The City Council voted unanimously to support the construction of 70 new townhouses in the Lindenville neighborhood, making it the only for-sale, single-family development in the area.
The development, known as The Gateway, would occupy a longtime vacant lot on Railroad Avenue, a 2-acre property that has been unused since the city’s Southern Pacific rail line was decommissioned in 1990. It will eventually consist of five separate townhome buildings with a mix of two- and three-bedroom units, ranging from 1,250 to 2,200 square feet each.
While much of the city’s recent construction has focused on large, multiunit rental apartments, there is not much single-family housing in the neighborhood.
“Lots of apartments are being built around the area, but there is no for-sale family housing, and I think this Gateway project would bridge the gap,” the project developer Ken Cui said.
The project aligns well with the city’s plans to revitalize the Lindenville neighborhood. Located in the city’s southern section, it is home to about 43% of the city’s industrial land but is also strategically near public transit, making it an ideal location for much-needed new residential development. The area also accounts for much of the city’s housing allocation in its housing element, which establishes where housing will be zoned and built in the city over the next two decades. Per state mandates, between 2023-31, South City must approve 3,956 units.
The lack of affordable units caused concern from planning commissioners at a previous meeting, however, the developer plans to pay a little over $4 million in exchange for not building any below-market-rate units.
“We’ve been wanting to see for-sale units, and the fact that we’re going to get money back that we can potentially use for affordable housing down the road, and also potentially for parks projects, I think is a win-win situation,” Councilmember Mark Nagales said.
The developer anticipates breaking ground on the site early 2026.
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