Item2.Staff Report with Attachments 1-3
PREPARED BY: Jocelyn Shoopman and Erin Walters
Associate Planner and Associate Planner
110 E. Main Street Los Gatos, CA 95030 ● 408-354-6832
www.losgatosca.gov
MEETING DATE: 03/16/2023
ITEM NO: 2 TOWN OF LOS GATOS
HOUSING ELEMENT ADVISORY BOARD REPORT
DATE: March 9, 2023
TO: Housing Element Advisory Board
FROM: Joel Paulson, Community Development Director
SUBJECT: Review and Discuss the Town’s Revised Draft Housing Element Addressing the
California Department of Housing and Community Development’s (HCD)
Findings/Comment Letter Received by the Town on January 12, 2023.
BACKGROUND:
On January 12, 2023, the Town received HCD’s findings/comment letter on the Draft Housing
Element (Attachment 1). The findings/comment letter from HCD provides a list of
recommended revisions.
On January 30, 2023, the Town Council adopted the 2023-2031 Draft Housing Element with
modifications to the Sites Inventory, finding that it was in substantial compliance with State law
with the revised Sites Inventory Analysis and revised Sites Inventory Form. The adopted 2023-
2031 Draft Housing Element is available online at: https://www.losgatosca.gov/1735/General-
Plan---Housing-Element.
The 2023-2031 Draft Housing Element as adopted by the Town Council on January 30, 2023, was
required to be available to the public for a seven-day review period prior to HCD
resubmittal. The seven-day public review period was from February 3, 2023, to February 10,
2023.
On February 13, 2023, the Town submitted the adopted 2023-2031 Draft Housing Element to
HCD. A cover letter was included in the submittal describing that the Town is in the process of
addressing all the remaining comments found in the HCD findings/comment letter and will be
resubmitting a revised Draft Housing Element after all the revisions have been completed. The
cover letter and submittal documents are available online at:
https://www.losgatosca.gov/1735/General-Plan---Housing-Element.
PAGE 2 OF 4
SUBJECT: Review and Discuss the Town’s Revised Draft Housing Element
DATE: March 9, 2023
BACKGROUND (continued):
On February 16, 2023, the Housing Element Advisory Board (HEAB) held a meeting to review and
discuss the HCD findings/comment letter, and how the comments and findings would be
addressed. The HEAB provided direction to staff to consider incorporating the following the
comments into the revised Draft Housing Element: the suggested modifications detailed in the
letter submitted by SV@Home; the installation of story poles as a constraint to residential
development; comments provided by a Planning Commissioner; and inclusion of the Town’s
history of racial covenants included within deeds for residential properties.
DISCUSSION:
The purpose of this meeting is to review and discuss the revised Draft Housing Element,
addressing the HCD’s findings/comment letter. Staff has prepared a response memorandum
describing each of HCD’s comments and a summary of modifications (Attachment 2). The
following summarizes modifications to the Sites Inventory:
Sites Inventory
1. The number of units for the Pipeline Projects increased from 176 units to 201 units due to an
update of active Planning entitlements.
2. The removal of Site C-7 and Site C-8 due to a Property Owner Interest Form not being
submitted:
• Site C-7 – 15495 Los Gatos Boulevard [Assessor’s Parcel Number (APN): 424-22-030];
and
• Site C-8 – 15445 Los Gatos Boulevard (APN: 424-19-068).
3. The addition of four new parcels, Sites C-7 through C-9 due to the submittal of Property
Owner Interest Forms:
• Site C-7 – 16151 Los Gatos Boulevard (APN: 529-16-040);
• Site C-8 – 620 Blossom Hill Road (APN 529-16-041); and
• Site C-9 – 15480 Los Gatos Boulevard and 15500 Los Gatos Boulevard (APN: 424-14-034
and -035).
4. An overall increase in the total of housing units from 2,312 to 2,494 due to an increase in the
Pipeline Projects and Sites Inventory, as described in the table on the following page.
Should the HEAB wish to reduce the total number of units proposed in the revised Draft Housing
Element, staff has identified two parcels in which a Property Owner Interest Form has not been
submitted and could be removed, while still complying with the Town’s Regional Housing Needs
Allocation (RHNA) and required buffer of at least of 15 percent:
• Site E-3 – CalTrans Right of Way (no APN) [69 units]; and
• Site F-2 – 206 Knowles Drive (APN 424-32-076) [72 units].
PAGE 3 OF 4
SUBJECT: Review and Discuss the Town’s Revised Draft Housing Element
DATE: March 9, 2023
DISCUSSION (continued):
Site
Inventory
Accessory
Dwelling
Unit
Senate
Bill 9
Pipeline
Projects Total RHNA
Requirement Buffer
Adopted Draft
Housing Element 1,840 200 96 176 2,312 1,993 319 over RHNA
16% buffer
Revised Draft Housing
Element
(Attachment 3)
1,997 200 96 201 2,494 1,993 501 over RHNA
25% buffer
Draft Housing
Element if modified
further to remove
Sites E-3 and F-2
1,856 200 96 201 2,353 1,993 360 over RHNA
18% buffer
Both the HEAB’s direction and staff’s edits have been incorporated into the following sections of
the revised Draft Housing Element:
• Section 10.1, Introduction;
• Section 10.3, Site Inventory and Opportunities;
• Section 10.5, Goals, Policies, and Implementation Programs;
• Section 10.6, Implementation Programs;
• Appendix A, Affirmatively Furthering Fair Housing Reports;
• Appendix B, Housing Needs Assessment;
• Appendix C, Governmental and Non-Governmental Constraints;
• Appendix D, Vacant and Available Sites;
• Appendix E, Review of Previous Housing Element;
• Appendix F, List of Organizations Contacted; and
• Appendix H, Sites Inventory Form.
HCD Findings/Comment Letter
Staff has prepared a response memorandum breaking HCD’s findings/comment letter into
individual comments and summarizing the modifications made to the revised Draft Housing
Element (Attachment 2).
HCD requires that a track change copy (Attachment 3) and a clean copy of the revised Draft
Housing Element be submitted to clearly show the changes between the iterations of the Draft
Housing Element. The clean copy of the revised Draft Housing Element is available online at:
https://www.losgatosca.gov/1735/General-Plan---Housing-Element.
PAGE 4 OF 4
SUBJECT: Review and Discuss the Town’s Revised Draft Housing Element
DATE: March 9, 2023
NEXT STEPS:
Based on the review and a recommendation from the HEAB, a revised Draft Housing Element
would then be available to the public for a seven-day review period as required by Assembly Bill
215. HCD requires that a track change copy and a clean copy of the revised Draft Housing
Element be available for viewing during the seven-day review period. In addition, an email will
be sent to all individuals and organizations that previously requested notices relating to the
Town’s Housing Element Update.
Following the seven-day review period, the Town will resubmit to HCD for review. Subsequent
review by HCD will take up to 60 days. Based on the experience of neighboring jurisdictions,
HCD could issue a second comment letter. Once HCD determines and communicates that the
Town’s Draft Housing Element is ready for certification, the public hearing process for adoption
will occur again with the Planning Commission making a recommendation and the Town Council
making the final decision on adoption of the Housing Element.
PUBLIC COMMENTS:
As of the drafting of this report, no comments from the public have been received.
Public comments are encouraged throughout the Housing Element update process and can be
emailed to HEUpdate@losgatosca.gov.
ATTACHMENTS:
1. January 12, 2023, HCD Findings/Comment Letter
2. Response Memorandum to HCD’s Findings Comment Letter
3. Revised Draft Housing Element, Track Changes
STATE OF CALIFORNIA - BUSINESS, CONSUMER SERVICES AND HOUSING AGENCY GAVIN NEWSOM, Governor
DEPARTMENT OF HOUSING AND COMMUNITY DEVELOPMENT
DIVISION OF HOUSING POLICY DEVELOPMENT
2020 W. El Camino Avenue, Suite 500
Sacramento, CA 95833
(916) 263-2911 / FAX (916) 263-7453
www.hcd.ca.gov
January 12, 2023
Joel Paulson, Director
Community Development Department
Town of Los Gatos
110 E Main Street,
Los Gatos, CA 95030
Dear Joel Paulson:
RE: Town of Los Gatos’ 6th Cycle (2023-2031) Draft Housing Element
Thank you for submitting the Town of Los Gatos draft housing element received for
review on October 14, 2022. Pursuant to Government Code section 65585, subdivision
(b), the California Department of Housing and Community Development (HCD) is
reporting the results of its review. In addition, HCD considered comments from YIMBY
Law and Greenbelt Alliance, Kylie Clark, Silicon Valley@Home and Campaign for Fair
Housing Elements and YIMBY Law, pursuant to Government Code section 65585,
subdivision (c).
The draft element addresses many statutory requirements; however, revisions will be
necessary to comply with State Housing Element Law (Article 10.6 of the Gov. Code).
The enclosed Appendix describes the revisions needed to comply with State Housing
Element Law.
For your information, pursuant to Assembly Bill 1398 (Chapter 358, Statutes of 2021), if
a local government fails to adopt a compliant housing element within 120 days of the
statutory deadline (January 31, 2023), then any rezoning to make prior identified sites
available or accommodate the regional housing needs allocation pursuant to
Government Code sections 65583, subdivision (c) and 65583.2, subdivision (c), shall be
completed no later than one year from the statutory deadline. Please be aware, if the
Town fails to adopt a compliant housing element within one year from the statutory
deadline, the element cannot be found in substantial compliance until any necessary
rezones are completed.
Several federal, state, and regional funding programs consider housing element
compliance as an eligibility or ranking criteria. For example, the CalTrans Senate Bill
(SB) 1 Sustainable Communities grant; the Strategic Growth Council and HCD’s
Affordable Housing and Sustainable Communities programs; and HCD’s Permanent
Local Housing Allocation consider housing element compliance and/or annual reporting
ATTACHMENT 1
Joel Paulson, Director
Page 2
requirements pursuant to Government Code section 65400. With a compliant housing
element, the Town will meet housing element requirements for these and other funding
sources.
For your information, some general plan element updates are triggered by housing
element adoption. HCD reminds the Town to consider timing provisions and welcomes
the opportunity to provide assistance. For information, please see the Technical
Advisories issued by the Governor’s Office of Planning and Research at:
https://www.opr.ca.gov/planning/general-plan/guidelines.html.
HCD appreciates your hard work provided in the housing element update. We are
committed to assisting the Town in addressing all statutory requirements of State
Housing Element Law. If you have any questions or need additional technical
assistance, please contact Jose Armando Jauregui, of our staff, at
jose.jauregui@hcd.ca.gov .
Sincerely,
Paul McDougall
Senior Program Manager
Enclosure
Town of Los Gatos 6th Cycle (2023-2031) Draft Housing Element Page 1
January 12, 2023
APPENDIX
TOWN OF LOS GATOS
The following changes are necessary to bring the Town’s housing element into compliance
with Article 10.6 of the Government Code. Accompanying each recommended change, we cite
the supporting section of the Government Code.
Housing element technical assistance information is available on HCD’s website at
https://www.hcd.ca.gov/planning-and-community-development/hcd-memos. Among other
resources, the housing element section contains HCD’s latest technical assistance tool,
Building Blocks for Effective Housing Elements (Building Blocks), available at
https://www.hcd.ca.gov/planning-and-community-development/housing-elements/building-
blocks and includes the Government Code addressing State Housing Element Law and other
resources.
A. Review and Revision
Review the previous element to evaluate the appropriateness, effectiveness, and progress
in implementation, and reflect the results of this review in the revised element. (Gov. Code,
§ 65588 (a) and (b).)
The review requirement is one of the most important features of the element update. The
review of past programs should describe progress in implementation of previous actions,
including results compared to objectives and evaluate the effectiveness of actions to make
appropriate adjustments in the current planning period. In the most cases, the element
does not describe any progress in implementation and particularly housing related
outcomes and then simply concludes to continue or modify programs. For example, the
prior element had a program to implement the below market rate program and evaluate the
program as a constraint. The element reports the program was implemented. There is no
discussion of outcomes or an evaluation of constraints. Then, the element concludes the
program will be modified but the new program does not appear to adjust on past efforts.
The element must fully describe past commitments, progress in implementation, evaluate
effectiveness and then discuss appropriate adjustments in the current planning period.
In addition, the element must provide an evaluation of the cumulative effectiveness of past
goals, policies, and related actions in meeting the housing needs of special needs
populations (e.g., elderly, persons with disabilities, large households, female-headed
households, farmworkers, and persons experiencing homelessness) and revise programs
as appropriate.
B. Housing Needs, Resources, and Constraints
1. Affirmatively further[ing] fair housing in accordance with Chapter 15 (commencing with
Section 8899.50) of Division 1 of Title 2…shall include an assessment of fair housing in
the jurisdiction. (Gov. Code, § 65583, subd. (c)(10)(A).)
Town of Los Gatos 6th Cycle (2023-2031) Draft Housing Element Page 2
January 12, 2023
Regional Level Patterns and Trends: While the element includes several maps and
tables and reports data, it generally must evaluate the data and especially at a regional
level, comparing the Town to the broader region. This is particularly important since the
Town appears far different from the rest of the region. The analysis should address all
components of the assessment of fair housing (e.g., segregation and integration,
disparities in access to opportunity) and should focus on race, income, and overall
access to opportunity). The analysis should address trends and incorporate local data
and knowledge and other relevant factors (See below).
Income and Racial Concentration of Affluence (RCAA): The element briefly mentions
incomes in the Town compared to the region and notes it is safe to speculate the Town
has neighborhoods that are RCAAs; however, the entire Town is a RCAA and the
element should incorporate this information. Please see HCD’s Affirmatively Furthering
Fair Housing (AFFH) Data Viewer at https://affh-data-resources-cahcd.hub.arcgis.com/.
The element should include specific analysis of income and RCAA at a regional level
(Town compared to the broader region). The analysis should at least address trends,
conditions, coincidence with other fair housing factors (e.g., race, highest resource,
overpayment), effectiveness or absence of past strategies (e.g., lack of publicly assisted
housing and lack of multifamily zoning), local data and knowledge and other relevant
factors. The element must add or modify meaningful programs based on the outcomes
of this analysis, including actions to improve housing mobility within and beyond Town
boundaries.
Disparities in Access to Opportunity: While the element provided a general analysis of
opportunity areas, and high-level conclusions about the Town’s disparities in access to
opportunity, it should analyze trends and patterns related to access to transportation on
a local and regional level.
Disproportionate Housing Needs, Including Displacement Risk: The element includes
some information on cost burden and overcrowding but should also discuss local
patterns of housing conditions. For example, the element should discuss areas of the
Town where proportions of housing units needing rehabilitation may be higher than
other areas and may utilize local knowledge such as qualitative information from code
enforcement staff.
Identified Sites and Affirmatively Furthering Fair Housing (AFFH): The element must
include data on the location of regional housing need allocation (RHNA) sites by income
group relative to all fair housing components. The analysis should address the number
of units by income group and location, any isolation of the RHNA by income group,
magnitude of the impact on existing concentrations of socio- economic characteristics
and discuss how the sites improve fair housing conditions. The analysis should be
supported by local data and knowledge and other relevant factors and programs should
be added or modified as appropriate to promote inclusive and equitable communities.
Local Data and Knowledge: The element must include local data, knowledge, and other
relevant factors to discuss and analyze any unique attributes about the Town related to
Town of Los Gatos 6th Cycle (2023-2031) Draft Housing Element Page 3
January 12, 2023
fair housing issues. The element should complement federal, state, and regional data
with local data and knowledge where appropriate to capture emerging trends and
issues, including utilizing knowledge from local and regional advocates and service
providers, Town staff and related local and County planning documents.
Other Relevant Factors: While the element includes some general background on
exclusionary practices, it should relate these situations to the Town and complement
data and mapping with other relevant factors that contribute to fair housing issues in the
Town. For instance, the element can analyze historical land use; zoning and barriers to
housing choices such as past denials of affordable housing, local land use initiatives or
proposed referendums; investment practices; seeking investment or lack of seeking
investment to promote affordability and inclusion; information about
redlining/greenlining, restrictive covenants and other discriminatory practices; land use
related lawsuits; local land use initiatives; demographic trends, or other information that
complements the state and federal data.
Contributing Factors to Fair Housing Issues: Upon a complete AFFH analysis, the
element must assess and prioritize contributing factors to fair housing issues and add or
modify programs as appropriate.
2. Include an analysis and documentation of household characteristics, including level of
payment compared to ability to pay, housing characteristics, including overcrowding,
and housing stock condition. (Gov. Code, § 65583, subd. (a)(2).)
Housing Conditions: The element provides some information on age of the housing
stock. However, it must estimate the number of units in need of rehabilitation and
replacement. For example, the analysis could include estimates from a recent
windshield survey or sampling, estimates from the code enforcement agency, or
information from knowledgeable organizations. For additional information, see the
Building Blocks at https://www.hcd.ca.gov/planning-and-community-
development/housing-elements/building-blocks/housing-stock-characteristics.
3. An inventory of land suitable and available for residential development, including vacant
sites and sites having realistic and demonstrated potential for redevelopment during the
planning period to meet the locality’s housing need for a designated income level, and
an analysis of the relationship of zoning and public facilities and services to these sites.
(Gov. Code, § 65583, subd. (a)(3).)
Pipeline Projects: The element includes a list of 176 units through pipeline projects on
page D-38. While the element may utilize pipeline and potential development projects
toward the RHNA, it must also demonstrate their affordability and availability in the
planning period. Affordability must be demonstrated based on actual sales price, rent
level or other mechanisms ensuring affordability (e.g., deed restrictions). Availability
should account for the likelihood of project completion in the planning period and should
address the status, necessary steps to issue permits, any barriers to development and
other relevant factors.
Town of Los Gatos 6th Cycle (2023-2031) Draft Housing Element Page 4
January 12, 2023
Sites Inventory: The element must clarify what the allowable density is for the North
Forty Specific Plan identified in Table A. The inventory indicates sites zoned under the
North Forty Specific Plan where the minimum and maximum densities is the same (i.e.,
30 units per acre). If the densities are the same, the element should include a specific
analysis of the range as a potential constraint.
Realistic Capacity: The element must include a methodology for calculating the realistic
residential capacity of identified sites. The methodology must be adjusted as necessary,
based on the land use controls and site improvements and typical densities of existing
or approved residential developments at a similar affordability level in that jurisdiction.
For example, the element could clearly list other recent projects, the zone, acreage,
built density, allowable density, level of affordability and presence of exceptions such as
a density bonus.
In addition, the element must also account for the likelihood of 100 percent
nonresidential development. The element lists recent trends for residential development
in non-residential zones but should also consider the development activity of 100
percent nonresidential uses. For example, the element could analyze all development
activity in these nonresidential zones, how often residential development occurs and
adjust residential capacity calculations, policies, and programs accordingly. This
analysis may incorporate any proposed policies such as residential performance
standards and prohibition of commercial uses.
Nonvacant Sites: The element must include an analysis demonstrating the potential for
additional development on nonvacant sites. The element generally provides a
description of the properties like location and whether the property owner submitted an
interest form but does not describe the results of the form or why the property might
redevelop in the planning period. To address this requirement, the element should
address the extent to which existing uses may constitute an impediment to additional
residential development, the Town’s past experience with converting existing uses to
higher density residential development, the current market demand for the existing use,
an analysis of any existing leases or other contracts that would perpetuate the existing
use or prevent redevelopment of the site for additional residential development,
development trends, market conditions, and regulatory or other incentives or standards
to encourage additional residential development on these sites.
For your information, if the housing element relies upon nonvacant sites to
accommodate more than 50 percent of the RHNA for lower-income households the
housing element must demonstrate existing uses are not an impediment to additional
residential development and will likely discontinue in the planning period. (Gov. Code, §
65583.2, subd. (g)(2).) Absent findings (e.g., adoption resolution) based on substantial
evidence, the existing uses will be presumed to impede additional residential
development and will not be utilized toward demonstrating adequate sites to
accommodate the RHNA.
Replacement Housing Requirements: The element identifies sites with existing
residential uses. Absent a replacement housing program, these sites are not adequate
sites to accommodate lower-income households. The replacement housing program
Town of Los Gatos 6th Cycle (2023-2031) Draft Housing Element Page 5
January 12, 2023
that has the same requirements as set forth in Government Code section 65915,
subdivision (c), paragraph (3). The housing element must be revised to include such
analysis and a program, if necessary.
Small Sites: The element identifies several sites smaller than a half-acre. Sites
smaller than a half-acre in size are deemed inadequate to accommodate housing for
lower-income housing unless it is demonstrated that sites of equivalent size and
affordability were successfully developed during the prior planning period or other
evidence demonstrates the suitability of the sites to accommodate housing for lower-
income households, including programs as appropriate.
Zoning for Lower-Income Households: The element must demonstrate zoning
appropriate to accommodate housing for lower-income households. The sites inventory
includes zones with densities of 14 to 22 units per acre (Medium Density Residential R-
M) that allocate units for lower income. However, the element does not include an
analysis evaluating the adequacy of the R-M zone to encourage and facilitate the
development of units affordable to lower-income households. For communities with
densities that meet specific standards (allow at least 30 units per acre for Los Gatos),
no analysis is required. Otherwise, the element must include an analysis based on,
including but not limited to, factors such as market demand, financial feasibility and
development experience within identified zones demonstrating how the adopted
densities can accommodate housing for lower-income households.
