Workforce housing nears completion: San Mateo’s 2000 Delaware apartments to help teachers, city employees

The City Council initiated its largest workforce housing project to date several years ago as it sought to create an integrated housing complex for people of various incomes.

“We’ve always had a policy of trying to help our city employees who are in safety positions like police and fire, but also teachers and librarians and nurses, they’re people who we really depend on for our safety. And they make real sacrifices in terms of their income to serve us and we want them to be able to live in our community,” Deputy Mayor Jack Matthews said.

Rents at the nearly $20 million complex that boasts a gym and landscaped courtyard are expected to be $2,510 per month, according to developer Westlake Urban. Anticipated to open in August or September, the new building is the counterpart of the neighboring Delaware Pacific, which began offering 60 low-income units last year.

The entire 120-unit project was developed through a collaborative effort between the city, which sold the site through its former redevelopment agency, and developers Westlake Urban, Palo Alto Partners and MidPen Housing.

Westlake Urban and Palo Alto Partners were responsible for developing the moderate-income units while the nonprofit MidPen constructed the low-income portion.

At least a third of the units are to be set aside for public sector employees and all tenants must make no more than 120 percent of San Mateo County’s median income. However, qualified renters must have an annual gross household income of at least $75,300, according to Westlake Urban.

“It’s really this gap between affordable housing, which people have an understanding of, and market rate,” said Westlake Urban Managing Director Gaye Quinn. “In order to live at 2000 Delaware you have to have a minimum income to be able to pay the rent, but you can’t make more than 120 percent of the county’s [area median income.] So we’re sort of looking at a hole in the doughnut of what people perceive as affordable housing.”

Subject to change, qualifying annual incomes include no more than $86,500 for an individual, $98,900 for a two-person household, $111,250 for a three-person household and $123,600 for a family of four, according to Westlake Urban.

Although construction of the moderate-income units is still wrapping up, Quinn said Westlake Urban is hoping to get potential tenants to start the qualification process soon.

The affordable housing units opened last year and are fully leased with MidPen often having long wait lists that illustrate the need for projects such as these, Quinn said.

The two buildings sit atop a single-story ground-level garage and share a community room, children’s playground and are close to transit like Caltrain as well as retail, according to Westlake Urban. It is just south of State Route 92 on the west side of Delaware Street.

“This is somewhat unique because we have the affordable housing project and the moderate-income project sharing a lot of amenities on the site, which I don’t know of any others that have been done quite that way,” Quinn said.

With rental rates having increased 16 percent in the last two years alone, Quinn and city officials said the site’s availability couldn’t come at a better time.

“There are so many working households in San Mateo at all income levels that cannot keep up with the rising rents,” Sandra Council, the city’s Neighborhood Improvement and Housing Manager, said in a press release. “This project is a rare opportunity to address that situation for those with moderate incomes and offer some stability so they can continue to live and work here.”

Visit delaware2000.com to learn more about the apartments or to be placed on the project’s interest list.