Six-Story Residential Development in Milpitas Nears Finish Line of Entitlements Process

Milpitas, 308 Sango Court, The Pacific Communities, AO Architects
Courtesy of AO Architects

By Meghan Hall

A new, multifamily affordable housing development could soon be coming to Milpitas, should the City Council vote in its favor. The project, located at 308 Sango Court, would produce a six-story, 85-unit building in place of an existing industrial building. The project’s final approval will come at a City Council vote in August.

The project has been pitched by The Pacific Companies, an Idaho-based development firm. Located on a 1.11 acre parcel, the development will also include 48 parking spaces, a fitness room and lounge and leasing office. 20,788 square feet of landscaped public and private open space are also planned. Residential units will be a mix of one-, two- and three-bedrooms with sizes ranging between 563 square feet to 1,010 square feet, according to public documents.

Designed by Orange, Calif.-based AO Architects, the outside of the building will be clad in cement plaster in neutral tones, vinyl windows and aluminum storefronts. A public art installation is also in the works, while aluminum awnings will work to break up the facade.

The site is located near local transit, including the Milpitas BART Station, Interstate 880 and the Montague Expressway. Numerou attractions, such as LEGOLAND Discovery Center Bay Area, the Great Mall and Milpitas Mall are all also located nearby. Major employers, such as Cisco, Akon and BD Biosciences call the area home.

The City of Milpitas has seen substantial growth over the past decade thanks to strong economic fundamentals. The City has particularly seen a surge in residential development, according to its Housing Element Update, with “a considerable increase in residential permit applications, development entitlements, and new construction.”

The CIty, in particular, has been working to identify sites for the development of affordable housing, such as 308 Sango Court. Over the past several years, the City has set a goal to develop at least 565 new housing units for moderate-income households, 570 units for low-income households and 1,004 units for very low-income households.

Even with new projects such as 308 Sango Court in the pipeline, construction deliveries are down for multifamily across the San Francisco Bay Area. At the end of the second quarter, there were 22,788 units under construction, compared with 28,545 during the second quarter of 2020.

The slowdown in construction has also come as vacancy rates remain slightly higher than pre-pandemic levels, at 6.9 percent, region-wide, according to a second quarter report released by Kidder Mathews. Rental rates thus far have held stable, ranging between $1,833 per month to $3,018 per month, depending on the size of the unit.

As of this writing, The Pacific Communities had not yet returned The Registry’s request for comment.

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