SB 9 Sites: The element identifies SB 9 as a strategy to accommodate the part of the
Town’s RHNA. To support these assumptions, the analysis must include experience,
trends and market conditions that allow lot splits. The analysis must also include a
nonvacant sites analysis demonstrating the affordability, likelihood of redevelopment and
the existing use will not constitute as an impediment for additional residential use. The
analysis should describe how the Town determined eligible properties, whether the
assumed lots will have turnover, if the properties are easy to subdivide, and the condition
of the existing structures or other relevant factors indicating additional development
potential. The analysis should also describe interest from property owners as well as
experience. The analysis should provide support for the assumption of eligible properties
being developed within the planning period. Based on the outcomes of this analysis, the
element should add or modify programs to establish zoning and development standards
early in the planning period and implement incentives to encourage and facilitate
development as well as monitor development every two years with and identify additional
sites within six months if assumptions are not being met. The element should support this
analysis with local information such as local developer or owner interest to utilize zoning
and incentives established through SB 9.
Availability of Infrastructure: The element must demonstrate sufficient existing or
planned water and sewer capacity to accommodate the Town’s RHNA for the planning
period.
Zoning for a Variety of Housing Types:
Town of Los Gatos 6th Cycle (2023-2031) Draft Housing Element Page 6
January 12, 2023
• Transitional and Supportive Housing: Transitional housing and supportive
housing are permitted as a residential use and only subject to those restrictions
that apply to other residential dwellings of the same type in the same zone. The
element must demonstrate compliance with this requirement or include a
program if necessary.
• Permanent Supportive Housing: By right permanent supportive housing shall be
a use by-right in zones where multifamily and mixed uses are permitted,
including nonresidential zones permitting multifamily uses pursuant to
Government Code section 65651. The element must demonstrate compliance
with this requirement and include programs as appropriate.
• Employee Housing: The element should clarify if there are any zones that allow
agriculture uses. If there are zones that allow agriculture uses, then the town
must comply with California Health and Safety Code Section 17021.6. Section
17021.6 requires employee housing consisting of no more than 12 units or 36
beds to be permitted in the same manner as other agricultural uses in the same
zone.
• Manufactured Housing: The element must demonstrate zoning permits
manufactured housing on a permanent foundation in the same manner and in the
same zone as a conventional or stick-built structures are permitted (Government
Code Section 65852.3) or add or modify programs as appropriate.
Electronic Sites Inventory: For your information, pursuant to Government Code section
65583.3, the Town must submit an electronic sites inventory with its adopted housing
element. The Town must utilize standards, forms, and definitions adopted by HCD.
Please see HCD’s housing element webpage at https://www.hcd.ca.gov/planning-and-
community-development/housing-elements for a copy of the form and instructions. The
Town can reach out to HCD at sitesinventory@hcd.ca.gov for technical assistance.
4. An analysis of potential and actual governmental constraints upon the maintenance,
improvement, or development of housing for all income levels, including the types of
housing identified in paragraph (1) of subdivision (c), and for persons with disabilities as
identified in the analysis pursuant to paragraph (7), including land use controls, building
codes and their enforcement, site improvements, fees and other exactions required of
developers, and local processing and permit procedures... (Gov. Code, § 65583, subd.
(a)(5).)
Land Use Controls: The element must identify and analyze all relevant land use controls
impacts as potential constraints on a variety of housing types. For example, the element
should analyze all development standards by zoning district for impacts on housing
costs and ability to achieve maximum densities. The element should also discuss any
local initiatives, referendums, moratoriums or other mechanisms (existing or proposed)
that impact housing supply, cost, feasibility, timing and ability to achieve maximum
densities. In addition, the analysis should specifically address the development
standards in the North Forty Specific Plan, Mixed Use Commercial, and the High-
Density Residential zone. The analysis must evaluate the cumulative impacts of land
use controls on the cost and supply of housing, including the ability to achieve
Town of Los Gatos 6th Cycle (2023-2031) Draft Housing Element Page 7
January 12, 2023
maximum densities. The Town could engage the development community to assist with
this analysis.
Fees and Exaction: While the element lists the total fees per units for single-family and
multifamily development, it should also list the fees that comprise that total and
particularly impact fees then evaluate those total fees for impacts on development
costs.
Local Processing and Permit Procedures: The element must describe and analyze the
types of permits, extent of discretionary review including required approval findings,
number of public hearings and processing time required for a typical single family and
multifamily development that meets zoning requirements.
Housing for Persons with Disabilities: The element indicates the Town adopted a
procedure for requesting reasonable accommodation for persons with disabilities (p. C-
23) and describes the procedure; however, the element should address criteria related
to: “There would be no impact on surrounding uses” and include a program to address
the constraint. In addition, residential care facilities for seven or more require a
conditional use permit (CUP). The element should evaluate the CUP as a constraint and
add a program to allow group homes in all residential zones with an objective and
certain process similar to other residential uses.
Density Bonus: The element states the Town adopted a state density bonus program in
June 2012. The Town’s current density bonus program should be reviewed for
compliance with current State Density Bonus Law (SDBL). (Gov. Code, § 65915.). The
element should include a program to update density bonus program. Program V is
conducting a study to evaluate the existing Density Bonus Ordinance and recommend
changes to increase the number of units constructed, however it should specifically
commit to update the ordinance in compliance with state law.
Inclusionary Zoning Ordinance: The element mentions the Town’s inclusionary zoning
ordinance, but it must also analyze the Town’s inclusionary housing requirements,
including its impacts as potential constraints on the development of housing for all
income levels. The analysis must evaluate the inclusionary broader policy’s
implementation framework, including the percentage of new residential construction that
is dedicated to affordable housing, the types of options and incentives offered,
relationships with SDBL and any other factors that may impact housing costs.
Zoning and Fees Transparency: The element must clarify its compliance with new
transparency requirements for posting all zoning, development standards and fees for
each parcel on the jurisdiction’s website.
5. Analyze any special housing needs such as elderly; persons with disabilities, including a
developmental disability; large families; farmworkers; families with female heads of
households; and families and persons in need of emergency shelter. (Gov. Code, §
65583, subd. (a)(7).)
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January 12, 2023
Special Housing Needs: While the element quantifies some of the Town’s special needs
populations, it must also estimate the number of persons experiencing homelessness in
the Town. In addition, the element reports data but must also analyze the special
housing needs. For a complete analysis of each population group, the element should
quantify the needs, evaluate trends and characteristics (e.g., tenure, income) of housing
needs, discuss disproportionate challenges faced by the population, the existing
resources to meet those needs, assess any gaps in resources or effectiveness of past
strategies, describe the magnitude of the remaining need and appropriate propose
policies and programs.
For additional information and a sample analysis, see the Building Blocks at
https://www.hcd.ca.gov/planning-and-community-development/housing-
elements/building-blocks.
C. Housing Programs
1. Include a program which sets forth a schedule of actions during the planning period,
each with a timeline for implementation, which may recognize that certain programs are
ongoing, such that there will be beneficial impacts of the programs within the planning
period, that the local government is undertaking or intends to undertake to implement
the policies and achieve the goals and objectives of the Housing Element... (Gov. Code,
§ 65583, subd. (c).)
To have a beneficial impact in the planning period and achieve the goals and objectives
of the housing element, programs should have specific commitment toward housing
outcomes and discrete and early timing (e.g., at least annually or by Jan 2025).
Examples of programs to be revised include:
• Program K Small Multi-Unit Housing: The Program should include a timeline
of when zoning code will be updated.
• M Lot Consolidation: The Program should include a quantification of
approximately how many lot consolidations the town plans to facilitate.
• Program R Development Impact and Permit Fees: The Program should
include a completion timeline.
• Program S Affordable Housing Development: The Program should include
quantification of approximately how many units will be incentivized.
• Program T Purchase Affordability Covenants in Existing Apartments: The
element should clarify the timeline to establish and implement the program
(e.g., by 2024 and at least annually).
• Program AC Housing Opportunities for Persons Living with Disabilities: The
Program must include a completion timeframe.
• Program AK Housing Conditions Survey: Program should be revised to include a
specific timeline for when the housing condition survey will be conducted.
Additionally, the element should describe how often funding will be applied for (e.g.,
annually).
Town of Los Gatos 6th Cycle (2023-2031) Draft Housing Element Page 9
January 12, 2023
• Program AR CDBG and Other Housing Rehabilitation Programs: The Program
should clarify how often the Town will participate in the County of Santa Clara
Community Development Block Grant Joint Powers Authority (e.g. annually,
biannually).
• AS Countywide Home Repair Programs: The Program should include a
numerical target (e.g., how many minor home repairs).
• AU Residential Rehabilitation Program: The Program should include a
timeline commitment.
2. Identify actions that will be taken to make sites available during the planning period with
appropriate zoning and development standards and with services and facilities to
accommodate that portion of the city’s or county’s share of the regional housing need
for each income level that could not be accommodated on sites identified in the
inventory completed pursuant to paragraph (3) of subdivision (a) without rezoning, and
to comply with the requirements of Government Code section 65584.09. Sites shall be
identified as needed to facilitate and encourage the development of a variety of types of
housing for all income levels, including multifamily rental housing, factory-built housing,
mobilehomes, housing for agricultural employees, supportive housing, single-room
occupancy units, emergency shelters, and transitional housing. (Gov. Code, § 65583,
subd. (c)(1).)
As noted in Finding B3, the element does not include a complete site analysis;
therefore, the adequacy of sites and zoning were not established. Based on the results
of a complete sites inventory and analysis, the Town may need to add or revise
programs to address a shortfall of sites or zoning available to encourage a variety of
housing types. In addition, the element should be revised as follows:
Program D Additional Housing Capacity: Currently the element identifies a shortfall of
adequate sites to accommodate the RHNA within the planning period. Program D
appears to be intended to rezone sites to accommodate a shortfall of sites for the lower-
income- RHNA. However, the Program must be revised to meet all requirements
pursuant to Government Code section 65583.2, subdivisions (h) and (i). For example,
the Program must commit to permit owner-occupied and rental multifamily uses by-right
(without discretionary action) for developments in which 20 percent or more of the units
are affordable to lower-income households.
Replacement Housing Requirements: The housing element must include a program to
provide replacement housing. (Gov. Code, § 65583.2, subd. (g)(3).) The replacement
housing program must adhere to the same requirements as set forth in Government
Code section 65915, subdivision (c), paragraph (3).
3. The Housing Element shall contain programs which assist in the development of
adequate housing to meet the needs of extremely low-, very low-, low- and moderate-
income households. (Gov. Code, § 65583, subd. (c)(2).)
Program S (Affordable Housing Development): While the program targets extremely low
income and other special needs groups, it should also include very low- and low-income
Town of Los Gatos 6th Cycle (2023-2031) Draft Housing Element Page 10
January 12, 2023
households. The Program should be revised to include outcome-oriented commitments
such as annual outreach with developers and identification of development or housing
opportunities.
4. Address and, where appropriate and legally possible, remove governmental and
nongovernmental constraints to the maintenance, improvement, and development of
housing, including housing for all income levels and housing for persons with
disabilities. The program shall remove constraints to, and provide reasonable
accommodations for housing designed for, intended for occupancy by, or with
supportive services for, persons with disabilities. (Gov. Code, § 65583, subd. (c)(3).)
As noted in Finding B4, the element requires a complete analysis of potential
governmental constraints. Depending upon the results of that analysis, the Town may
need to revise or add programs and address and remove or mitigate any identified
constraints.
5. Promote and affirmatively further fair housing opportunities and promote housing
throughout the community or communities for all persons regardless of race, religion,
sex, marital status, ancestry, national origin, color, familial status, or disability, and other
characteristics... (Gov. Code, § 65583, subd. (c)(5).)
As noted in Finding B1, the element requires a complete AFFH analysis. Depending
upon the results of that analysis, the Town may need to revise or add or modify goals
and actions. Goals and actions must specifically respond to the analysis and to the
identified and prioritized contributing factors to fair housing issues and must be
significant and meaningful enough to overcome identified patterns and trends. Actions
must have specific commitment, milestones, geographic targeting and metrics or
numerical targets and, as appropriate, address housing mobility enhancement, new
housing choices and affordability in higher opportunity or higher income areas, place-
based strategies for community revitalization and displacement protection. For example,
the element must add significant and meaningful housing mobility actions to overcome
the existing patterns in the Town related to the broader region.
6. Develop a plan that incentivizes and promotes the creation of accessory dwelling units
that can be offered at affordable rent... (Gov. Code, § 65583, subd. (c)(7).)
Program U Accessory Dwelling Units (ADU): While the element includes a program to
incentivize ADU development by waiving fees when an ADU is deed restricted for very
low-, and low-income households, it should also provide other incentives that incentivize
and promote the creation of ADUs that can be offered at affordable rent. The element
could consider other ADU incentives such as exploring and pursuing funding, modifying
development standards, and reducing fees beyond state law, pre-approved plans, and
homeowner/applicant assistance tools. Finally, the program should commit to monitor
the production and affordability of ADUs (e.g., every other year) and make adjustments,
if necessary, by a date certain (e.g., within six months).
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January 12, 2023
D. Quantified Objectives
Establish the number of housing units, by income level, that can be constructed,
rehabilitated, and conserved over a five-year time frame. (Gov. Code, § 65583, subd. (b)(1
& 2).)
The element did not address this requirement. The element must include quantified
objectives to establish an estimate of housing units by income category, including
extremely low-income households, that can be constructed, rehabilitated, and conserved
over the planning period.
E. Public Participation
Local governments shall make a diligent effort to achieve public participation of all
economic segments of the community in the development of the Housing Element, and the
element shall describe this effort. (Gov. Code, § 65583, subd.(c)(9).)
While the element described various efforts to achieve public participation in the
preparation of the housing element update, it should also describe how comments were
considered and incorporated into the element.
Public participation in the development, adoption and implementation of the housing
element is essential to effective housing planning. During the housing element revision
process, the Town must continue to engage the community, especially organizations that
represent lower-income and special needs households, including local neighborhood
groups and commenters on this review such as Silicon Valley@Home, by making
information regularly available while considering and incorporating comments where
appropriate. Please be aware, any revisions to the element must be posted on the local
government’s website and to email a link to all individuals and organizations that have
previously requested notices relating to the local government’s housing element at least
seven days before submitting to HCD.
F. General Plan Consistency
The Housing Element shall describe the means by which consistency will be achieved with
other general plan elements and community goals. (Gov. Code, § 65583, subd. (c)(7).)
The Town must discuss how internal consistency will be maintained and achieved with
other elements of the general plan throughout the planning period.
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Town of Los Gatos Response to HCD Comment Letter: Page 1
HCD 1/12/23 Comments on Los Gatos Draft Housing Element with Responses
Comment
Number HCD Comment (1/12/23 Letter) Response
1 A.Review and Revision
Review the previous element to evaluate the
appropriateness, effectiveness, and progress in
implementation, and reflect the results of this review in
the revised element. (Gov. Code, §65588 (a) and (b).)
The review requirement is one of the most important
features of the element update. The review of past
programs should describe progress in implementation of
previous actions, including results compared to objectives
and evaluate the effectiveness of actions to make
appropriate adjustments in the current planning period.
In the most cases, the element does not describe any
progress in implementation and particularly housing
related outcomes and then simply concludes to continue
or modify programs. For example, the prior element had
a program to implement the below market rate program
and evaluate the program as a constraint. The element
reports the program was implemented. There is no
discussion of outcomes or an evaluation of constraints.
Then, the element concludes the program will be
modified but the new program does not appear to adjust
on past efforts. The element must fully describe past
commitments, progress in implementation, evaluate
effectiveness and then discuss appropriate adjustments
in the current planning period.
In addition, the element must provide an evaluation of the
cumulative effectiveness of past goals, policies, and
related actions in meeting the housing needs of special
needs populations (e.g., elderly, persons with disabilities,
large households, female-headed households,
farmworkers, and persons experiencing homelessness)
and revise programs as appropriate.
Additional analysis added to Table E-1 of
Appendix E regarding the continuation,
modification, or deletion of fifth cycle
goals, policies, and implementation
programs.
Added evaluation of the effectiveness of
the past fifth cycle programs in meeting
the needs of special needs populations
and a list of key accomplishments to
Appendix E.
2 B.Housing Needs, Resources, and Constraints
1.Affirmatively further[ing] fair housing in accordance
with Chapter 15 (commencing with Section 8899.50) of
Division 1 of Title 2…shall include an assessment of fair
housing in the jurisdiction. (Gov. Code, § 65583, subd.
(c)(10)(A).)
Regional Level Patterns and Trends: While the element
includes several maps and tables and reports data, it
generally must evaluate the data and especially at a
regional level, comparing the Town to the broader region.
Additional analysis by protected class on
opportunity and disparities (especially
disability status) included in Section A.10
of Appendix A.
An R/ECAPS map was added to section
A.7 of Appendix A to show that the only
R/ECAPS in the region are located in the
City of San Jose. Analysis of the cost
burden rates for the Town and a
comparison to the greater Bay Area
ATTACHMENT 2
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This is particularly important since the Town appears far
different from the rest of the region. The analysis should
address all components of the assessment of fair housing
(e.g., segregation and integration, disparities in access to
opportunity) and should focus on race, income, and
overall access to opportunity). The analysis should address
trends and incorporate local data and knowledge and
other relevant factors (See below).
included in Section A.9 of Appendix A.
3 Income and Racial Concentration of Affluence (RCAA): The
element briefly mentions incomes in the Town compared
to the region and notes it is safe to speculate the Town
has neighborhoods that are RCAAs; however, the entire
Town is an RCAA and the element should incorporate this
information. Please see HCD’s Affirmatively Furthering
Fair Housing (AFFH) Data Viewer at https://affh-data-
resources-cahcd.hub.arcgis.com/. The element should
include specific analysis of income and RCAA at a regional
level (Town compared to the broader region). The analysis
should at least address trends, conditions, coincidence
with other fair housing factors (e.g., race, highest
resource, overpayment), effectiveness or absence of past
strategies (e.g., lack of publicly assisted housing and lack
of multifamily zoning), local data and knowledge and
other relevant factors. The element must add or modify
meaningful programs based on the outcomes of this
analysis, including actions to improve housing mobility
within and beyond Town boundaries.
Updated Section A.7 of Appendix A to
include the RCAA definition, text
analysis, and a map of the concentration
of RCAA’s.
4 Disparities in Access to Opportunity: While the element
provided a general analysis of opportunity areas, and
high-level conclusions about the Town’s disparities in
access to opportunity, it should analyze trends and
patterns related to access to transportation on a local and
regional level.
Updated Appendix D, Sites Inventory
Analysis, with text analysis of each sites
distance to a public transit line and a
public school, with an accompanying
map.
5 Disproportionate Housing Needs, Including Displacement
Risk: The element includes some information on cost
burden and overcrowding but should also discuss local
patterns of housing conditions. For example, the element
should discuss areas of the Town where proportions of
housing units needing rehabilitation may be higher than
other areas and may utilize local knowledge such as
qualitative information from code enforcement staff.
Local knowledge has been added to
Appendix B, subsection, Substandard
Housing, regarding the Town’s patterns
of housing conditions. A survey
summarizing the Town’s Code
Enforcement substandard housing code
violations from 2015-2023 has been
included on Page B-25.
6 Identified Sites and Affirmatively Furthering Fair Housing
(AFFH): The element must include data on the location of
regional housing need allocation (RHNA) sites by income
group relative to all fair housing components. The analysis
should address the number of units by income group and
Additional text added to Appendix A
describing the housing sites and how
they mitigate fair housing issues.
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Number HCD Comment (1/12/23 Letter) Response
location, any isolation of the RHNA by income group,
magnitude of the impact on existing concentrations of
socio- economic characteristics and discuss how the sites
improve fair housing conditions. The analysis should be
supported by local data and knowledge and other relevant
factors and programs should be added or modified as
appropriate to promote inclusive and equitable
communities.
7 Local Data and Knowledge: The element must include
local data, knowledge, and other relevant factors to
discuss and analyze any unique attributes about the Town
related to fair housing issues. The element should
complement federal, state, and regional data with local
data and knowledge where appropriate to capture
emerging trends and issues, including utilizing knowledge
from local and regional advocates and service providers,
Town staff and related local and County planning
documents.
Local knowledge was integral to the
development of this Housing Element
update. Local knowledge gained from
the Housing Element Advisory Board,
Town Staff, and public participation
(described in Section 10.1.5) was the
basis for the development of goals,
policies, and implementation programs
included. Additional details based on
local knowledge were provided within
Appendices A, B, C, and D.
8 Other Relevant Factors: While the element includes some
general background on exclusionary practices, it should
relate these situations to the Town and complement data
and mapping with other relevant factors that contribute
to fair housing issues in the Town. For instance, the
element can analyze historical land use; zoning and
barriers to housing choices such as past denials of
affordable housing, local land use initiatives or proposed
referendums; investment practices; seeking investment or
lack of seeking investment to promote affordability and
inclusion; information about redlining/greenlining,
restrictive covenants and other discriminatory practices;
land use related lawsuits; local land use initiatives;
demographic trends, or other information that
complements the state and federal data.
Section A.2 of Appendix A provides a
discussion of the history of segregation
in the region and in Los Gatos
specifically. Figures A-6 and A-7 show
that there has been some slow change in
the diversity index since 2010.
Additional explanation of why the
diversity index has changed since 2010
has been added to Appendix A, Section
A.7.
Section A.5 of Appendix A discusses
contributing factors and fair housing
issues, and additional discussion of
extremely low-income (ELI) households
has been provided.
Additional maps have been added on
public housing buildings in the region to
Section A.6 of Appendix A.
9 Contributing Factors Fair Housing Issues: Upon a complete
AFFH analysis, the element must assess and prioritize
contributing factors to fair housing issues and add or
modify programs as appropriate.
