisc.org
GRANT TERM: 2005-2006
TEAM LEAD: Ben Spero

"I've worked closely with the Affordable Housing Impact Circle for over a year now, and have been consistently impressed by the dedication and enthusiasm of Full Circle Fund's members. I can honestly say that Full Circle Fund is making a difference in solving the Bay Area's housing crisis"

Paul Peninger

Program Officer, Bay Area LISC
(has since left LISC)