Additional analysis included for any
overlaps between disability bias
cases/complaints and concentrations of
persons with a disability within Section
A.6 of Appendix A. Analysis of fair
housing issues added to Section B.5 of
Appendix B.
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Number HCD Comment (1/12/23 Letter) Response
Section A.5 of Appendix A was modified
to include contributing factors to
identified fair housing issues with
current (or anticipated) goals and
actions.
10 2. Include an analysis and documentation of household
characteristics, including level of payment compared to
ability to pay, housing characteristics, including
overcrowding, and housing stock condition. (Gov. Code, §
65583, subd. (a)(2).)
Housing Conditions: The element provides some
information on age of the housing stock. However, it must
estimate the number of units in need of rehabilitation and
replacement. For example, the analysis could include
estimates from a recent windshield survey or sampling,
estimates from the code enforcement agency, or
information from knowledgeable organizations. For
additional information, see the Building Blocks at
https://www.hcd.ca.gov/planning-and-community-
development/housing-elements/building-blocks/housing-
stock-characteristics.
See response number 5 regarding
housing units in need of rehabilitation
and replacement per the Town’s Code
Enforcement Officer’s summary of the
Town’s Code Enforcement substandard
housing code violations from 2015-2023.
11 3. An inventory of land suitable and available for
residential development, including vacant sites and sites
having realistic and demonstrated potential for
redevelopment during the planning period to meet the
locality’s housing need for a designated income level, and
an analysis of the relationship of zoning and public
facilities and services to these sites. (Gov. Code, § 65583,
subd. (a)(3).)
Pipeline Projects: The element includes a list of 176 units
through pipeline projects on page D-38. While the
element may utilize pipeline and potential development
projects toward the RHNA, it must also demonstrate their
affordability and availability in the planning period.
Affordability must be demonstrated based on actual sales
price, rent level or other mechanisms ensuring
affordability (e.g., deed restrictions). Availability should
account for the likelihood of project completion in the
planning period and should address the status, necessary
steps to issue permits, any barriers to development and
other relevant factors.
Additional details and updated data have
been provided for the projects listed as
Pipeline projects on Page D-52 of
Appendix D.
12 Sites Inventory: The element must clarify what the
allowable density is for the North Forty Specific Plan
identified in Table A. The inventory indicates sites zoned
Appendix H has been modified to state
that the maximum density for sites
within the North Forty Specific Plan will
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Number HCD Comment (1/12/23 Letter) Response
under the North Forty Specific Plan where the minimum
and maximum densities is the same (i.e., 30 units per
acre). If the densities are the same, the element should
include a specific analysis of the range as a potential
constraint.
be modified to 40 dwelling units per
acre.
13 Realistic Capacity: The element must include a
methodology for calculating the realistic residential
capacity of identified sites. The methodology must be
adjusted as necessary, based on the land use controls and
site improvements and typical densities of existing or
approved residential developments at a similar
affordability level in that jurisdiction. For example, the
element could clearly list other recent projects, the zone,
acreage, built density, allowable density, level of
affordability and presence of exceptions such as a density
bonus. In addition, the element must also account for the
likelihood of 100 percent nonresidential development.
The element lists recent trends for residential
development in non-residential zones but should also
consider the development activity of 100 percent
nonresidential uses. For example, the element could
analyze all development activity in these nonresidential
zones, how often residential development occurs and
adjust residential capacity calculations, policies, and
programs accordingly. This analysis may incorporate any
proposed policies such as residential performance
standards and prohibition of commercial uses.
Modifications to Appendix D and
Appendix H to utilize the minimum
density completed per the direction of
the Town Council on December 20,
2022.
14 Nonvacant Sites: The element must include an analysis
demonstrating the potential for additional development
on nonvacant sites. The element generally provides a
description of the properties like location and whether
the property owner submitted an interest form but does
not describe the results of the form or why the property
might redevelop in the planning period. To address this
requirement, the element should address the extent to
which existing uses may constitute an impediment to
additional residential development, the Town’s past
experience with converting existing uses to higher density
residential development, the current market demand for
the existing use, an analysis of any existing leases or
other contracts that would perpetuate the existing use or
prevent redevelopment of the site for additional
residential development, development trends, market
conditions, and regulatory or other incentives or
standards to encourage additional residential
development on these sites.
Modifications to Appendix D and
Appendix H to utilize the minimum
density completed per the direction of
the Town Council on December 20,
2022.
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Number HCD Comment (1/12/23 Letter) Response
For your information, if the housing element relies upon
nonvacant sites to accommodate more than 50 percent of
the RHNA for lower-income households the housing
element must demonstrate existing uses are not an
impediment to additional residential development and
will likely discontinue in the planning period. (Gov. Code, §
65583.2, subd. (g)(2).) Absent findings (e.g., adoption
resolution) based on substantial evidence, the existing
uses will be presumed to impede additional residential
development and will not be utilized toward
demonstrating adequate sites to accommodate the RHNA.
15 Replacement Housing Requirements: The element
identifies sites with existing residential uses. Absent a
replacement housing program, these sites are not
adequate sites to accommodate lower-income
households. The replacement housing program that has
the same requirements as set forth in Government Code
section 65915, subdivision (c), paragraph (3). The housing
element must be revised to include such analysis and a
program, if necessary.
Added Implementation Program BK, Unit
Replacement Program, to Section 10.6,
Implementation Programs of Chapter 10
requiring replacement housing units to
be built when existing affordable units
are demolished, per Government Code
Section 65915 I(3).
16 Small Sites: The element identifies several sites smaller
than a half-acre. Sites smaller than a half-acre in size are
deemed inadequate to accommodate housing for lower-
income housing unless it is demonstrated that sites of
equivalent size and affordability were successfully
developed during the prior planning period or other
evidence demonstrates the suitability of the sites to
accommodate housing for lower-income households,
including programs as appropriate.
Parcel 529-24-003 is consolidated with
50 Los Gatos-Saratoga Road and parcel
529-24-001, which respectively are in
excess of eight acres in size and future
development of the property would
include all three consolidated parcels.
The following sites less than half an acre
are located within the North Forty
Specific Plan: 16260 Burton Road and
16250 Burton Road are located within
Phase II of the North Forty Specific Plan.
A Conceptual Development Advisory
Committee application was submitted to
the Town on February 23, 2022,
requesting preliminary review of a
proposal for a mixed-use development.
Parcel 424-06-116, 16240 Burton Road,
16270 Burton Road, 16210 Burton Road,
and 14823 Los Gatos Boulevard are all
located within the North Forty Specific
Plan Area. Based on the development of
Phase II of the plan area, development
of these parcels is expected in
consolidation with the larger, single-
owned parcels.
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Number HCD Comment (1/12/23 Letter) Response
17 Zoning for Lower-Income Households: The element must
demonstrate zoning appropriate to accommodate housing
for lower-income households. The sites inventory includes
zones with densities of 14 to 22 units per acre (Medium
Density Residential R-M) that allocate units for lower
income. However, the element does not include an
analysis evaluating the adequacy of the R-M zone to
encourage and facilitate the development of units
affordable to lower-income households. For communities
with densities that meet specific standards (allow at least
30 units per acre for Los Gatos), no analysis is required.
Otherwise, the element must include an analysis based
on, including but not limited to, factors such as market
demand, financial feasibility and development experience
within identified zones demonstrating how the adopted
densities can accommodate housing for lower-income
households.
Appendix H has been modified to
remove projected affordable units from
the sites within the Lark Avenue Area.
18 SB 9 Sites: The element identifies SB 9 as a strategy to
accommodate the part of the Town’s RHNA. To support
these assumptions, the analysis must include experience,
trends and market conditions that allow lot splits. The
analysis must also include a nonvacant sites analysis
demonstrating the affordability, likelihood of
redevelopment and the existing use will not constitute as
an impediment for additional residential use. The analysis
should describe how the Town determined eligible
properties, whether the assumed lots will have turnover,
if the properties are easy to subdivide, and the condition
of the existing structures or other relevant factors
indicating additional development potential. The analysis
should also describe interest from property owners as well
as experience. The analysis should provide support for the
assumption of eligible properties being developed within
the planning period. Based on the outcomes of this
analysis, the element should add or modify programs to
establish zoning and development standards early in the
planning period and implement incentives to encourage
and facilitate development as well as monitor
development every two years with and identify additional
sites within six months if assumptions are not being met.
The element should support this analysis with local
information such as local developer or owner interest to
utilize zoning and incentives established through SB 9.
Modifications to Appendix D with added
analysis on the calculation of SB 9
housing unit projections on Page D-50.
Added Implementation Program BL,
Senate Bill 9 Monitoring to Section 10.6,
Implementation Programs of Chapter 10
requiring annual monitoring of the SB 9
applications to evaluate the
effectiveness of SB 9 housing
development and consider additional
incentives if necessary.
19 Availability of Infrastructure: The element must
demonstrate sufficient existing or planned water and
sewer capacity to accommodate the Town’s RHNA for the
planning period.
Language from pages 90 through 92 of
the Housing Element Environmental
Assessment were added to Appendix C,
Page C-31 to demonstrate the Town’s
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Number HCD Comment (1/12/23 Letter) Response
utility and service systems
infrastructure.
20 Zoning for a Variety of Housing Types:
• Transitional and Supportive Housing: Transitional
housing and supportive housing are permitted as a
residential use and only subject to those restrictions
that apply to other residential dwellings of the same
type in the same zone. The element must
demonstrate compliance with this requirement or
include a program if necessary.
• Permanent Supportive Housing: By right permanent
supportive housing shall be a use by-right in zones
where multifamily and mixed uses are permitted,
including nonresidential zones permitting multifamily
uses pursuant to Government Code section 65651.
The element must demonstrate compliance with this
requirement and include programs as appropriate.
• Employee Housing: The element should clarify if there
are any zones that allow agriculture uses. If there are
zones that allow agriculture uses, then the town must
comply with California Health and Safety Code
Section 17021.6. Section 17021.6 requires employee
housing consisting of no more than 12 units or 36
beds to be permitted in the same manner as other
agricultural uses in the same zone.
• Manufactured Housing: The element must
demonstrate zoning permits manufactured housing
on a permanent foundation in the same manner and
in the same zone as a conventional or stick-built
structures are permitted (Government Code Section
65852.3) or add or modify programs as appropriate
Modified Implementation Program BC,
Zoning Text Amendment for Special
Needs Housing to Section 10.6,
Implementation Programs of Chapter 10,
modifying the zoning code to permit the
following:
• Allow Transitional Housing and
Supportive Housing developments
by-right in all zoning districts that
permit residential uses as a
permitted use (per SB 2).
• Develop a by-right, streamlined,
ministerial review of Supportive and
Transitional Housing developments
(per AB 2162).
• Permit by-right Permanent
Supportive Housing and Transitional
Housing in zones where multi-family
and mixed uses are permitted,
including nonresidential zones
permitting multi-family uses (per
Government Code Section 65651).
• Allow Employee Housing consisting
of up to 36 beds or 12 units in zones
that allow agricultural uses (per
Health and Safety Code Section
17000, et seq.).
Language has been added to Appendix C,
subsection, Manufactured Housing,
describing that the Town’s current
zoning permits manufactured housing
on a permanent foundation in the same
manner and in the same zones that
conventional or stick-built structures are
permitted.
21 Electronic Sites Inventory: For your information, pursuant
to Government Code section 65583.3, the Town must
submit an electronic sites inventory with its adopted
housing element. The Town must utilize standards, forms,
and definitions adopted by HCD. Please see HCD’s housing
element webpage at https://www.hcd.ca.gov/planning-
and-community-development/housing-elements for a
copy of the form and instructions. The Town can reach out
to HCD at sitesinventory@hcd.ca.gov for technical
Table B of Appendix H has been
modified to include four new sites:
16151 Los Gatos Boulevard, 620 Blossom
Hill Road, 15480 Los Gatos Boulevard,
and 15500 Los Gatos Boulevard.
Table C of Appendix H has been modified
to include the Housing Element Overlay
Zone for all sites within the Sites
Inventory.
Town of Los Gatos Response to HCD Comment Letter: Page 9
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Number HCD Comment (1/12/23 Letter) Response
assistance.
22 4. An analysis of potential and actual governmental
constraints upon the maintenance, improvement, or
development of housing for all income levels, including
the types of housing identified in paragraph (1) of
subdivision (c), and for persons with disabilities as
identified in the analysis pursuant to paragraph (7),
including land use controls, building codes and their
enforcement, site improvements, fees and other exactions
required of developers, and local processing and permit
procedures... (Gov. Code, § 65583, subd. (a)(5).)
Land Use Controls: The element must identify and analyze
all relevant land use controls impacts as potential
constraints on a variety of housing types. For example, the
element should analyze all development standards by
zoning district for impacts on housing costs and ability to
achieve maximum densities. The element should also
discuss any local initiatives, referendums, moratoriums or
other mechanisms (existing or proposed) that impact
housing supply, cost, feasibility, timing and ability to
achieve maximum densities. In addition, the analysis
should specifically address the development standards in
the North Forty Specific Plan, Mixed Use Commercial, and
the High-Density Residential zone. The analysis must
evaluate the cumulative impacts of land use controls on
the cost and supply of housing, including the ability to
achieve maximum densities. The Town could engage the
development community to assist with this analysis.
Table C-1 in Appendix C contains details
of the development standards by zoning
district, and Table C-2 was added to
describe permitted residential uses and
residential uses which require
conditional use permit in each zoning
district. Additional discussion was added
to describe the modifications to these
regulations that will be made by the
Town to reduce the constrains imposed
by the CUP process.
Discussion of additional constraints are
also provided and augmented in
Appendix C, including by General Plan
Designation, Town Code (Zoning
District), Building Code, on- and off-site
improvements, design standards and
guidelines, fees, and processing times.
The outreach conducted as part of the
Housing Element update, as described in
Section 10.1.5, included outreach to and
discussions with the development
community in Town. Their feedback and
a desire to continue discussion on
process improvements was incorporated
into this Housing Element update,
including Implementation Program A.
23 Fees and Exaction: While the element lists the total fees
per units for single-family and multifamily development, it
should also list the fees that comprise that total and
particularly impact fees then evaluate those total fees for
impacts on development costs.
Additional development and impact fees
associated with residential development
costs were added to Appendix C,
subsection, Governmental Fees and
Exactions. See page C-13.
24 Local Processing and Permit Procedures: The element
must describe and analyze the types of permits, extent of
discretionary review including required approval findings,
number of public hearings and processing time required
for a typical single family and multifamily development
that meets zoning requirements.
Additional narrative describing the
processing and permitting timeline
provided in Appendix C, subsection,
Processing and Permitting Time. See
Page C-27.
25 Housing for Persons with Disabilities: The element
indicates the Town adopted a procedure for requesting
reasonable accommodation for persons with disabilities
(p. C-23) and describes the procedure; however, the
element should address criteria related to: “There would
be no impact on surrounding uses” and include a program
One of the mandatory criteria for the
procedure for requesting reasonable
accommodation for persons with
disabilities could be considered a
constraint, “There would be no impact
on surrounding uses.” Implementation
Town of Los Gatos Response to HCD Comment Letter: Page 10
Comment
Number HCD Comment (1/12/23 Letter) Response
to address the constraint. In addition, residential care
facilities for seven or more require a conditional use
permit (CUP). The element should evaluate the CUP as a
constraint and add a program to allow group homes in all
residential zones with an objective and certain process
similar to other residential uses.
Program BC, Zoning Text Amendments
for Special Needs Housing, has been
added to modify Municipal Town Code
Section 29.10.530(5) text to read, “There
would be no minimal impact on
surrounding uses.”
Added Implementation Program BC,
Zoning Text Amendments for Special
Needs Housing to Section 10.6,
Implementation Programs of Chapter 10
to allow for group homes of seven or
more by-right in residential districts, and
to conform with HCD’s Group Home
Technical Advisory (December 2022).
Additional language included in
Appendix C, Table C-2, Housing Types
Allowed by Zoning District, and Appendix
C, subsection, Constraints on Housing for
Persons with Disabilities.
26 Density Bonus: The element states the Town adopted a
state density bonus program in June 2012. The Town’s
current density bonus program should be reviewed for
compliance with current State Density Bonus Law (SDBL).
(Gov. Code, § 65915.). The element should include a
program to update density bonus program. Program V is
conducting a study to evaluate the existing Density Bonus
Ordinance and recommend changes to increase the
number of units constructed, however it should
specifically commit to update the ordinance in compliance
with state law.
Amendment of the Town’s Density
Bonus Ordinance has been added to
Implementation Program BJ, Ordinance
Amendments within Chapter 10.
27 Inclusionary Zoning Ordinance: The element mentions the
Town’s inclusionary zoning ordinance, but it must also
analyze the Town’s inclusionary housing requirements,
including its impacts as potential constraints on the
development of housing for all income levels. The analysis
must evaluate the inclusionary broader policy’s
implementation framework, including the percentage of
new residential construction that is dedicated to
affordable housing, the types of options and incentives
offered, relationships with SDBL and any other factors
that may impact housing costs.
Additional narrative describing the
Below Market Price Program and a
comparison of inclusionary requirements
for nearby jurisdictions provided in
Appendix C, subsections, Below Market
Price (BMP) Program and Affordable
Housing In-Lieu Fee Fund.
28 Zoning and Fees Transparency: The element must clarify
its compliance with new transparency requirements for
posting all zoning, development standards and fees for
each parcel on the jurisdiction’s website.
Added language to Section 10.1.4
Overview of Planning and Legislative
Efforts, clarifying that the Town is in
compliance with transparency
Town of Los Gatos Response to HCD Comment Letter: Page 11
Comment
Number HCD Comment (1/12/23 Letter) Response
requirements.
29 5. Analyze any special housing needs such as elderly;
persons with disabilities, including a developmental
disability; large families; farmworkers; families with
female heads of households; and families and persons in
need of emergency shelter. (Gov. Code, § 65583, subd.
(a)(7).)
Special Housing Needs: While the element quantifies
some of the Town’s special needs populations, it must
also estimate the number of persons experiencing
homelessness in the Town. In addition, the element
reports data but must also analyze the special housing
needs. For a complete analysis of each population group,
the element should quantify the needs, evaluate trends
and characteristics (e.g., tenure, income) of housing
needs, discuss disproportionate challenges faced by the
population, the existing resources to meet those needs,
assess any gaps in resources or effectiveness of past
strategies, describe the magnitude of the remaining need
and appropriate propose policies and programs.
For additional information and a sample analysis, see the
Building Blocks at https://www.hcd.ca.gov/planning-and-
community-development/housing-elements/building-
blocks.
Additional discussion of the housing
needs of individuals with disabilities, and
details of the number of homeless
individuals within the Town, was added
to Section A.9 of Appendix A.
30 C. Housing Programs
1. Include a program which sets forth a schedule of
actions during the planning period, each with a timeline
for implementation, which may recognize that certain
programs are ongoing, such that there will be beneficial
impacts of the programs within the planning period, that
the local government is undertaking or intends to
undertake to implement the policies and achieve the
goals and objectives of the Housing Element... (Gov. Code,
§ 65583, subd. (c).)
To have a beneficial impact in the planning period and
achieve the goals and objectives of the housing element,
programs should have specific commitment toward
housing outcomes and discrete and early timing (e.g., at
least annually or by Jan 2025). Examples of programs to
be revised include:
• Program K, Small Multi-Unit Housing: The Program
should include a timeline of when zoning code will be
updated.
• M Lot Consolidation: The Program should include a
Modification to Section 10.6,
Implementation Programs of Chapter 10
to include a quantified objective and
performance metric, where applicable.
Town of Los Gatos Response to HCD Comment Letter: Page 12
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Number HCD Comment (1/12/23 Letter) Response
quantification of approximately how many lot
consolidations the town plans to facilitate.
• Program R, Development Impact and Permit Fees:
The Program should include a completion timeline.
• Program S, Affordable Housing Development: The
Program should include quantification of
approximately how many units will be incentivized.
• Program T, Purchase Affordability Covenants in
Existing Apartments: The element should clarify the
timeline to establish and implement the program
(e.g., by 2024 and at least annually).
• Program AC, Housing Opportunities for Persons Living
with Disabilities: The Program must include a
completion timeframe.
• Program AK, Housing Conditions Survey: Program
should be revised to include a specific timeline for
when the housing condition survey will be conducted.
Additionally, the element should describe how often
funding will be applied for (e.g., annually).
• Program AR, CDBG and Other Housing Rehabilitation
Programs: The Program should clarify how often the
Town will participate in the County of Santa Clara
Community Development Block Grant Joint Powers
Authority (e.g. annually, biannually).
• Program AS, Countywide Home Repair Programs: The
Program should include a numerical target (e.g., how
many minor home repairs).
Program AU, Residential Rehabilitation Program: The
Program should include a timeline commitment.
31 2. Identify actions that will be taken to make sites
available during the planning period with appropriate
zoning and development standards and with services and
facilities to accommodate that portion of the city’s or
county’s share of the regional housing need for each
income level that could not be accommodated on sites
identified in the inventory completed pursuant to
paragraph (3) of subdivision (a) without rezoning, and to
comply with the requirements of Government Code
section 65584.09. Sites shall be identified as needed to
facilitate and encourage the development of a variety of
types of housing for all income levels, including
multifamily rental housing, factory-built housing, mobile
homes, housing for agricultural employees, supportive
housing, single-room occupancy units, emergency
shelters, and transitional housing. (Gov. Code, § 65583,
subd. (c)(1).)
The Pipeline Projects have been
modified to include additional narrative
about their current status in the
entitlement process on Page D-52 within
Appendix D. Additional narrative about
the SB 9 projections have also been
added to Page D-50 within Appendix D.
The Sites Inventory Form in Appendix H
has been modified to show the
minimum density for the North Forty
Specific Plan Area as 30 dwelling units
per acre and the maximum as 40
dwelling units per acre. Implementation
Program D has also been included to
amend the North Forty Specific Plan to
increase the maximum allowable density
to 40 dwelling units per acre.
Town of Los Gatos Response to HCD Comment Letter: Page 13
Comment
Number HCD Comment (1/12/23 Letter) Response
As noted in Finding B3, the element does not include a
complete site analysis; therefore, the adequacy of sites
and zoning were not established. Based on the results of a
complete sites inventory and analysis, the Town may need
to add or revise programs to address a shortfall of sites or
zoning available to encourage a variety of housing types.
In addition, the element should be revised as follows:
See response number 15 regarding
replacement housing requirements.
See response number 16 regarding small
sites.
See response number 17 regarding
affordable units for sites with densities
less than 30 dwelling units per acre.
See response number 19 regarding
infrastructure availability.
32 Program D Additional Housing Capacity: Currently the
element identifies a shortfall of adequate sites to
accommodate the RHNA within the planning period.
Program D appears to be intended to rezone sites to
accommodate a shortfall of sites for the lower-income-
RHNA. However, the Program must be revised to meet all
requirements pursuant to Government Code section
65583.2, subdivisions (h) and (i). For example, the
Program must commit to permit owner-occupied and
rental multifamily uses by-right (without discretionary
action) for developments in which 20 percent or more of
the units are affordable to lower-income households.
Modified Program BH to clarify reuse
sites will allow by-right approval for
housing developments when 20 percent
or more units of the units are affordable
to lower-income households and all
rezonings will be completed by January
2024.
33 Replacement Housing Requirements: The housing element
must include a program to provide replacement housing.
(Gov. Code, § 65583.2, subd. (g)(3).) The replacement
housing program must adhere to the same requirements
as set forth in Government Code section 65915,
subdivision (c), paragraph (3).
Added Implementation Program BK, Unit
Replacement Program to Section 10.6,
Implementation Programs of Chapter 10
requiring replacement housing units to
be built when existing affordable units
are demolished, per Government Code
Section 65915 I(3).
34 3. The Housing Element shall contain programs which
assist in the development of adequate housing to meet
the needs of extremely low-, very low-, low- and
moderate-income households. (Gov. Code, § 65583, subd.
(c)(2).)
Program S (Affordable Housing Development): While the
program targets extremely low income and other special
needs groups, it should also include very low- and low-
income households. The Program should be revised to
include outcome-oriented commitments such as annual
outreach with developers and identification of
development or housing opportunities.
Modified Program S: Affordable Housing
Development in Section 10.6,
Implementation Programs of Chapter 10
to include very low- and low-income
households, facilitate annual outreach to
developers, and identifying development
and housing opportunities.
35 4. Address and, where appropriate and legally possible,
remove governmental and nongovernmental constraints
See response number 25 regarding
implementing programs to mitigate
Town of Los Gatos Response to HCD Comment Letter: Page 14
Comment
Number HCD Comment (1/12/23 Letter) Response
to the maintenance, improvement, and development of
housing, including housing for all income levels and
housing for persons with disabilities. The program shall
remove constraints to, and provide reasonable
accommodations for housing designed for, intended for
occupancy by, or with supportive services for, persons
with disabilities. (Gov. Code, § 65583, subd. (c)(3).)
As noted in Finding B4, the element requires a complete
analysis of potential governmental constraints. Depending
upon the results of that analysis, the Town may need to
revise or add programs and address and remove or
mitigate any identified constraints.
existing governmental constraints.
Added discussion of the requirement to
install story poles as a government
constraint, as described in Appendix C,
subsection, Story Poles. In response to
the constraint, Implementation Program
BM has been added to Section 10.6,
Implementation Programs of Chapter 10,
reviewing the Town’s Story Pole and
Netting Policy and explore options for
residential or mixed-use projects with
affordable housing to reduce the
associated costs of installing story poles.
Chapter 10.2.7, Governmental and Non-
Governmental Constraints, and Appendix
C, Governmental and Non-Governmental
Constraints, describes the Town’s
governmental constraints.
36 5. Promote and affirmatively further fair housing
opportunities and promote housing throughout the
community or communities for all persons regardless of
race, religion, sex, marital status, ancestry, national
origin, color, familial status, or disability, and other
characteristics... (Gov. Code, § 65583, subd. (c)(5).)
As noted in Finding B1, the element requires a complete
AFFH analysis. Depending upon the results of that
analysis, the Town may need to revise or add or modify
goals and actions. Goals and actions must specifically
respond to the analysis and to the identified and
prioritized contributing factors to fair housing issues and
must be significant and meaningful enough to overcome
identified patterns and trends. Actions must have specific
commitment, milestones, geographic targeting and
metrics or numerical targets and, as appropriate, address
housing mobility enhancement, new housing choices and
affordability in higher opportunity or higher income areas,
place-based strategies for community revitalization and
displacement protection. For example, the element must
add significant and meaningful housing mobility actions to
overcome the existing patterns in the Town related to the
broader region.
Modified Section 10.6, Implementation
Programs of Chapter 10 to include
Implementation Program BI, to work
with affordable and market rate housing
developers to affirmatively market
affordable housing.
37 6. Develop a plan that incentivizes and promotes the
creation of accessory dwelling units that can be offered at
affordable rent... (Gov. Code, § 65583, subd. (c)(7).)
Modified Program U: Accessory Dwelling
Units in Section 10.6, Implementation
Programs of Chapter 10 to include a
Town of Los Gatos Response to HCD Comment Letter: Page 15
Comment
Number HCD Comment (1/12/23 Letter) Response
Program U Accessory Dwelling Units (ADU): While the
element includes a program to incentivize ADU
development by waiving fees when an ADU is deed
restricted for very low-, and low-income households, it
should also provide other incentives that incentivize and
promote the creation of ADUs that can be offered at
affordable rent. The element could consider other ADU
incentives such as exploring and pursuing funding,
modifying development standards, and reducing fees
beyond state law, pre-approved plans, and
homeowner/applicant assistance tools. Finally, the
program should commit to monitor the production and
affordability of ADUs (e.g., every other year) and make
adjustments, if necessary, by a date certain (e.g., within
six months).
homeowner marketing program for
ADUs, providing homeowner assistance
tools, collaboration with countywide
efforts to develop pre-approved ADU
plans, including plans that are ADA
accessible, streamline review and
permitting of ADU’s by publishing pre-
approved plans, and annually monitor
the number of ADU’s produced.
38 D. Quantified Objectives
Establish the number of housing units, by income level,
that can be constructed, rehabilitated, and conserved
over a five-year time frame. (Gov. Code, § 65583, subd.
(b)(1 & 2).)
The element did not address this requirement. The
element must include quantified objectives to establish an
estimate of housing units by income category, including
extremely low-income households, that can be
constructed, rehabilitated, and conserved over the
planning period.
Modified Section 10.6, Implementation
Programs of Chapter 10 to include a
quantified objective and performance
metric for each implementation
program.
39 E. Public Participation
Local governments shall make a diligent effort to achieve
public participation of all economic segments of the
community in the development of the Housing Element,
and the element shall describe this effort. (Gov. Code, §
65583, subd.(c)(9).)
While the element described various efforts to achieve
public participation in the preparation of the housing
element update, it should also describe how comments
were considered and incorporated into the element.
Public participation in the development, adoption and
implementation of the housing element is essential to
effective housing planning. During the housing element
revision process, the Town must continue to engage the
community, especially organizations that represent lower-
income and special needs households, including local
neighborhood groups and commenters on this review
such as Silicon Valley@Home, by making information
The Town conducted further community
outreach at the Farmer’s Market, the
Town Library, at Town Hall, social media,
newsletters, and through the
distribution of a Renter’s Survey.
On November 15, 2022, the Town of Los
Gatos published a Renter’s Housing
Survey to gather input from residents
who are currently renting or have a
history of renting in the Town. The goal
of the survey was to inform the Town on
renter household’s needs and possible
barriers to accessing housing. The
survey was made available in English,
Russian, and Spanish, and posted on the
Town’s dedicated website. Additionally,
the survey was distributed in print
throughout the Town in collaboration
with West Valley Community Services
Town of Los Gatos Response to HCD Comment Letter: Page 16
Comment
Number HCD Comment (1/12/23 Letter) Response
regularly available while considering and incorporating
comments where appropriate. Please be aware, any
revisions to the element must be posted on the local
government’s website and to email a link to all individuals
and organizations that have previously requested notices
relating to the local government’s housing element at
least seven days before submitting to HCD.
(WVCS). The survey received a total of
62 responses. The Town had anticipated
many of these results from the survey
and as a result added Implementation
Program P, Funds for Development for
Extremely Low-Income Households,
Program Y, Nonprofit Affordable Housing
Providers, and Program AN, Fair Housing
Education to the Housing Element.
Staff has also met with Silicon
Valley@Home to discuss the Housing
Element.
40 F. General Plan Consistency
The Housing Element shall describe the means by which
consistency will be achieved with other general plan
elements and community goals. (Gov. Code, § 65583,
subd. (c)(7).)
The Town must discuss how internal consistency will be
maintained and achieved with other elements of the
general plan throughout the planning period.
State law requires internal consistency
of the General Plan. Given the recent
update of the Town’s General Plan,
conducted with an understanding of the
changes that were going to be required
as part of this Housing Element update,
only a few Housing Element
Implementation Programs are needed to
maintain the consistency.
Additional language has been added to
the discussion of the 2040 General Plan
in Section 10.1.4.
Town of Los Gatos 6th Cycle
2023-2031 Housing Element Update
HCD Revised Draft
Initial Review Period
October 2022March 2023
ATTACHMENT 3
This document was produced on recycled paper.
HCD DRAFT REVISED DRAFT INITIAL REVIEW PERIOD
T OWN OF LOS G ATOS
6TH C YCLE 2023-2031 H OUSING E LEMENT
O CTOBER 2022 M ARCH 2023
PREPARED BY
Town of Los Gatos
Community Development Department
110 E. Main Street
Los Gatos, CA 95030
Tel 408.354.6872
EMC Planning Group Inc.
601 Abrego Street
Monterey, CA 93940
Tel 831.649.1799
Fax 831.649.8399
www.emcplanning.com
Table of Contents
October 2022March 2023 HCD Revised Draft Initial Review Period 2023-2031 Housing Element i
10. Housing Element ........................................................................................................... 10-1
10.1 Introduction ............................................................................................................... 10‐1
10.1.1 California Housing Crisis ................................................................................... 10‐2
10.1.2 Regional Housing Needs Assessment. ............................................................... 10‐2
10.1.3 Affirmatively Furthering Fair Housing .............................................................. 10‐3
10.1.4 Overview of Planning and Legislative Efforts .................................................... 10‐8
10.1.5 Public Participation ........................................................................................ 10‐10
10.2 Overview of Housing Needs and Constraints .......................................................... 10‐1516
10.2.1 Introduction ................................................................................................ 10‐1516
10.2.2 Los Gatos Overview. .................................................................................... 10‐1516
10.2.3 Demographics ............................................................................................... 10‐19
10.2.4 Household Characteristics .............................................................................. 10‐22
10.2.5 Housing Stock Characteristics ......................................................................... 10‐24
10.2.6 Special Housing Needs .................................................................................... 10‐26
10.2.7 Governmental and Non‐Governmental Constraints ..................................... 10‐3230
10.3 Site Inventory and Opportunities ........................................................................... 10‐3331
10.3.1 Introduction ................................................................................................ 10‐3331
10.3.2 Sites Summary. ........................................................................................... 10‐3331
10.4 Energy and Resource Conservation ........................................................................ 10‐3432
10.4.1 Opportunities for Energy Conservation ........................................................ 10‐3432
10.4.2 Energy‐Related Goals and Policies. .............................................................. 10‐3533
10.5 Goals and Policies .................................................................................................. 10‐3634
10.6 Implementation Programs ..................................................................................... 10‐4039
10.7 Glossary and Acronyms .......................................................................................... 10‐6467
Appendices
Appendix A Affirmatively Furthering Fair Housing Reports
Appendix B Housing Needs Assessment
Appendix C Governmental and Non‐Governmental Constraints
Appendix D Sites Inventory Analysis
Appendix E Review of Previous Housing Element
Appendix F List of Organizations Contacted
Appendix G AFFH Segregation Report Los Gatos
Appendix I H Housing Element Sites Inventory Form
10. Housing Element
October 2022March 2023 Initial HCD Revised Draft 2023-2031 Housing Element 10-1
This 2023-2031 Housing Element is the Town of Los Gatos’ response to meet the housing needs of our
community while meeting the State's housing goals as set forth in Article 10.6 of the California Government Code.
The California State Legislature has identified the attainment of a decent home and a suitable living environment
for every Californian as the State's major housing goal. The Los Gatos Housing Element represents a sincere
and open-minded effort to meet local and regional housing needs within the constraints of a largely built-out
community, limited land availability, and extraordinarily high costs of land and housing. The Housing Element
serves as Chapter 10 of the Town’s 2040 General Plan.
A copy of the Town’s 2015-2023 Housing Element can be found at this link:
https://www.losgatosca.gov/1735/General-Plan---Housing-Element
10.1 Introduction
Pursuant to State law, the Housing Element must be updated periodically according to statutory deadlines. This
6th Cycle Housing Element covers the planning period 2023 through 2031 and replaces the Town's 5th Cycle
Housing Element that covered the period 2015 through 2023.
Per State Housing Element law, the document must be periodically updated to:
Outline the community’s housing production objectives consistent with State and regional growth
projections;
Describe goals, policies, and implementation programs to achieve local housing objectives;
Examine the local need for housing with a focus on special needs populations;
Identify adequate sites for the production of housing serving various income levels;
Analyze potential constraints to new housing production;
Evaluate the Housing Element for consistency with other General Plan elements; and
Evaluate Affirmatively Furthering Fair Housing.
A Housing Element is considered to be out of compliance with the State’s Housing Element law if one of the
following applies:
It has not been revised and updated by the statutory deadline; or
Its contents do not substantially comply with the statutory requirements.
Repercussions for a jurisdiction which does not comply with the Housing Element Law include:
Limited access to State Funding.
HCD Revised Draft Initial Review 2023-2031 Housing Element
10-2 HCD Revised Draft Initial Review 2023-2031 Housing Element October 202March 2023
Vulnerability to litigation from housing rights’ organizations, developers, and the Department of Housing
and Community Development (HCD), resulting in the following potential consequences:
a. The court may order the jurisdiction to bring its Housing Element into compliance within 120 days;
b. Suspension of a jurisdiction’s authority to issue building permits or grant zoning changes, variances, or
subdivision map approvals;
c. The court may step in and approve housing projects; and
d. If a jurisdiction faces a court action stemming from its lack of compliance and either loses or settles the
case, it often must pay substantial attorney fees to the plaintiff’s attorneys in addition to the fees paid
to its own attorneys.
10.1.1 California’s Housing Crisis
The 6th Cycle Housing Element Update comes at a critical time because California is experiencing a housing
crisis. As is the case for all jurisdictions in California, Los Gatos must play its part in meeting the demand for
housing. In the last Housing Element cycle (2015 to 2023), Los Gatos’ Regional Housing Needs Allocation
(RHNA) called for 619 new housing units; however, as of December 31, 2021, only 81 percent of these housing
units have been permitted (502 units). Of those constructed, the large majority were affordable only to
households making more than the Town’s area median income (AMI). In 2022, this amounted to $168,500 for a
family of four.
Without immediate action, the housing crisis will only get worse. In the 20-year period (2020 to 2040), Santa Clara
County is projected to add 169,450 jobs, which represents a 15 percent increase. Los Gatos is projected to add
nearly 1,030 jobs in the same period, a five percent increase. These changes will increase demand for housing
across all income levels. The Town and region must identify ways to significantly increase housing production, or
risk worsening the burden for existing lower income households. Many lower income households do not have the
means to move to a new location of employment and are faced with unsustainable increases in housing cost.
The lack of affordable housing has constrained the Silicon Valley economy as well-educated workers have
become increasingly mobile in searching for better jobs and a higher quality of life.
If Los Gatos and the region become more competitive in attracting high-skilled workers and increasingly
unaffordable to lower income workers and seniors, then social and economic segregation will worsen, only
exacerbating historic patterns of housing discrimination, racial bias, and segregation. This potentiality has
become so acute in recent years that the California Legislature addressed the issue with new legislation in 2018.
Assembly Bill (AB) 686 requires all State and local agencies to explicitly address, combat, and relieve disparities
resulting from past patterns of housing segregation to foster more inclusive communities. This is commonly
referred to as Affirmatively Furthering Fair Housing (AFFH). The legislation applies to all Housing Elements
revised after January 1, 2021.
10.1.2 Regional Housing Needs Allocation
The Plan Bay Area 2050 Final Blueprint forecasts that the nine Bay Area counties will add 1.4 million new
households between 2015 and 2050. For the eight-year time frame covered by this Housing Element Update,
HCD has identified the region’s housing need as 441,176 units. The total number of housing units assigned by
HCD is separated into four income categories that cover housing types for all income levels, from very low-
income households to market rate housing.1 This calculation, known as the Regional Housing Needs
Determination (RHND), is based on population projections produced by the California Department of Finance as
well as adjustments that incorporate the region’s existing housing need.
1 HCD divides the RHNA into the following four income categories: Very Low income: 0‐50 percent of AMI, Low income: 50‐80 percent of AMI, Moderate
income: 80‐120 percent of AMI, and Above Moderate income: 120 percent or more of AMI.
10. Housing Element
October 2022March 2023 HCD Revised Draft Initial Review 2023-2031 Housing Element 10-3
Almost all jurisdictions in the Bay Area received a larger RHNA this cycle compared to the last cycle, primarily due
to changes in State law that led to a considerably higher RHND compared to previous cycles.
On January 12, 2022, HCD approved the Association of Bay Area Government’s (ABAG) adopted RHNA
Methodology. For Los Gatos, the RHNA to be planned for this cycle is 1,993 units, an increase from the last
cycle. Table 10-1 shows the RHNA, including breakdown by affordability levels, for Los Gatos for the period 2023
through 2031.
Table 10‐1 Regional Housing Needs Allocation
Income Group Percentage of AMI Share
Extremely Low Income 0‐30 268
Very Low Income 31‐50 269
Low Income 51‐80 310
Moderate Income 81‐120 320
Above Moderate Income Over 120 826
Total 1,993
10.1.3 Affirmatively Furthering Fair Housing
In 2018, AB 686 established an independent State mandate to address AFFH. AB 686 extends requirements for
Federal grantees and contractors to “affirmatively further fair housing,” including requirements in the Federal Fair
Housing Act, to public agencies in California. Affirmatively furthering fair housing is defined specifically as taking
meaningful actions that, taken together, address significant disparities in housing needs and in access to
opportunity by replacing segregated living patterns with truly integrated and balanced living patterns; transforming
racially and ethnically concentrated areas of poverty into areas of opportunity; and fostering and maintaining
compliance with civil rights and fair housing laws.
AB 686 requires public agencies to:
Administer their programs and activities relating to housing and community development in a manner to
affirmatively further fair housing;
Not take any action that is materially inconsistent with the obligation to affirmatively further fair housing;
Ensure that the program and actions to achieve the goals and objectives of the Housing Element
affirmatively further fair housing; and
Include an assessment of fair housing in the Housing Element.
The requirement to AFFH is derived from The Fair Housing Act of 1968, which prohibited discrimination
concerning the sale, rental, and financing of housing based on race, color, religion, national origin, or sex and was
later amended to include familial status and disability. The 2015 U.S. Department of Housing and Urban
Development (HUD) Rule to Affirmatively Further Fair Housing and California AB 686 (2018) both mandate that
each jurisdiction takes meaningful action to address significant disparities in housing needs and access to
opportunity. AB 686 requires that jurisdictions incorporate AFFH into their Housing Elements, which includes
inclusive community participation, an assessment of fair housing, a site inventory reflective of AFFH, and the
development of goals, policies, and programs to meaningfully address local fair housing issues.
An AFFH analysis was prepared by Root Policy Research and is included as an appendix to this Housing
Element (see Appendix A).
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Defining Segregation
Segregation is the separation of different demographic groups into concentrated geographic locations or
communities, meaning that groups are unevenly distributed across geographic space. Appendix A examines two
spatial forms of segregation: neighborhood level segregation within a local jurisdiction; and Town level
segregation between jurisdictions in the Bay Area.
Neighborhood level segregation (within a jurisdiction, or intra-Town): Segregation of race and income groups can
occur from neighborhood to neighborhood within a Town. For example, if a local jurisdiction has a population that
is 20 percent Latinx, but some neighborhoods are 80 percent Latinx while others have nearly no Latinx residents,
that jurisdiction would have segregated neighborhoods.
Town level segregation (between jurisdictions in a region, or inter-jurisdiction): Race and income divides also
occur between jurisdictions in a region. A region could be very diverse with equal numbers of White, Asian,
Black, and Latinx residents, but the region could also be highly segregated with each jurisdiction consisting solely
of one racial group.
There are many factors that have contributed to the generation and maintenance of segregation. Historically,
racial segregation stemmed from explicit discrimination against people of color, such as restrictive covenants,
redlining, and discrimination in mortgage lending. This history includes many overtly discriminatory policies made
by Federal, State, and local governments. Segregation patterns are also affected by policies that appear race-
neutral, such as land use decisions and the regulation of housing development.
Segregation has resulted in vastly unequal access to public goods such as quality schools, neighborhood
services and amenities, parks and playgrounds, clean air and water, and public safety. Segregation has lasting
generational affects that target low-income and minority communities. Unequal access to public goods
disproportionately affects undeserved communities, leading to lower levels of educational attainment, higher
morbidity rates, and higher mortality rates.
Segregation Patterns in the Bay Area
Across the San Francisco Bay Area, White residents and above moderate-income residents are significantly more
segregated from other racial and income groups (see Appendix B). The highest levels of racial segregation occur
between the Black and White populations. The analysis completed for Appendix A indicates that the amount of
racial segregation both within Bay Area cities and across jurisdictions in the region has decreased since the year
2000. This finding is consistent with recent research from the Othering and Belonging Institute at UC Berkeley,
which concluded that, “[a]lthough seven of the nine Bay Area counties were more segregated in 2020 than they
were in either 1980 or 1990, racial residential segregation in the region appears to have peaked around the year
2000 and has generally declined since.” However, compared to cities in other parts of California, Bay Area
jurisdictions have more neighborhood level segregation between residents from different racial groups.
Additionally, there is also more racial segregation between Bay Area cities compared to other regions in the State.
The Federal Fair Housing Act prohibits discrimination in housing on the basis of race or color, national origin,
religion, sex, familial status, and disability. Figure 10-1 on the following page shows the number of HCD Fair
Housing Inquiries for the period 2013 through 2021.
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Figure 10-1 HCD Fair Housing Inquiries (2013- 2021)
Source: California Department of Housing.
Segregation and Land Use
It is difficult to address segregation patterns without an analysis of both historical and existing land use policies
that impact segregation patterns. Land use regulations influence what kind of housing is built in a county, city,
town, or neighborhood. These land use regulations in turn impact demographics, and they can be used to affect
the number of houses in a community, the number of people who live in the community, the wealth of the people
who live in the community, and where within the community they reside. Land use regulations have led to
disparities among neighborhoods based on class and race.
Segregation in the Town of Los Gatos
As of 2020, White residents are the most geographically concentrated compared to other racial groups in
Los Gatos, as measured by the isolation index. White residents live in neighborhoods where they are less
likely to come into contact with other racial groups.
Among all racial groups, the White population’s isolation index value has changed the most over time,
becoming less segregated from other racial groups between 2000 and 2020.
According to the dissimilarity index, within Los Gatos, racial segregation is most significant between Black
and White populations. 2 However, this dissimilarity index 3 value is not a reliable data point due to small
population size.
2 The analysis conducted for this report suggests that dissimilarity index values are unreliable for a population group if that group represents
approximately less than 5% of the jurisdiction’s total population. ABAG/MTC recommends that when cities have population groups that are less than 5%
of the jurisdiction’s population (see Figure B‐4 in Appendix B) the assessment could focus on the isolation index or Thiel’s H‐Index to gain a more accurate
understanding of neighborhood‐level racial segregation in their jurisdiction.
3 The “index of dissimilarity” is the most commonly used and accepted method of measuring segregation, and compares how evenly one population sub‐
group is spread out geographically compared to another population sub‐group.
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According to the Theil H-Index,4 neighborhood racial segregation in Los Gatos increased between 2010
and 2020. Neighborhood income segregation stayed about the same between 2010 and 2015.
Above moderate-income residents are the most segregated compared to other income groups in Los
Gatos. Above moderate-income residents live in neighborhoods where they are less likely to encounter
residents of other income groups.
Among all income groups, the above moderate-income population’s segregation measure has changed
the most over time, becoming less segregated from other income groups between 2010 and 2015.
According to the dissimilarity index, segregation between lower income residents and residents who are
not lower income has increased between 2010 and 2015. In 2015, the income segregation in Los Gatos
between lower income residents and other residents was higher than the average value for Bay Area
jurisdictions.
Figures 10-2 and 10-3 identify HCD Fair Housing Inquiries by bias for the period 2013 through 2021 and a list
of Fair Housing Assistance organizations within Santa Clara County. Figure 10-2 shows that a total of eight fair
housing inquiries for Los Gatos were submitted with two submittals citing race familial status as a bias and six
cases citing no specific bias.
Figure 10-2 HCD Fair Housing Inquiries by Bias, January 2013-March 2021
Source: California Department of Housing and Community Development AFFH Data Viewer
4 The Theil H‐Index is a statistic primarily used to measure economic inequality and other economic phenomena.
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Figure 10-3 Fair Housing Assistance Organizations, Santa Clara County
Source: Los‐Gatos‐Housing‐Resources‐Guide (losgatosca.gov)
Regional Segregation
Los Gatos has a higher percentage of White residents than other jurisdictions in the Bay Area as a whole,
a lower percentage of Latinx residents, a lower percentage of Black residents, and a lower percentage of
Asian and Pacific Islander residents.
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Regarding income groups, Los Gatos has a lower percentage of very low-income residents than other
jurisdictions in the Bay Area as a whole, a lower percentage of low-income residents, a lower percentage
of moderate-income residents, and a higher percentage of above moderate-income residents.
10.1.4 Overview of Planning and Legislative Efforts
This section provides an overview of planning and legislative efforts that provide the context for development of
the 6th Cycle Housing Element.
2040 General Plan
On June 30, 2022, the Town Council adopted the 2040 General Plan and accompanying Environmental Impact
Report (EIR). As of September 27, 2022, The Land Use and Community Design Elements of the 2040 General
Plan are suspended pending the results of a referendum. In the interim, the Town’s 2020 General Plan Land Use
and Community Design Elements will govern during the suspension period.
The update process that resulted in the adoption of the 2040 General Plan was conducted with an understanding
of the changes that would be required for the next Housing Element update cycle, and with a goal of minimizing
the number of additional General Plan amendments that would be required to ensure consistency between the
updated Housing Element and other Elements of the General Plan. Given this recent work that resulted in the
2040 General Plan, the only Housing Element Implementation Program required to ensure consistency is
Implementation Measure BG to allow the housing density suspended by the referendum mentioned above.
Effectiveness of Previous Housing Element
The Town of Los Gatos 5th Cycle Housing Element (2015 to 2023) identified a RHNA of 619 housing units
between January 31, 2015, and January 1, 2023. As of December 31, 2021, 502 new units were added to the
Town’s housing stock in this cycle, achieving approximately 81 percent of the Town’s RHNA. Units affordable to
moderate- and lower-income households that were created during the planning period include senior rental units
(North Forty Phase I), an attached condominium (Union Avenue), single-family homes (Knowles Avenue)
produced through the Town’s Below Market Program (BMP), and accessory dwelling units (ADU). See Appendix
E for a complete review and analysis of Los Gatos’s 5th Cycle Housing Element (2015-2023).
New State Laws Affecting Housing
While the Town has taken steps throughout the 5th Cycle to increase housing production locally, the State passed
numerous laws to address California’s housing crisis during the same period. As the State passes new legislation
in the remainder of the 5th Cycle and during the 6th Cycle, the Town will continue to amend the Municipal Code; to
monitor and evaluate policies and programs designed to meet State requirements; and to proactively implement
new policies and programs to help increase housing production in the Town.
In 2019, several bills were signed into law that include requirements for local density bonus programs, the
Housing Element, surplus lands, ADU streamlining, and removing local barriers to housing production. The Town
has and will continue to implement changes required by State law, through amendments to the Los Gatos
Municipal Code. The following is a summary of recent legislation and proposed Town activities that will further
the Town’s efforts to increase housing production during the 6th Cycle. Please see the previous section for a
discussion of AB 686 (Affirmatively Furthering Fair Housing).
Streamlining for Subdividing Single‐Family Lots
Senate Bill (SB) 9, the California Housing Opportunity and More Efficiency (HOME) Act, streamlines the process
for a homeowner to create a duplex or subdivide an existing lot. Any new housing created as a result of this bill
must meet a specific list of qualifications that protects historic districts, preserves environmental quality and the
look of communities, and prevents tenants from being displaced. This legislation will enable homeowners to
create intergenerational wealth, and provide access to more rental and ownership options for working families
who would otherwise be priced out of neighborhoods.
Incentive for Accessory Dwelling Units
AB 68, AB 587, AB 671, AB 881, and SB 13 further incentivize the development of ADUs, through streamlined
permits, reduced setback requirements, increased allowable square footage, reduced parking requirements, and
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reduced fees. The Town has amended its regulations and procedures pursuant to State law. In addition, the
Town increased the allowable floor area ratio by an additional ten percent for development of ADUs.
Density Bonus Update
AB 1763 requires jurisdictions to provide a density bonus to development projects that restrict 100 percent of their
units as affordable to lower and moderate-income households.
Objective Standards for Multi‐Family and Mixed‐Use Development Applications
The Town of Los Gatos is developing objective standards for the review of multi-family housing and mixed-use
development applications. This effort is in response to State legislation requiring jurisdictions to adopt objective
standards and to implement them in a streamlined review of qualifying housing projects. Objective standards are
defined under State law as “standards that involve no personal or subjective judgement by a public official and are
uniformly verifiable by reference to an external and uniform benchmark or criterion available and knowable by
both the development applicant or proponent and the public official prior to submittal” (California Government
Code, Section 65913.4). Objective standards are a powerful tool that allow communities to respond to State
housing laws that are reducing local control of development. They provide an opportunity to ensure that the
appearance of new development is compatible with the Town’s vision, while reinforcing objectivity in the decision-
making process.
Low‐Barrier Navigation Centers
A "Low Barrier Navigation Center" is a low-barrier, service-enriched shelter focused on moving people into
permanent housing that provides temporary living facilities while case managers connect individuals experiencing
homelessness to income, public benefits, health services, shelter, and housing. AB 101 requires jurisdictions to
allow “low-barrier navigation centers” by-right in areas zoned for mixed-uses and in non-residential zones
permitting multi-family uses if the center meets specified requirements. Implementation Program BD BC has
been included pursuant to the requirements of AB 101.
Surplus Public Land
AB 1255 and AB 1486 seek to identify and prioritize State and local surplus lands available for housing
development that are affordable to lower income households. The Town has not identified surplus lands through
the sites inventory analysis and will report on these lands if identified through the Housing Element Annual
Progress Reports.
Accelerated Housing Production
AB 2162 and SB 2 address various methods and funding sources that jurisdictions may use to accelerate housing
production.
Priority Processing
SB 330 enacts changes to local development policies, permitting, and processes that will be in effect through
January 1, 2025. SB 330 places new criteria on the application requirements and processing times for housing
developments; prevents localities from decreasing the housing capacity of any site, such as through downzoning
or increasing open space requirements, if such a decrease would preclude the jurisdiction from meeting its RHNA
housing targets; prevents localities from establishing non-objective standards; and requires that any proposed
demolition of housing units be accompanied by a project that would replace or exceed the total number of units
demolished. Additionally, any demolished units that were occupied by lower income households must be
replaced with new units affordable to households with those same income levels.
Housing and Public Safety
In response to SB 379, SB 1035, SB 99, and AB 747, local jurisdictions must update their Safety Element to
comprehensively address climate adaptation and resilience and identify evacuation routes. These updates are
triggered by any General Plan or Housing Element Update that occurs after January 1, 2014. The Town has
conducted this update through its recent General Plan Update, so that it can direct future development into areas
that avoid or reduce unreasonable risks, while also providing needed housing and maintaining other community
planning goals.
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Online Transparency
AB 1483 increases transparency for residential development project applicants. The Town of Los Gatos website
maintains the publication of specific financial and zoning information intended to increase transparency for
residential development project applications.
10.1.5 Public Participation
The primary purpose of this section is to describe the effort made by the Town of Los Gatos to engage all
economic segments of the community (including residents and/or their representatives) in the development and
update of the Housing Element. The 6th Cycle RHNA numbers are a significant change for all California
communities, and the success of the update process is dependent on a robust, inclusive, and meaningful
community outreach and engagement program. The COVID-19 pandemic has complicated community outreach
efforts, but the pandemic has also catalyzed the development of new digital tools that have brought interactive
engagement to a new level. The following section outlines efforts taken by the Town of Los Gatos to engage the
community in the Housing Element Update process. The summary below illustrates the efforts that the Town has
employed to reach the community for input and community engagement as part of the 2023-2031 Housing
Element Update process to date:
Postcards sent to all property owners and tenants in the Town for a Housing Element Update Community
Meeting (17,446 in total).
Announcements provided in the local newspaper for all Housing Element Advisory Board (HEAB)
meetings, community meetings, joint study sessions, and the 30-day public review period of the Initial
Public Review Draft Housing Element (Los Gatos Weekly).
17 19 pop-up informational tables at the Los Gatos Farmers’ Market.
Two Housing Element Update information tables at the Los Gatos Library.
Information table at the Town Community Event (Spring in the Green).
Social posts on five platforms, including Facebook, Instagram, Twitter, Nextdoor, and the What’s New
page on the Town’s website for all Housing Element meetings, interactive on-line engagement, and public
engagement opportunities.
Public notices for Housing Element Advisory Board (HEAB) meetings and community meetings posted at
Town Hall and the Library.
Targeted email messaging that sends email updates to the Town’s Notify Me subscribers for the 2040
General Plan Update and Housing Element Update.
100 Property Owner Interest Forms mailed to all property owners on the Site Inventory.
Online advertisements for each Housing Element meeting and interactive on-line engagement
opportunities on the Town’s website, the Town’s General Plan Update website, and the Town’s Housing
Element website.
Use of the Balancing Act, a housing simulation tool, available on the Town’s dedicated Housing Element
Update website for online public engagement.
201 submissions to the online site surveys and 42 completions of the Balancing Act housing simulation
tool.
Seven community group meetings for the 2040 General Plan Update, including discussion regarding
density and affordable housing.
Eleven Fifteen HEAB meetings held to date.
Town Council meeting approving the draft Site Inventory.
One community meeting hosted by the Santa Clara County Planning Collaborative for Santa Clara County
municipalities.
A public meeting hosted by West Valley Community Services; Envisioning an Inclusive Los Gatos:
Housing Element 101.
A joint study session with the Town Council and Planning Commission to discuss housing growth options
for the 2040 General Plan.
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A joint study session with the Town Council, Planning Commission, and HEAB with panelists from both
market rate and non-profit developers.
Participation in a Santa Clara County Equity Advisory Group Meeting.
Staff expects to continue this level of outreach and engagement throughout the remainder of the Housing Element
Update process, including: information on the Town’s website; newspaper ads; social media posts; email
notifications; a pop-up tables at the farmers Farmers’ marketMarket, library, and public events; and the website
for the Housing Element Update (engagelosgatoshousing.com). Through staff’s engagement with the public at
the Farmers’ Market, staff has heard community support for: housing options to meet the needs of seniors and
large families; displacement prevention of existing naturally affordable housing units; housing of essential
workers; and lower wage earners; and the Town incentives to attract affordable housing projects.
Housing Element Advisory Board
On August 3, 2021, the Los Gatos Town Council adopted Resolution 2021-032 establishing the HEAB to serve as
an advisory board for preparation of the Housing Element Update. On September 21, 2021, the Town Council
appointed four at-large members to the HEAB, which when combined with the nine members of the existing
General Plan Committee (GPC), formed a 13-member oversight board.
Housing Element Website
The Town developed a focused Housing Element Update website “Engage Los Gatos Housing” to provide a
forum for the Town’s online community to engage in the Housing Element Update process. The site provides an
interactive place for the public to learn about and be a part of the Town’s work on housing and to help guide
decision makers on the direction of future housing. This online platform has been open throughout the Town’s 6th
Cycle Housing Element Update and updated regularly with key documents, key meeting dates and times,
engagement opportunities, and other information.
Balancing Act Online Public Engagement
The Balancing Act tool was added on the Town’s Housing Element website to allow the public to participate and
provide site selection feedback on the online platform. The Balancing Act is an online simulation-based tool for
public engagement on potential housing sites. The Balancing Act provided an interactive map showing where
potential housing could be placed to fulfill the Town’s RHNA.
Site Surveys Online Public Engagement
As a companion to the Balancing Act mapping tool opportunity to gather public comments about potential housing
sites, surveys were made available for each individual site. The dedicated Housing Element Update website
included opportunities to learn more about the Housing Element Update process and how to contribute to the
process.
Renter’s Survey
On November 15, 2022, the Town of Los Gatos published a Renter’s Housing Survey to gather input from
residents who are currently renting or have a history of renting in the Town. The goal of the survey was to inform
the Town on renter household’s needs and possible barriers to accessing housing. The survey was made
available in English, Russian, and Spanish, and posted online at www.EngageLosGatosHousing.com.
Additionally, the survey was distributed in print throughout the Town in collaboration with West Valley Community
Services (WVCS). The survey received a total of 62 responses. See Appendix B for the survey results.
Property Interest Forms
Letters were sent to owners of properties that were considered by the Town to be candidates for housing sites.
The letters included a description of the Housing Element Update process and an invitation to include their
property on the Sites Inventory List.
Community Meetings
On August 25, 2021, Town staff participated with other municipalities as part of the Santa Clara County Housing
Collaborative to conduct the Let’s Talk Housing meeting, a regional outreach effort. The online event introduced
community participants to the Housing Element Update process. Town staff presented an introduction to the
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Housing Element Update and hosted breakout Zoom room discussions to learn more about community members
housing experiences, needs challenges, and opportunities. There were 35 participants.
On March 2, 2022, West Valley Community Services (WVCS) hosted an online community engagement event,
Envisioning an Inclusive Los Gatos: Housing Element 101. The online event provided an opportunity for the
public to discuss opportunities with panelists for the Town to improve the housing community for everyone,
ensuring inclusive, diverse, and affordable housing in Town. Community members, Housing Element experts,
nonprofits, housing developers, and clients with experience in homelessness and affordable housing joined the
conversation, discussing housing challenges, opportunities, and personal experiences. The featured panelists
included:
Ande Flower, Principal Planner at EMC Planning Group.
Alison Cingolani, Policy and Research Associate at SV@Home.
Bianca Neumann with EAH Housing.
Two WVCS clients.
Housing Element Advisory Board Public Meetings (HEAB)
The HEAB is an advisory board created for the purposes of advising Town staff, providing a public forum for
public involvement, and making recommendations to the Planning Commission and Town Council on updates to
the Housing Element. The HEAB serves as an advisory body that provides input on specific tasks associated
with the Housing Element Update. The role of the HEAB is to:
Provide guidance on the development of the Housing Element Update;
Provide an additional forum for public involvement;
Forward milestone products to Town Council;
Review the Draft Housing Element; and
Make recommendations to the Planning Commission and Town Council.
The HEAB meeting agendas allow for two opportunities for public comment, at the beginning and end of each
meeting, to provide the public an opportunity to react to the topics proposed and discussed. The public is invited
to participate and provide comments at the HEAB meetings or in writing. Meetings are advertised through social
media, the Town’s website, the Housing Element Update website, newspaper advertisements, postings at Town
Hall and the Library, and emails to the General Plan Notify Me list. The following meetings were held via Zoom
with public participation and will continue through the Housing Element Update process.
October 21, 2021: Kickoff Meeting and Housing Element Overview.
December 16, 2021: Review and Discussion of Technical Appendices.
February 17, 2022: Review and Discussion of the Housing Site Inventory Analysis Process.
April 21, 2022: Review and Discussion of the Housing Element Site Inventory.
May 5, 2022: Review and Discussion of the Housing Element Site Inventory.
May 19, 2022: Review and Discussion of the Housing Element Site Inventory.
June 16, 2022: Review and Discussion of the Housing Element Draft Goals, Policies, and Programs.
July 7, 2022: Review and Discussion of the Housing Element Draft Goals, Policies, and Programs.
August 4, 2022: Review and Discussion of the Housing Element Draft Goals, Policies, and Programs.
August 18, 2022: Review and Discussion of the full preliminary Housing Element Draft.
September 15, 2022: Receive Public Comments on the Initial Public Review Draft Housing Element.
October 20, 2022: Review of the Submittal of the HCD Draft Initial Review Housing Element.
December 1, 2022: Discuss Anticipated Comments on the Town’s Draft Housing Element.
February 16, 2023: Review of HCD comments and discuss possible modifications to the Housing Element.
March 16, 2023: Review and Discuss the Town’s Revised Draft Housing Element.
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In addition, the following groups have been invited to join the Housing Element Advisory Board Meetings:
Los Gatos Chamber of Commerce.
West Valley Community Services.
Los Gatos Interfaith Community.
Public and Private Schools.
Los Gatos Anti-Racism Coalition.
Los Gatos Rotary Club.
Los Gatos Kiwanis Club.
Los Gatos Lions Club.
Architects, Designers, and Market and Affordable Housing Developers who typically do work within Town.
The Town’s Senior Services Committee.
The list of organizations that were contacted to participate in the Housing Element Update process is provided in
Appendix F.
Joint Study Sessions
On December 7, 2021, the Town Council and the Planning Commission held a Joint Study session via Zoom to
discuss housing growth options and related analyses for Planning Commission and Town Council consideration
of the 2040 General Plan Update. The public was encouraged to continue to submit comments and participate in
the 2040 General Plan Update, including any preferences for housing growth options.
On April 6, 2022, the Town Council, Planning Commission, and HEAB participated in a Joint Study session via
Zoom titled “Nuts and Bolts of Affordable Housing.” Several residents requested that the Town Council convene
a study session with the Planning Commission and HEAB to learn more about the challenges of building
affordable housing, particularly the financial and legal realities. The residents provided discussion questions to
the panel members. The Town Council, Planning Commission, and HEAB members had the opportunity to ask
questions of panel members. The panelists included the following:
Josh Selo, West Valley Community Services Executive Director served as moderator for the panel
discussion.
Barbara Kautz, Goldfarb Lipman Attorneys, provided the current legal landscape for Housing Elements.
Don Caprobres, Harmonie Park Development, provided expertise in market rate development and
partnerships with affordable housing developers.
Andrea Osgood, Eden Housing, provided hands-on knowledge of affordable housing development and
working with market rate developers.
Chris Neale, The CORE Companies, provided experience with both market and affordable housing
development.
Public Hearings
On June 7, 2022, the Town Council accepted the sites in Tier 1 for inclusion in the Draft Site Inventory as
recommended by the HEAB at their May 19, 2022, meeting.
On June 7, 2022, the Town Council considered and approved the HEAB’s recommendation for the draft Site
Inventory at a public hearing via Zoom. There will be more public hearings to come following the first review by
HCD.On December 20, 2022, the Town Council recommended that the current version of the Draft 2023-2031
Housing Element, as submitted to HCD on October 14, 2022, be considered for adoption prior to the statutory
deadline of January 31, 2023.
On January 11, 2023, the Planning Commission unanimously recommended that the Town Council adopt the
Draft 2023-2031 Housing Element with the revised Sites Inventory Analysis and revised Sites Inventory Form.
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On January 30, 2023, the Town Council adopted the 2023-2031 Housing Element with modifications to the Sites
Inventory, finding that it was in substantial compliance with State law with the revised Sites Inventory Analysis and
revised Sites Inventory Form.
Justice, Diversity, Equity, and Inclusion
The Town of Los Gatos values justice, equity, diversity, and inclusion (JEDI). The Town works proactively to
ensure the rights and opportunities of everyone in Los Gatos and opposes any attempts to undermine the safety,
security, and rights of any members of the community. The Town promotes equal treatment, equitable
distribution of and access to resources, and engagement in issues affecting the lives of residents, workers, and
visitors. The Town does not tolerate discrimination, racial injustice, or police brutality. The Town works toward
realizing the values of diversity, equity, and inclusion by taking specific actions to become a more inclusive
community.
In May of 2017, the Town Council affirmed a commitment to Los Gatos as a diverse, supportive, equitable, and
inclusive community.
On June 5, 2020, the Town affirmed its commitment to stand in solidarity with the black community with a
Proclamation from the Mayor.
On June 17, 2020, the Mayor signed the Obama Foundation’s Mayor’s Pledge, committing to review Police
Department standards, report back to the community, and work on reforms.
On June 19, 2020, the Town launched a new webpage, “Becoming an Inclusive Community,” dedicated to
outlining the shared values of justice, diversity, equity, and inclusion. In naming the new webpage “Becoming an
Inclusive Community,” the Town acknowledged that there is work to do; and by clearly stating the commitment to
inclusivity and diversity, the Town strives to take the steps needed to reach that goal. The dedicated webpage
can be viewed at www.LosGatosCA.gov/Inclusivity and is kept updated on a regular basis with Town efforts and
current information.
On July 30, 2020, the General Plan Update Advisory Committee (GPAC) held a special meeting to review and
discuss the topics including racial, social, and environmental justice in the General Plan. As a result of this
meeting, the first Element of the 2040 General Plan is a new Racial, Social, and Environmental Justice Element.
In 2020, the Town hosted three community workshops via teleconference to foster dialogue on racial and social
justice and how Los Gatos can be more welcoming for all. The three conversations covered police reform, and
housing. The inclusivity webpage contains full video recordings, presentations, and other information associated
with these conversations.
Pop-up Community Outreach
Farmers’ Market Informational Booth
Town staff hosted a 2040 General Plan Update and Housing Element Update informational booth at the Los
Gatos Farmers’ Market on Sundays from 9:00 a.m. to 12:00 p.m. on the following dates:
June 27, 2021.
July 18, 2021.
August 8, 2021.
August 29, 2021.
September 19, 2021.
October 10, 2021.
October 31, 2021.
November 21, 2021.
December 19, 2021.
January 19, 2022.
February 13, 2022.
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March 13, 2022.
April 10, 2022.
May 22, 2022.
June 12, 2022.
September 4, 2022.
October 9, 2022.
November 13, 2022.
December 11, 2022.
January 15, 2023.
February 19, 2023.
March 26, 2023.
The Farmers’ Market is held at the Town’s Plaza Park located in downtown Los Gatos. The informational booth
has provided an opportunity for planning staff to have approximately 75 interactions with the public answer the
public’s questions regarding housing opportunities and challenges within the Town, the location of possible
housing sites in Town, the General Plan Update and Housing Element Update process in general, and key
participation opportunities. Informational handouts were provided to members of the public with links to the
Town’s General Plan Update and Housing Element Update websites. Staff interacted with members of the
community, including both Town residents and non-residents, at the Farmers Market. Staff members will continue
hosting this informational booth once a month through the end of the Housing Element Update process.
Spring Into Green Informational Booth
On April 24, 2022, Town staff hosted an informational booth for the 2040 General Plan Update and Housing
Element Update at the Town of Los Gatos’ Spring into Green event. The outdoor event celebrates Keep Los
Gatos Beautiful Month, environmental sustainability, and Earth Day. The festivities included environmentally
focused exhibitor booths, a tree planting ceremony, the weekly Los Gatos Farmers’ Market, family-friendly
activities, food, and live music. The informational booth provided an opportunity for Town staff to answer the
public’s questions regarding housing opportunities and challenges within the Town, possible housing sites in
Town, the General Plan Update and Housing Element Update process and key participation opportunities.
2040 General Plan Update
On June 30, 2022, the Town Council adopted the 2040 General Plan. As mentioned above, the 2040 General
Plan includes a new chapter: Racial, Social, and Environmental Justice. The Racial, Social, and Environmental
Justice Element includes goals, policies, and implementation programs that encourage and support local efforts to
increase participation in the local political process and to improve local conditions relative to racial, social, and
environmental justice issues. The themes covered in this element lay the foundation for creating a more equitable
and inclusive Town for all residents of Los Gatos. The Racial, Social, and Environmental Justice Element focuses
on the empowerment of the community, and especially of the members of the community who have not been
previously heard.
General Plan Update Advisory Committee (GPAC)
To help guide the update to the General Plan, the Town Council appointed a GPAC. The GPAC was composed
of the Town’s General Plan Committee (GPC) and three additional residents. The GPC includes two Town
Council members, three Planning Commissioners, and four residents. The GPAC served to review and discuss
issues, opportunities, and the development the Draft 2040 General Plan. The GPAC held more than 35 public
meetings throughout the General Plan Update process, listening to community input and contributing to the
development of Land Use Alternatives, and the content of the General Plan document.
Public Participation to Affirmatively Furthering Fair Housing
The Los Gatos public participation program was also responsive to AFFH, which requires local jurisdictions to
conduct public outreach to equitably include all stakeholders in the housing element public participation program
(see Section 10.1.3 for more complete information on AFFH).
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Tribal Consultation
This public participation effort also includes formal consultation, pursuant to Government Code §65352.3, with
representatives from nine Native American tribes that are present and active in Santa Clara County.
10.2 Overview of Housing Needs and Constraints
This section summarizes the housing needs of Los Gatos as determined through the comprehensive housing
data assessment and analysis presented in Appendix B and serves as the basis for housing goals, policies, and
implementation programs. The housing summary gives an overview of population trends: characteristics of the
housing stock; housing affordability; and special needs households.
10.2.1 Introduction
The Bay Area continues to see growth in both population and jobs, which means more housing of various types
and sizes is needed to ensure that residents across all income levels, ages, and abilities have housing
opportunities. While the number of people drawn to the region over the past 30 years has steadily increased,
housing production has stalled, due to the high cost of land, contributing to the housing shortage that communities
are experiencing. In many communities, this has resulted in residents being priced out, increased traffic
congestion caused by longer commutes, and fewer people across income levels being able to purchase homes or
meet surging rents.
10.2.2 Los Gatos Overview
As California works to face its housing crisis, the State of California has adopted rules to ensure that the burden
of housing an economically diverse and growing population is shared proportionately among all California
communities. The Town is committed to meeting the housing challenge, while preserving the essential character
of the community. The Town faces some of the following conditions as summarized below:
Population growth trends in the Town are significantly lower than the County and regional rates.
The Town has more than double the County share of White population and a correspondingly smaller
percent of minority populations.
The Town has a higher share of high-income earners than the County and Bay Area.
The income gap between lower income residents and higher income residents in the Town is higher than
the average value for Bay Area jurisdictions.
Poverty rates are very low in the Town.
The Town is a net importer of workers.
Housing prices in the Town are extremely high. Home prices are valued at more than $2 million, and
rental prices increased by 61 percent from 2009 to 2019.
The Town does not have any public housing and only a small portion of the Town contains Housing
Choice Voucher usage.
Figures 10-4 and 10-5 on the following pages show the concentration of public housing buildings with less than
seven units and buildings with eight to 35 units in Santa Clara County; and Housing Choice vouchers by census
tract, respectively.
The remainder of this section provides an overview of the demographics, housing characteristics, and special
housing needs that provide the context for Los Gatos’s 6th Cycle Housing Element Update. A more complete
report on housing needs is presented in Appendix B.
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Figure 10-4 Public Housing Buildings, Santa Clara County
Source: California Department of Housing and Community Development AFFH Data Viewer
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Figure 10-5 Housing Choice Vouchers by Census Tract
Source: California Department of Housing and Community Development AFFH Data Viewer
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10.2.3 Demographics
Population Trends
Generally, the population of the Bay Area continues to grow because of natural growth and because the strong
economy draws new residents to the region. The population of the Town of Los Gatos increased by 10 percent
from 2000 to 2020, which is below the 14.8 percent growth rate of the Bay Area. In 2020, the population of the
Town was estimated to be 31,439 according to the Department of Finance. The population of the Town makes up
1.6 percent of Santa Clara County.5 In the Town of Los Gatos, roughly 13.5 percent of its population moved
during the past year, a number that is roughly the same as the regional rate of 13.4 percent. Table 10-2 shows
population growth trends for the Town, Santa Clara County, and the Bay Area as a whole.
Table 10-2 Population Growth Trends
Geography 1990 1995 2000 2005 2010 2015 2020
Los Gatos 27,357 28,751 28,592 28,872 29,413 30,807 31,439
Santa Clara County 1,497,577 1,594,818 1,682,585 1,752,696 1,781,642 1,912,180 1,961,969
Bay Area 6,020,147 6,381,961 6,784,348 7,073,912 7,150,739 7,595,694 7,790,537
Source: California Department of Finance, E‐5 series
Population by Age
The distribution of age groups in a town or city shapes what types of housing the community may need in the near
future. An increase in the older population may mean there is a developing need for more senior housing options,
while higher numbers of children and young families can point to the need for more family housing options and
related services. There has also been a move by many to age-in-place or downsize to stay within their
communities, which can mean more multi-family and accessible units are also needed.
In 2019, the median age in the Town was 47 years, an increase from the median age of 41 in 2000. The youth
population of the Town under the age of 18 was 6,767 and the senior population 65 and older was 6,393. These
age groups represent 22 percent and 20.8 percent, respectively, of the Town’s population. This reflects a
nationwide aging trend related to the large baby boom generation, as well as local characteristics. The Town of
Los Gatos is a community with a high quality of life that encourages residents to stay throughout their lives. Aging
in place, attracting retirees, and high housing costs that favor older, more financially stable households all
contribute to the aging trend in the Town. Figure 10-6 shows the distribution of senior and youth population by
race.
5 To compare the rate of growth across various geographic scales, Table 10‐2 shows population for the jurisdiction, county, and region indexed to the
population in the year 1990. This means that the data points represent the population growth in each of these geographies relative to their populations in
1990. NOTE: Universe: Total population; For more years of data, please refer to the Data Packet Workbook, Table POPEMP‐01.
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Figure 10-6 Senior and Youth Population by Race, Los Gatos, 2000-2019
Source: ABAG Housing Needs Data Workbook
Population by Race/Ethnicity
Understanding the racial makeup of a town, city, and region is important for designing and implementing effective
housing policies and programs. These patterns are shaped by both market factors and government actions, such
as exclusionary zoning, discriminatory lending practices, and displacement that has occurred over time and
continues to impact communities of color today.6
Figures 10-7 and 10-8 show the population distribution by race and ethnicities in the Bay Area, Santa Clara
County, and specifically Los Gatos, through the period 2000 to 2019. Since 2000, the percentage of residents in
the Town of Los Gatos identifying as “White, Non-Hispanic” has decreased by 13.3 percentage points. At the
same time the percentage of residents of all “Other Race of Multiple Races, Non-Hispanic” has increased. In
absolute terms, the “Asian/API, Non-Hispanic” population increased the most, while the “White, Non-Hispanic”
population decreased the most.
In 2019, 72.3 percent of the Town’s population was White while 0.9 percent was African American, 14.8 percent
was Asian, and 7.9 percent was Latinx. People of color in Los Gatos comprise a proportion below the overall
proportion in the Bay Area as a whole.7
6 See, for example, Rothstein, R. (2017). The color of law: a forgotten history of how our government segregated America. New York, NY & London, UK:
Liveright Publishing.
7 The Census Bureau’s American Community Survey accounts for ethnic origin separate from racial identity. The numbers reported here use an accounting
of both, such that the racial categories are shown exclusive of Latinx status, to allow for an accounting of the Latinx population regardless of racial identity.
The term Hispanic has historically been used to describe people from numerous Central American, South American, and Caribbean countries. In recent
years, the term Latino or Latinx has become preferred. This report generally uses Latinx, but occasionally when discussing US Census data, we use Hispanic
or Non‐Hispanic, to clearly link to the data source.
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Figure 10-7 Population by Race and Ethnicity, Los Gatos, 2019
Source: ABAG Housing Needs Data Workbook
Figure 10-8 Population by Race and Ethnicity, Los Gatos, 2000-2019
Source: ABAG Housing Needs Data Workbook
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Employment
Town residents most commonly work in the Financial and Professional Services industry. From January 2010 to
January 2021, the unemployment rate in the Town decreased by three percentage points. Since 2010, the
number of jobs located in the jurisdiction increased by 4,440 (28.8 percent).
Additionally, the jobs-household ratio in the Town has increased from 1.32 in 2002 to 1.59 jobs per household in
2018, which means the Town has more jobs than housing. A surplus of jobs relative to residents suggests the
need to import workers. Los Gatos has more low-wage jobs than low-wage residents (where low-wage refers to
jobs paying less than $25,000). At the other end of the wage spectrum, the Town has more high-wage residents
than high-wage jobs (where high-wage refers to jobs paying more than $75,000).
10.2.4 Household Characteristics
Extremely Low-Income Households
Despite the economic and job growth experienced throughout the region since 1990, the income gap has
continued to widen. California is one of the most economically unequal states in the nation, and the Bay Area has
the highest income inequality between high- and low-income households in the State.
HUD annually updates it Section 8 Program income limits to reflect changes in median family income (MFI) levels
for different size households and income limits for extremely low-, very low-, and low-income households. HCD
must then annually update its income limits based on HUD’s annual revisions. California law and State Income
Limits reference AMI that, pursuant to Health & Safety Code 50093(c), means the MFI of a geographic area,
estimated by HUD for its Section 8 Program.
In Los Gatos, 65 percent of households make more than 100 percent of the AMI 8, compared to nine percent
making less than 30 percent of AMI, which is considered extremely low-income. Regionally, more than half of all
households make more than 100 percent AMI, while 15 percent make less than 30 percent AMI. In Santa Clara
County, 30 percent AMI is equivalent to an annual income of $39,900 for a family of four. Many households with
multiple wage earners, including food service workers, full-time students, teachers, farmworkers, public safety
officers, and healthcare professionals can fall into lower AMI categories due to relatively stagnant wages in many
industries.
Throughout the region, there are disparities between the incomes of homeowners and renters. Figures 10-9 and
10-10 show the AMI distribution and the poverty rate among different races and ethnicities in the Los Gatos area.
Typically, the number of low-income renters greatly outpaces the amount of housing available that is affordable
for these households. In Los Gatos, the largest proportion of both renters and homeowners is found in the
greater than 100 percent of AMI group.
8 Income groups are based on HUD calculations for Area Median Income (AMI). HUD calculates the AMI for different metropolitan areas, and the nine
county Bay Area includes the following metropolitan areas: Napa Metro Area (Napa County), Oakland‐Fremont Metro Area (Alameda and Contra Costa
Counties), San Francisco Metro Area (Marin, San Francisco, and San Mateo Counties), San Jose‐Sunnyvale‐Santa Clara Metro Area (Santa Clara County),
Santa Rosa Metro Area (Sonoma County), and Vallejo‐Fairfield Metro Area (Solano County). The AMI levels in this chart are based on the HUD metro area
where this jurisdiction is located. Households making between 80 and 120 percent of the AMI are moderate‐income, those making 50 to 80 percent are
low income, those making 30 to 50 percent are very low income, and those making less than 30 percent are extremely low income. This is then adjusted
for household size.
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Figure 10-9 Area Median Income by Race and Ethnicity, Los Gatos, 2019
Source: ABAG Housing Needs Data Workbook
People of color are more likely to experience poverty and financial instability as a result of Federal and local
housing policies that have historically excluded them from the same opportunities extended to White residents.9
These economic disparities also leave communities of color at higher risk for housing insecurity, displacement, or
homelessness. In Los Gatos, Hispanic or Latinx and Other Race or Multiple Races (Hispanic and Non-Hispanic)
residents experience the highest rates of poverty, followed by White (Hispanic and Non-Hispanic) residents.
Figure 10-10 Poverty Rate by Race and Ethnicity, Los Gatos, 2019
Source: ABAG Housing Needs Data Workbook
9 Moore, E., Montojo, N. and Mauri, N., 2019. Roots, Race & Place: A History of Racially Exclusionary Housing the San Francisco Bay Area. Hass Institute.
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Tenure
The number of residents who own their homes compared to those who rent their homes can help identify the level
of housing insecurity (i.e., ability for individuals to stay in their homes) in a town, city, and region. Generally,
renters may be displaced more quickly if prices increase. As of 2019, there are a total of 12,083 housing units in
Los Gatos, and fewer residents rent than own their homes: 35 percent versus 65 percent. By comparison, 43.6
percent of households in Santa Clara County are renters, while 43.9 percent of Bay Area households rent their
homes.
Homeownership rates often vary considerably across race and ethnicity in the Bay Area and throughout the
country. These disparities not only reflect differences in income and wealth, but also stem from Federal, State,
and local policies that limit access to homeownership for communities of color, while facilitating homebuying for
White residents. While many of these policies, such as redlining, have been formally disbanded, the impacts of
race-based policy are still evident across Bay Area communities. In Los Gatos, 84 percent of Black households
owned their homes, while homeownership rates were 72 percent for Asian households, 39 percent for Latinx
households, and 65 percent for White households.
In many communities, homeownership rates for households in single-family homes are substantially higher than
the rates for households in multi-family housing. In Los Gatos, 86 percent of households in detached single-
family homes are homeowners, while 13 percent of households in multi-family housing are homeowners.
Displacement
Because of increasing housing prices, displacement is a major concern in the Bay Area. Displacement has
severe impacts on low- and moderate-income residents. When individuals or families are forced to leave their
homes and communities, they also lose their support network.
The University of California (UC), Berkeley has mapped all neighborhoods in the Bay Area, identifying their risk
for gentrification. It finds that in Los Gatos there are no households that live in neighborhoods that are
susceptible to or experiencing displacement and none live in neighborhoods at risk of or undergoing gentrification.
Equally important, some neighborhoods in the Bay Area do not have housing appropriate for a broad section of
the workforce. UC Berkeley estimates that all households in Los Gatos live in neighborhoods where low-income
households are likely to be excluded due to prohibitive housing costs.10 Figure B-18 in Appendix B shows
household displacement risk and tenure.
10.2.5 Housing Stock Characteristics
Number of Homes
The number of new homes built in the Bay Area has not kept pace with the demand, resulting in longer
commutes, increasing prices, and exacerbating issues of displacement and homelessness. The number of
homes in Los Gatos increased by four percent from 2010 to 2020, which is below the growth rate for Santa Clara
County and below the growth rate of the region’s housing stock during this time period.
Between 2015 and 2021, 502 housing units were issued permits in Los Gatos, which represents approximately 81
percent of the RHNA number of 619 units assigned in the 5th Cycle Housing Element. Approximately 66 percent
of permits issued in Los Gatos were for above moderate-income housing, 24 percent were for moderate-income
housing, and 10 percent were for low- or very low-income housing.
Housing Type
It is important to have a variety of housing types to meet the needs of a community today and in the future. In
2020:
10 More information about this gentrification and displacement data is available at the Urban Displacement Project’s webpage:
https://www.urbandisplacement.org/. Specifically, one can learn more about the different gentrification/displacement typologies shown in Figure 18 at
this link: https://www.urbandisplacement.org/sites/default/files/typology_sheet_2018_0.png. Additionally, one can view maps that show which
typologies correspond to which parts of a jurisdiction here: https://www.urbandisplacement.org/san‐francisco/sf‐bay‐area‐gentrification‐and‐
displacement.
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60 percent of homes in Los Gatos were single-family detached.
13 percent were single-family attached.
9 percent were small multi-family (two to four units).
18 percent were medium or large multi-family (five or more units).
Between 2010 and 2020, the number of single-family units increased more than multi-family units. Los Gatos has
a higher portion of detached single-family homes than other jurisdictions in the region.
The housing stock of Los Gatos is generally in good condition, and few homes require reconstruction or
rehabilitation. The high quality of life, desirable location, walkable neighborhoods, and school system have
provided financial incentive for property owners to rehabilitate homes and maintain them.
Home Prices
A diversity of homes at all income levels would create opportunities for all members of the Los Gatos community
to live in Town.
Ownership – The largest proportion of homes had a value greater than $2 million in 2019. Home prices
increased by 98.4 percent from 2010 to 2020.
Rental Prices – The typical contract rent for an apartment in Los Gatos was $2,270 in 2019. Rental prices
increased by 61 percent from 2009 to 2019. To rent a typical apartment without cost burden, a household
would need to make $90,960 per year.11
Cost Burden
The U.S. Department of Housing and Urban Development (HUD) considers housing to be affordable for a
household if the household spends less than 30 percent of its income on housing costs. A household is
considered “cost-burdened” if it spends more than 30 percent of its monthly income on housing costs, while those
who spend more than 50 percent of their income on housing costs are considered “severely cost-burdened.” In
Los Gatos, 20 percent of renter households and 16 percent of owner households spend 30 percent to 50 percent
of their income on housing, while 22 percent of renter households and 12 percent of owner households are
severely cost-burdened and use the majority of their income for housing.
Minority communities are more likely to experience poverty and financial instability as a result of Federal and local
housing policies that have historically excluded them from the same opportunities extended to White residents.
As a result, they often pay a greater percentage of their income on housing, and in turn, are at a greater risk of
housing insecurity.
“Other Race” or “Multiple Races, Non-Hispanic” residents are the most cost-burdened, with 28 percent spending
30 to 50 percent of their income on housing, and Hispanic or Latinx residents are the most severely cost-
burdened, with 22 percent spending more than 50 percent of their income on housing.
Neighborhood
100 percent of residents in Los Gatos live in neighborhoods identified as “Highest Resource” or “High Resource”
areas by State-commissioned research, while none live in areas identified by this research as “Low Resource” or
“High Segregation and Poverty” areas. These neighborhood designations are based on a range of indicators
covering areas such as education, poverty, proximity to jobs and economic opportunities, low pollution levels, and
other factors.12
11 Note that contract rents may differ significantly from, and are often lower than, current listing prices.
12 For more information on the “opportunity area” categories developed by HCD and the California Tax Credit Allocation Committee, see this website:
https://www.treasurer.ca.gov/ctcac/opportunity.asp. The degree to which different jurisdictions and neighborhoods have access to opportunity will likely
need to be analyzed as part of new Housing Element requirements related to affirmatively furthering fair housing. ABAG/MTC will be providing
jurisdictions with technical assistance on this topic this summer, following the release of additional guidance from HCD.
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10.2.6 Special Housing Needs
Some population groups may have special housing needs that require specific program responses, and these
groups may experience barriers to accessing stable housing due to their specific housing circumstances. In Los
Gatos, nine percent of residents have a disability and may require accessible housing. Additionally, six percent of
Los Gatos households are larger households with five or more people, and likely need larger housing units with
three bedrooms or more. Eight percent of households are female-headed families, which are often at greater risk
of housing insecurity.
Large Households
Large households, with five or more persons, often have different housing needs than smaller households. If a
town or city’s rental housing stock does not include larger apartments, large households who rent could end up
living in overcrowded conditions. Large families are generally served by housing units with three or more
bedrooms, of which there are 7,760 units in Los Gatos, as shown in Figure 10-11. Among these large units, most
are owner-occupied, and few are renter-occupied, indicating the Town’s rental housing stock lacks larger
apartments.
Figure 10-11 Housing Units by Number of Bedrooms and Tenure, Los Gatos, 2019
Source: ABAG Housing Needs Data Workbook
Female-Headed Households
Households headed by one person are often at greater risk of housing insecurity, particularly female-headed
households, who may be supporting children or a family with only one income. Female-headed households with
children may face particular housing challenges, with gender inequality resulting in lower wages for women.
Moreover, the added need for childcare can make finding a home that is affordable more challenging.
In Los Gatos, the largest proportion of households is Married-Couple Family Households at 58 percent of the
total, while Female-Headed Family Households make up 8 percent of all households. Additionally, 36 Female-
Headed Households with Children (eight percent) fell in the Below Poverty Level category, while 26 Female-
Headed Households without Children (five percent) fell in the Below Poverty Level category.
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Figure 10-12 Percent of Children in Female Households, 2015-2019
Source: California Department of Housing and Community Development AFFH Data Viewer
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Senior Households
Senior households often experience a combination of factors that can make accessing or keeping affordable
housing a challenge. Seniors, defined as persons who are 65 years or older, may live on fixed incomes and may
have disabilities, chronic health conditions, and/or reduced mobility. Seniors who rent may be at even greater risk
for housing challenges than those who own, due to income differences between these groups.
When cost-burdened seniors are no longer able to make house payments or rent payments, displacement from
their homes can occur, putting further stress on the local rental market or forcing residents out of their community.
Understanding how seniors might be cost-burdened is of particular importance due to their special housing needs,
particularly for low-income seniors. Of seniors making less than 30 percent of AMI, 74 percent are spending the
majority of their income on housing. For seniors making more than 100 percent of AMI, 86 percent are not cost-
burdened and spend less than 30 percent of their income on housing.
People with Disabilities
People with disabilities face additional housing challenges. Encompassing a broad group of individuals living with
a variety of physical, cognitive, and sensory impairments, many people with disabilities live on fixed incomes and
are in need of specialized care, yet often rely on family members for assistance due to the high cost of care.
When it comes to housing, people with disabilities are not only in need of affordable housing, but accessibly
designed housing, which offers greater mobility and opportunity for independence. Unfortunately, the need
typically outweighs what is available, particularly in a housing market with such high demand. People with
disabilities are at a high risk for housing insecurity, homelessness, and institutionalization, particularly when they
lose aging caregivers. Overall, nine percent of people in Los Gatos have a disability of some kind.
State law also requires a Housing Element to examine the housing needs of people with developmental
disabilities. Developmental disabilities are defined as severe, chronic, and attributed to a mental or physical
impairment that begins before a person turns 18 years old. This can include Down’s Syndrome, autism, epilepsy,
cerebral palsy, and mild to severe intellectual disability. Some people with developmental disabilities are unable
to work, rely on supplemental security income, and live with family members. In addition to their specific housing
needs, they are at increased risk of housing insecurity after an aging parent or family member is no longer able to
care for them.13 In Los Gatos, there are 123 persons with a developmental disability. Out of this nine percent of
the Town’s population, 50 are children under the age of 18 (41 percent) and 73 are adults (60 percent). The most
common living arrangement for individuals with disabilities in Los Gatos is the home of a parent/family/guardian.
Figure 10-13 Share of Population by Disability Status, 2019
Source: ABAG Housing Needs Data Workbook
13 For more information or data on developmental disabilities in your jurisdiction, contact the Golden Gate Regional Center for Marin, San Francisco and
San Mateo Counties; the North Bay Regional Center for Napa, Solano and Sonoma Counties; the Regional Center for the East Bay for Alameda and Contra
Costa Counties; or the San Andreas Regional Center for Santa Clara County.
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Figure 10-14 Percent of Population with a Disability by Census Tract, 2019
Source: California Department of Housing and Community Development AFFH Data Viewer
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Homelessness
Homelessness remains an urgent challenge in many communities across the State, reflecting a range of social,
economic, and psychological factors. Rising housing costs result in increased risks of community members
experiencing homelessness. Many residents who have found themselves housing insecure have ended up
homeless in recent years, either temporarily or longer term. Addressing the specific housing needs of the
unhoused population remains a priority throughout the region, particularly since homelessness is
disproportionately experienced by people of color, people with disabilities, those struggling with addiction, and
those dealing with traumatic life circumstances.
In Santa Clara County, the most common type of household experiencing homelessness is those without children
in their care. Among households experiencing homelessness that do not have children, 87 percent are
unsheltered. Of homeless households with children, most are sheltered in emergency shelters.
People of color are more likely to experience poverty and financial instability as a result of Federal and local
housing policies that have historically excluded them from the same opportunities extended to White residents.
Consequently, people of color are often disproportionately impacted by homelessness, particularly Black
residents of the Bay Area.
In Santa Clara County, White (Hispanic and Non-Hispanic) residents represent the largest proportion of residents
experiencing homelessness and account for 44 percent of the homeless population, while making up 45 percent
of the overall population.
Farmworkers
Across the State, housing for farmworkers has been recognized as an important and unique concern.
Farmworkers generally receive wages that are considerably lower than other jobs and may have temporary
housing needs. Finding decent and affordable housing can be challenging, particularly in the current housing
market.
In Los Gatos, there were no reported students of migrant workers in the 2019-20 school year. The trend for the
region for the past few years has been a decline of more than two percent in the number of migrant worker
students since the 2016-17 school year. The change at the County level is a 50 percent decrease in the number
of migrant worker students since the 2016-17 school year.
10.2.7 Governmental and Non-Governmental Constraints
Housing development is affected by government regulations and other non-governmental forces, such as the cost
of land and building materials and the availability and cost of housing loans. A Housing Element is required to
investigate the impact of these constraints as they present themselves in the municipality in which the Housing
Element is being prepared. Please see Appendix C for a full discussion governmental and non-governmental
constraints in the Town of Los Gatos.
Revisions to the Zoning Code are necessary to achieve consistency with changes in State housing law.
Anticipated zoning changes are detailed in the implementation programs found in Section 10.5 of this Housing
Element.
In terms of non-governmental constraints, land costs will remain a constraint to affordable housing. To help offset
this constraint, programs to use Town-owned lands, such as Town parking lots could be utilized. Due to the cost
of construction materials, the Town may subsidize affordable housing projects with available funds dedicated to
housing in order to increase affordable housing inventory.
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10.3 Site Inventory and Opportunities
This section summarizes the housing needs of the Town as determined through the comprehensive housing data
assessment and analysis presented in Appendix D and serves as the basis for housing goals, policies, and
actions. The housing summary gives an overview of population trends, characteristics of the housing stock,
housing affordability, and special needs households.
10.3.1 Introduction
The Plan Bay Area 2050 Final Blueprint 14 forecasts that the nine-county Bay Area will add 1.4 million new
households between 2015 and 2050. For the eight-year time frame covered by this Housing Element Update,
HCD has identified the region’s housing need as 441,176 units. The total number of housing units assigned by
HCD is separated into four income categories that cover housing types for all income levels, from very low-
income households to market rate housing. This calculation, known as the RHNA, is based on population
projections produced by the California Department of Finance as well as adjustments that incorporate the region’s
existing housing need. The adjustments result from recent legislation requiring HCD to apply additional
adjustment factors to the baseline growth projection from California Department of Finance, in order for the
regions to get closer to healthy housing markets. To this end, adjustments focus on the region’s vacancy rate,
level of overcrowding and the share of cost-burdened households and seek to bring the region more in line with
comparable ones. Compared to previous cycles, these new laws governing the methodology for how HCD
calculates the RHNA resulted in a significantly higher number of housing units for which the Bay Area must plan
compared to previous cycles.
10.3.2 Sites Summary
The vacant, partially vacant, and underutilized sites identified in this report are sufficient to accommodate Los
Gatos’ Regional Housing Needs Allocation for the 6th Cycle planning period. The sites also accommodate the
recommended buffer of 15 percent above RHNA, which would equal a capacity of approximately 299 additional
units. This “cushion” for capacity above the base RHNA number is highly recommended because of the State’s
no-net-loss policy, which precludes jurisdictions from approving development that results in an overall housing
site deficit. The “cushion” essentially provides a degree of flexibility for policy makers as they make development
decisions. Many of the sites identified in this report have existing uses that would need to be demolished before
new housing could be constructed.
For communities like Los Gatos that are largely built-out and surrounded on all sides by other communities,
redevelopment and densification is the only practical solution to providing a fair share of future housing for the
San Francisco Bay Area. By its nature, such redevelopment is more costly and more time consuming than
building new units on vacant land. To offset these constraints, higher densities are proposed in some areas.
These higher densities act as a market incentive to offset the added cost and time required to build new housing
on redeveloped sites. Property owner interest will be pivotal for facilitating single-family site opportunities and
policies to add housing through SB 9, which allows for up to four units on a property zoned for single-family
residences. Table 10-3 provides a summary of the number of vacant and underutilized housing sites included in
the Site Inventory for the Town of Los Gatos, and how they compare to the RHNA allocation plus a 15 16 percent
buffer.
14 Plan Bay Area 2050 is a long‐range plan charting the course for the future of the nine‐county San Francisco Bay Area. It covers four key issues: the
economy, the environment, housing and transportation.
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Table 10-3 Summary of Vacant and Underutilized Housing Sites
Item Very Low Low Moderate Above
Moderate Total
Total Estimated Housing for Sites in
Inventory 646618 362360 347388 6421,005 1,9972,371
Accessory Dwelling Units 20 60 60 60 200
Senate Bill 9 96 96
Pipeline Projects 1 200 201
Total 666 423 407 998 2,494
RHNA 537 310 320 826 1,993
Buffer (15 %) 81 46 48 124 299
RHNA + Buffer 618 356 368 950 2,292
Difference Between Housing Estimate and
RHNA + Buffer 480 674 3920 4855 20279
SOURCE: EMC Planning Group, Inc; Town of Los Gatos
10.4 Energy and Resource Conservation
This section summarizes background information and actions being undertaken by the Town of Los Gatos to
address energy and resource conservation. The information is excerpted from Chapter 8 (Environment and
Sustainability Element) of the 2040 General Plan. For a full discussion of energy-related issues, please see
Chapter 8, Section 8.6 (Energy) of the 2040 General Plan.
10.4.1 Opportunities for Energy Conservation
With the escalation in energy prices, consumers and builders have once again become more aware of energy
costs. The Town must balance between development and environmental stewardship to maintain a strong
economy and, at the same time, protect the environment. The following section highlights building standards
and conservation codes contributing to that success.
Title 24 of the California Administrative Code sets forth mandatory energy standards for new development and
requires adoption of an "energy budget." In turn, the home building industry must comply with these standards
while localities are responsible for enforcing the energy conservation regulations. In 2015, the Town adopted a
Solar Energy Code for the purpose of reducing energy costs for new residential developments and adopted an
energy budget. In addition, State law (both the Residential Building Code and CalGreen) have standards that
significantly reduce energy use in new residential construction.
Increasing energy costs, persistent drought, and climate change have reshaped how Californians think when it
comes to buying new homes. Solar roof panels have become more commonplace over the past several decades,
with both State and Federal tax credits available. Energy-efficient appliances and water wise landscaping have
become amenities of choice for homebuyers. Developers can make the most of this paradigm shift by embracing
“green” building practices that incorporate the energy and water efficiencies that consumers desire as well as
environmentally friendly construction that minimizes waste and maximizes the use of resources.
Pacific Gas and Electric (PG&E) distributes electricity throughout Los Gatos, with supplies purchased from Silicon
Valley Clean Energy (SVCE). PG&E supplies natural gas to the community as well. The Town is committed to its
partnership with other local communities under the umbrella of SVCE. Through this partnership, Los Gatos
residents and businesses receive carbon-free electricity at lower rates than those that arise from fossil fuel
consumption. SVCE works to innovate and implement new clean energy programs and presents many of these
innovations at community meetings, Earth Day events, and presentations to businesses. SVCE’s 2020
Community Benefits Summary indicates Los Gatos achieved the following results:
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$813,000 in on-bill savings for Los Gatos SVCE customers.
14,700 households and businesses served.
99 percent reduction in electric utility-related emissions (34,897,000 pounds greenhouse gas emissions
avoided by providing clean energy).
$29,900 in cash payments to customers for generating surplus solar energy.
Achieving these goals adds to the overall GHG reduction strategy, with a focus on lowering dependence on
carbon-based fuels and energy sources. Energy efficiency involves a careful balance of assessing energy
sources, educating the public on home and business renewable energy use, implementing energy efficiency
strategies, and encouraging and incentivizing widespread and ongoing implementation of those strategies. This
in turn translates into lower ongoing costs to homeowners and renters.
10.4.2 Energy-Related Goals and Policies
As required by State housing law, the Housing Element must analyze energy conservation opportunities in
residential development. In the following section, Goal HE-5 and its related policies and actions address energy
conservation in residential development in Los Gatos.
The relevant Environment and Sustainability Element goals and policies in the 2040 General Plan are:
Carbon-Neutral Energy (ENV-11.1). Support SCVE to continue to procure carbon-neutral energy for long-
term and short-term supplies, including renewable resources.
Energy Efficiency in Municipal Facilities (ENV 11.2). Invest in cost-effective energy efficiency and energy
conservation programs in municipal facilities.
Future Demand Reduction (ENV 11.3). Explore cost-effective, reliable, and feasible energy efficiency and
demand reduction opportunities and continue to use the Sustainability Plan to include education programs
for these opportunities.
Conservation and Reduction (ENV 11.4). Maximize the conservation and efficient use of energy in existing
and new residences, businesses, and municipal buildings in Los Gatos.
Solar Systems (ENV 11.5). Support the maximum economic use of solar electric (photovoltaic) systems
on-site to augment the renewable energy portfolio available to new development, businesses, and
municipal facilities.
Organic Waste Recycling (ENV 11.6). Comply with SB 1383 regulations to maximize energy recovery
from organic materials such as yard trimmings, food waste, and other compostable resources.
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10.5 Goals, Policies, and Implementation Programs
The Town does not build housing but, rather creates the policies and implementation programs to plan for where
the housing can be located and how many units can be built on potential sites. The Town is responsible for
enabling the production of housing by reducing regulatory barriers, providing incentives, and supporting programs
that create or preserve housing, especially for vulnerable populations. The Town encourages production of a
diversity of new housing to ensure an adequate supply is available to meet the needs of existing and future
residents. To enable the construction of quality housing, the Town has identified the following goals, policies, and
actions.
Goal HE-1 Facilitate All Types of Housing Construction.
The Town encourages the production of diverse new housing options to ensure that an adequate supply is
available to meet the existing and future needs of all residents.
Policy HE-1.1 Adequate Sites
Designate sufficient, residentially zoned land at appropriate densities to provide adequate sites to
accommodate Los Gatos’s RHNA for 2023–2031 and monitor residential development to ensure
there is an adequate level of remaining development capacity.
Policy HE-1.2 Multi-Family Housing Densities
Encourage builders to develop projects on multi-family designated properties at the high end of
the applicable density range.
Policy HE-1.3 Infrastructure
All new residential development shall be sufficiently served by public services and facilities,
including pedestrian and vehicular circulation, bike lanes, water and wastewater services, police,
fire, schools, and parks.
Policy HE-1.4 Housing Design
Ensure that all new housing is well designed and fosters a sense of community.
Policy HE-1.5 Variety of Housing Choices
Encourage the production of housing that meets the needs of all economic segments of the
Town, including lower and moderate households, to maintain a balanced community.
Policy HE-1.6 Universal Design
Address the special housing needs of persons with disabilities through reasonable
accommodation procedures, zoning provisions for supportive and group housing, homeowner
accessibility grants, and by encouraging universal design.
Policy HE-1.7 Infill Opportunities in Single-Family Neighborhoods
The Town shall increase access to opportunity for lower-income households by encouraging infill
of smaller units in single-family neighborhoods (e.g., ADUs, multi-generational housing units, and
SB 9 projects).
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Goal HE-2
Provide New Affordable Housing.
Overall housing production has been too slow to keep pace with population growth over the past two decades.
This trend has increased demand on the supply side of housing and increased the cost of all housing. More
affordable housing is needed for extremely low, very low-, low-, and middle-income households.
Policy HE-2.1 Financial Resources
Pursue expanding financial resources to support the production of affordable housing for the
Town’s modest income residents and workforce.
Policy HE-2.2 Housing Vouchers
The Town shall support the Santa Clara County Housing Authority program for Housing Choice
Vouchers (Section 8) to assist extremely low-, very low-, and low-income residents of the Town.
Policy HE-2.3 Mixed-Use Development
Encourage mixed–use developments that provide affordable housing close to employment
centers and/or transportation facilities, particularly along arterials.
Policy HE-2.4 Rental Housing
Strive to ensure that at least 30 percent of the housing stock is rental units and continue to
support the development of ADUs as a means of affordable rental housing.
Policy HE-2.5 Pre-Approved Accessory Dwelling Units
Collaborate with countywide efforts to develop pre-approved ADU plans suitable for Los Gatos,
including designs that are Americans with Disabilities Act (ADA) accessible.
Policy HE-2.6 Promote Accessory Dwelling Unit Construction
Encourage homeowners to construct detached rental ADUs in order to increase the housing
stock of smaller rental units.
Policy HE-2.7 Senior Housing
Support development and maintenance of affordable senior rental and ownership housing and
continue to work with existing senior lifestyle living and assisted living facilities in Los Gatos.
Encourage a variety of senior living options including downsizing and step-down independent
ownership housing.
Policy HE-2.8 Equal Housing and Special Needs
Support the provision of permanent, affordable, and accessible housing that allows persons with
special needs to live independent lives. For the purposes of this Housing Element “persons with
special needs” include extremely low-income households, seniors, overcrowded and large-family
households, the homeless population, those in need of emergency shelter, youth aging out of
foster care, female-headed or single-parent households, and persons with disabilities, including
developmental challenges.
Policy HE-2.9 Public/Private Partnerships
Work with and support collaborative partnerships with nonprofit agencies and housing developers
to plan and develop a mix of affordable housing opportunities in Los Gatos using available
funding.
Policy HE-2.10 Repurposing Obsolete Commercial Buildings
Encourage property owners to pursue opportunities to integrate housing in underutilized
commercial centers, and to reuse excess or obsolete commercial buildings for affordable
housing.
AFFH
AFFH
AFFH
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Policy HE-2.11 Smart Growth
Encourage “smart growth” that accommodates higher density residential uses near transit,
bicycle-, and pedestrian-friendly areas of the Town that encourage and facilitate the conservation
of resources by reducing the need for automobile use.
Policy HE-2.12 Housing on Land Owned by Religious Institutions
Support the provision of affordable housing on congregational land through flexible development
standards, including opportunities for reduced and shared parking arrangements.
Goal HE-3 Remove Barriers to the Production of Housing.
Governmental constraints on the development of housing for households of all income levels needs to be
minimized. The success of development in some opportunity areas will be dependent upon consolidation of
individual parcels into larger development sites. While some of the individual parcels within these areas are
already under common ownership, many are individually owned.
Policy HE-3.1 Regulatory Incentives for Affordable Housing
Facilitate the development of affordable housing through regulatory incentives and concessions,
and/or financial assistance. Continue expediting the permit processing system for affordable
residential development applications and proactively seek out new models and approaches in the
provision of affordable housing.
Policy HE-3.2 Flexible Development Standards
Provide flexibility in development standards to accommodate new models and approaches to
providing housing, such as live/work housing (permitted with a CUP), and micro units (in existing
housing units), to allow housing to adapt to the needs of the occupants.
Policy HE-3.3 Efficient Development Processing
Explore continued improvements to the entitlement process to streamline and coordinate the
processing of permits, design review, and environmental clearance.
Policy HE-3.4 Lot Consolidation
Educate and encourage lot consolidation and lot assemblage in mixed use and commercial
areas.
Policy HE-3.5 Development Impact and Permit Fees
Consider reduced fees and alternative funding to facilitate affordable housing development.
Goal HE-4 Improve the Existing Housing Stock.
Providing more housing is a priority; but maintaining and preserving existing housing also plays a critical role.
Much of the older housing in the Town can be naturally affordable, as priced by the housing market, but must be
well-maintained to provide quality housing across income levels.
Policy HE-4.1 Property and Housing Conditions
Support long-term maintenance and improvement of existing housing units through Code
Enforcement and housing rehabilitation programs.
AFFH
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Policy HE-4.2 Multi-Family Housing Acquisition and Improvement
Improve the quality of rental housing by acquisition and/or rehabilitation using the Affordable
Housing Fund and support nonprofit housing providers in the acquisition and rehabilitation of
older housing stock, and maintenance as long-term affordable housing.
Policy HE-4.3 Home Affordability Preservation
Preserve the affordability of units affordable to very low-, low-, and moderate-income households
in the Town and Bonnie View Park, and enforce zoning regulations regarding conversion of
mobile home parks in Los Gatos.
Policy HE-4.4 Naturally Occurring Affordable Units
Encourage maintaining naturally affordable housing types such as duplexes, townhomes, and
mobile homes.
Policy HE-4.5 Preserve Residences of Historic or Architectural Value
The Town shall encourage the preservation of residential buildings with historic or architectural
value.
Goal HE-5
Encourage Green Building and Energy Conservation.
The Town is dedicated to addressing and mitigating climate change impacts and strives to be a leader in
sustainable development. The General Plan promotes environmentally sound and socially equitable development
by encouraging residential construction that promotes sustainable building and energy conservation practices.
Policy HE-5.1 Green Building
Encourage sustainable housing development throughout the Town by fostering awareness and
encouraging the adoption of green building practices.
Policy HE-5.2 Solar Energy
Promote more efficient energy use and renewable energy to reduce the strain on the existing
energy grid and reduce greenhouse gas emissions.
Goal HE-6
Publicize Fair Housing Resources, Including those for Special Needs Populations.
Many programs that address housing access and affordability for lower income households are supported by the
Town and its partners; however, many people who need these resources have trouble finding them. It is
important for the Town to proactively inform residents about housing needs and resources, particularly those
related to Fair Housing issues.
Policy HE-6.1 Fair Housing
Support and publicize housing programs that protect individuals’ rights and enforce fair housing
laws prohibiting arbitrary discrimination in the building, financing, selling or renting of housing on
the basis of race, color, ancestry, religion, national origin, sex, sexual orientation, gender
identification or expression, genetic information, primary language, citizenship, age, disability/,
medical condition, familial status, marital status, immigration status, military or veteran status,
source of income or other such arbitrary factors.
Policy HE-6.2 Financial Assistance
Continue to encourage Los Gatos households to participate in financial assistance programs
provided in the County of Santa Clara.
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Policy HE-6.3 Housing for Persons with Special Needs
Continue to provide assistance to service providers who support special needs households and
the homeless, such as Project Sentinel, Santa Clara County Housing Authority, and Santa Clara
County Office of Supportive Housing. Support and publicize efforts and resources to provide
coordinated services for persons with special needs in the Town.
Policy HE-6.4 Affordable Housing Awareness
Raise community awareness of the need for and benefits of affordable housing through Town
outreach. Foster Town-wide discussion on housing needs, resources and ideas and improve
communication channels and methods for meaningful dialogue.
Policy HE-6.5 Infill Opportunities in Single-Family Neighborhoods
The Town shall provide educational materials for the public to promote ADUs, multi-generational
housing units and SB 9 projects that create housing opportunities in single-family neighborhoods
through the infill of smaller units.
Policy HE-6.6 Rental Dispute Mediation and Arbitration Ordinance
The Town will work to prevent evictions of long term, low-income residents living in naturally
affordable housing who can quickly lose their residence due to sudden rent increases or changes
in property owners.
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10.6 Implementation Programs
Programs
A Developer Forum
Establish an annual meeting between staff
and housing developers to discuss constraints
and opportunities to affordable and market
rate housing projects.
Implementation Policies
HE-1.1 Adequate Sites
HE-1.2 Multi-family Housing Densities
HE-1.3 Infrastructure
HE-1.4 Housing Design
HE-1.5 Variety of Housing Choices
Responsible Department/Review Authority
Community Development Department
Timeframe
Annually provide focus group or Town Hall
meeting opportunities
Funding Source
None required
Quantified Objective
One meeting a year
Performance Metric(s)
List of opportunities and constraints
B Large Site Program
Encourage property owners and affordable
housing developers to target and market the
availability of sites with the best potential for
development by facilitating meetings between
willing property owners of large sites. To
assist the development of housing, especially
for lower income households, on sites larger
than 10 acres, the Town will facilitate land
divisions and lot line adjustments to result in
parcels sizes between one half to10 acres
that can accommodate multiple-family
developments affordable to lower income
households in light of State, Federal, and local
financing programs.
Implementation Policies
HE-1.1 Adequate Sites
HE-1.2 Multi-family Housing Densities
HE-1.3 Infrastructure
HE-1.4 Housing Design
HE-1.5 Variety of Housing Choices
Responsible Department/Review Authority
Community Development Department
Timeframe
Annually provide focus group or Town Hall
meeting opportunities
Funding Source
None required
Quantified Objective
Facilitate four land divisions and/or lot line
adjustments.
Performance Metric(s)
Number of subdivision applications entitled.
C No Net Loss
Develop and implement an ongoing formal
evaluation procedure (project-by-project) of
sites identified in the Site Inventory to
maintain sufficient sites at appropriate
Implementation Policies
HE-1.1 Adequate Sites
HE-1.3 Infrastructure
HE-1.5 Town Resources
HE-1.5 Variety of Housing Choice
Responsible Department/Review Authority
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Programs
densities to accommodate RHNA for lower
income households. If an approval of a
development results in a reduction of site
capacity below the residential capacity
needed to accommodate the remaining
RHNA, including for lower income
households, the Town will identify and zone
sufficient adequate sites at appropriate
densities to accommodate the remaining
RHNA.
Community Development Department
Timeframe
Ongoing tracking as developments are
approved
Funding Source
None required
Quantified Objective
N/A
Performance Metric(s)
Number of units and affordability level applied
for entitlement; number of units and
affordability level entitled; number of units and
affordability level permitted; number of units
and affordability level completed
D Additional Housing Capacity
Amend the North Forty Specific Plan to
increase the maximum allowable density from
20 dwelling units per acre to more than 30 40
dwelling units per acre and increase the total
number of dwelling units allowed in the
Specific Plan.
Implementation Policies
HE-1.1 Adequate Sites
HE-3.3 Efficient Development Processing
Responsible Department/Review Authority
Community Development Department
Timeframe
December 2023January 2024
Funding Source
None required
Quantified Objective
Facilitate the construction of 15 new homes
for lower-income households.
Performance Metric(s)
Number of affordable homeownership units
entitled and the number of units entitled for
lower-income Households
E Affordable Development on Town Owned
Property
Pursue opportunities to work with an
affordable housing developer to construct
affordable housing on Town owned property.
Implementation Policies
HE-1.1 Adequate Sites
HE-2.9 Public/Private Partnerships
Responsible Department/Review Authority
Community Development DepartmentTown
Manager
Timeframe
Ongoing effort
Funding Source
None required
Quantified Objective
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Programs
Meet once a year with an affordable housing
developer
Performance Metric(s)
Evaluate affordable housing opportunities on
Town owned property
F Update Permit Software System
Update the existing permit software system to
better monitor average processing times for
ministerial and discretionary development
permits. Use data to set baselines timelines
to drive improvements. Update the Town
planning and zoning regulations and remove
permit processing constraints as appropriate.
Implementation Policies
HE-3.3 Efficient Development Processing
Responsible Department/Review Authority
Community Development Department
Timeframe
Review and update regulations as appropriate
at biannual years
Funding Source
None required
Quantified Objective
Reduce processing time by five percent
Performance Metric(s)
Improve current permit processing time
G Report Annually on Housing Availability
Prepare an annual housing report for the
review of the Town Council including
information on progress made towards
achieving new construction need, affordable
housing conserved/developed, effectiveness
of existing programs and recommendations
for improvement. Consult and collaborate
with non-profit providers, special need
providers, and other community resources in
preparation and evaluation of the report.
Implementation Policies
HE-1.1 Adequate Sites
HE-1.5 Town ResourcesVariety of Housing
Choices
HE-3.3 Efficient Development Processing
HE-1.5 Variety of Housing Choices
Responsible Department/Review Authority
Community Development Department
Timeframe
Annually completed
Funding Source
None required
Quantified Objective
Prepare annual housing report
Performance Metric(s)
Determine Town’s progress in providing
affordable housing
H Study detached single-family
condominium option.
Study the development of a new floor area
ratio standard for multi-family development
Implementation Policies
HE-1.5 Variety of Housing Choices
HE-2.7 Senior Housing
Responsible Department/Review Authority
Community Development Department
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Programs
when developed as detached single-family
condominium units. Timeframe
Upon adoption of this Housing Element
December 2024
Funding Source
None required
Quantified Objective
Reduce governmental constraint
Performance Metric(s)
Zoning Code Amendment
I Coordination with Water and Sewer
Providers
Deliver the adopted Housing Element to the
San Jose Water Company and the West
Valley Sanitation District so that they can
prioritize current and future resources or
services for housing development that helps
meet Los Gatos’s RHNA for lower income
households.
Implementation Policies
HE-1.3 Infrastructure
Responsible Department/Review Authority
Community Development Department
Timeframe
Upon adoption of this the Housing Element
Funding Source
None required
Quantified Objective
Deliver Housing Element
Performance Metric(s)
Delivery of Housing Element
J Helping Seniors Program
Provide financial assistance for health, safety,
emergency and accessibility home repairs to
low-income seniors and low-income mobile
homeowners through the Below Market Price
Program funds, subject to availability of
Program funds.
Implementation Policies
HE-1.6 Universal Design
HE-2.7 Senior Housing
HE-2.8 Equal Housing and Special Needs
Responsible Department/Review Authority
Community Development Department, Town
Council
Timeframe
Ongoing and annual effort
Funding Source
Town Affordable Housing Funds
Quantified Objective
Fund five home repairs to lower income
seniors
Performance Metric(s)
Number of home repairs funded
K Small Multi-Unit Housing
Implementation Policies
HE-1.5 Variety of Housing Choices
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Programs
Update the Zoning Code to facilitate low rise
multi-family structures in the Medium
Residential Density designation.
Promote this program through publication, to
include the following information: Low rise
multi-family dwelling units ranging from two to
10 units can help meet the needs of families,
seniors and students. Permit processing
times tend to be shorter than larger multi-
family buildings due to the low-rise nature of
the structures.
HE-2.4 Rental Housing
HE-3.3 Efficient Development Processing
Responsible Department/Review Authority
Community Development Department
Timeframe
OngoingDecember 2024
Funding Source
None required
Quantified Objective
Zoning Code Amendment
Performance Metric(s)
Increase the number of low rise multi-family
developments from the previous year
L Rental Housing for Large Families
Encourage development of multi-family rental
housing that is greater than two bedrooms to
encourage the provision of adequate rental
housing for families.
Implementation Policies
HE-1.5 Variety of Housing Choices
HE-2.4 Rental Housing
Responsible Department/Review Authority
Community Development Department
Timeframe
Ongoing and annual effort
Funding Source
None required
Quantified Objective
Meet with Town Planners annually to discuss
the benefits of rental housing for large families
and share the discussion with potential
developers
Performance Metric(s)
Number of two-, three-, and four-bedroom
units entitled and number of family friendly
designated units
M Lot Consolidation
The Town will conduct outreach to property
owners in these areas to identify meaningful
incentives to facilitate lot consolidation, lot
assemblage and redevelopment in mixed use
and commercial areas. Based on this
feedback, within two years of Housing
Element adoption, the Town will consider the
development of a Lot Consolidation
Ordinance to include specific incentives such
as: flexible development standards such as
reduced setbacks, increased lot coverage,
Implementation Policies
HE-3.4 Lot Consolidation
Responsible Department/Review Authority
Community Development Department
Timeframe
Within two years of Housing Element
adoptionJune 2025
Funding Source
None required
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Programs
increased heights, reduced parking, reduced
fees, and streamlined permit processing
through administrative staff review. Upon
adoption of the Ordinance, the Town will work
with property owners that are receptive to lot
consolidation/lot assemblage to assist them in
facilitating the parcel merge process in a
streamlined and timely manner.
Quantified Objective
Zoning Code Amendment and outreach to
property owners every two years
Performance Metric(s)
Zoning Code Amendment
N Below Market Price Program
Conduct a study to evaluate the existing BMP
Program and recommend changes to the
program to increase the number of units
constructed. The study will include evaluation
of the implementation of the BMP Program to
date, including impacts to market rate housing
related to current market conditions, project
applications, estimated affordable housing
requirements, fee collection, and actual
construction of affordable housing units to
address constraints based on the outcome of
the evaluation. The study will evaluate the
feasibility of requiring BMP’s for senior
assisted living, senior independent living, and
senior communities.
Implementation Policies
HE-2.7 Senior Housing
HE-3.1 Regulatory Incentives for Affordable
Housing
HE-4.1 Property and Housing Conditions
HE-4.2 Multi-family Housing Acquisition
Improvement
Responsible Department/Review Authority
Community Development Department
Timeframe
Complete study by June 2025 and implement
recommended policy actions by December
2028
Funding Source
Town Affordable Housing Fund
Quantified Objective
Increase number of BMP units annually by
two units
Performance Metric(s)
Complete study and implement policy actions
O Establish a Commercial Linkage Fee
Conduct a nexus study and amend the
Municipal Code to include a linkage fee if
appropriate. A commercial linkage fee is an
impact fee levied on commercial development
for the provision of affordable housing. Before
levying an impact fee, the Town is required to
complete a nexus study that shows the
linkage between new development and the
increased demand for housing.
Implementation Policies
HE-3.5 Development Impact and Permit Fees
Responsible Department/Review Authority
Community Development Department
Timeframe
Complete study by June 2024 and implement
recommended actions by December 2024
Funding Source
None required
Quantified Objective
Conduct nexus study
Performance Metric(s)
Determine amount of affordable impact fees
collected
HCD Revised Draft Initial Review 2023-2031 Housing Element
10-46 HCD Revised Draft Initial Review 2023-2031 Housing Element October 202March 2023
Programs
P Funds for Development for Extremely Low
Income (ELI) Households
Continue to encourage the creation of housing
that is affordable to extremely low-income
households by allocating a percentage of the
Town Affordable Housing (Below Market
Price) Fund to subsidize housing for
extremely low-income households. As part of
the Town’s annual budget process, provide a
priority for funding ELI developments that may
be submitted to the Town with the Town’s
BMP monies. Update the allocation as
recommended by the BMP study.
Additionally, provide staff technical assistance
with the preparation of Tax Credit or grant
funding applications or conducting local Tax
Equity and Fiscal Responsibility Act (TEFRA)
hearings to facilitate the financing of proposed
housing projects in Los Gatos.
Implementation Policies
HE-3.1 Regulatory Incentives for Affordable
Housing
HE-4.1 Property and Housing Conditions
HE-4.2 Multi-family Housing Acquisition
Improvement
Responsible Department/Review Authority
Community Development Department
Timeframe
Ongoing and annual effort
Funding Source
Below Market Price Housing In-lieu
FeesTown Affordable Housing Fund
Quantified Objective
Subsize three developments which include
extremely low-income households
Performance Metric(s)
Number of extremely low-income households
funded
Q Habitat for Humanity Home Repair
Program
Work with Habitat for Humanity to promote the
Home Repair Program offered by Habitat,
which responds to health, accessibility, and
safety concerns in homes owned by low-
income families, veterans, and senior
residents on limited incomes. By fixing the
long-deferred maintenance projects, critical
repairs and code violations, this program
helps families stay in their already affordable
homes and avoid displacement.
Implementation Policies
HE-2.7 Senior Housing
HE-2.8 Equal Housing and Special Needs
HE-4.1 Property and Housing Conditions
Responsible Department/Review Authority
Community Development Department
Timeframe
Annually meet with Habitat for Humanity
Funding Source
None required
Quantified Objective
Promote program through the Town’s
website, social media, and community
outreach housing events
Performance Metric(s)
Promote program
R Development Impact and Permit Fees
Review the financial needs of affordable
housing projects, determine whether or not
Town fees can be reduced to facilitate
affordable housing development, and identify
Implementation Policies
HE-3.5 Development Impact and Permit Fees
Responsible Department/Review Authority
Community Development Department, Parks
and Public Works, Town Council
Timeframe
10. Housing Element
October 2022March 2023 HCD Revised Draft Initial Review 2023-2031 Housing Element 10-47
Programs
options for the Town to offset the foregone
revenues from other sources. January 2026 2023 to January 2031
Funding Source
Staff Time
Quantified Objective
Reduce development impact fees and permit
processing fees for affordable housing
projects by ten percent
Performance Metric(s)
Review existing Town fees
S Affordable Housing Development
Provide incentives for affordable housing
development, including density bonus, fee
deferrals or reductions, and reduced fees for
studio units. The Town shall also provide
annual outreach to attract and support
affordable housing developers in the Town,
including developers of senior housing,
extremely low-, very low- and low-income
units, and permanent supportive housing for
persons with disabilities and developmental
disabilities. The Town shall annually identify
development and housing opportunities.
Implementation Policies
HE-1.2 Multi-family Housing Densities
HE-3.5 Development Impact and Permit Fees
HE-2.7 8 Equal Housing and Special Needs
HE-2.9 Public/Private Partnerships
HE-3.1 Regulatory Incentives for Affordable
Housing
Responsible Department/Review Authority
Community Development Department, Town
Council
Timeframe
January 2023 to January 2031Ongoing and
annual effort
Funding Source
Staff Time and the Below Market Price
Housing In-lieu FeesTown Affordable Housing
Fund
Quantified Objective
Facilitate the construction of 10 new
homes for moderate to lower-income
households (five for moderate, three for
low, and two for very-low)
Facilitate annual outreach to developers.
Annually identify development and
housing opportunities
Performance Metric(s)
Number of affordable homeownership units
entitled and # of units entitled for moderate,
low, and very-low households
T Purchase Affordability Covenants in
Existing Apartments
Create a program for the Town to purchase
affordability covenants with BMP funding to
increase the supply of affordable housing or
“buy-down” existing affordability covenants to
have deeper affordable units in existing rental
Implementation Policies
HE-2.1 Financial Resources
Responsible Department/Review Authority
Community Development Department, Town
Council
Timeframe
HCD Revised Draft Initial Review 2023-2031 Housing Element
10-48 HCD Revised Draft Initial Review 2023-2031 Housing Element October 202March 2023
Programs
properties. This program is analogous to
purchasing covenants in new developments in
conjunction with the BMP program, but for
existing apartments.
In existing and new rental developments, the
Town could provide a rehabilitation loan or
another form of subsidy to a rental property
owner in exchange for securing affordability
covenants on a percentage of units and the
owner’s agreement to restrict rents on these
units to levels that would be affordable to very
low- and low-income households.
January 2028 2023 to January 2031
Funding Source
Below Market Price Housing In-lieu
FeesTown Affordable Housing Fund
Quantified Objective
Affordability covenants for three housing units
with BMP funding to increase the supply of
affordable housing
Performance Metric(s)
Number of affordability covenants
U Accessory Dwelling Units
Waive building fees when an ADU is deed
restricted for very low- and low-income
households.
Initiate a marketing program for homeowners
on the benefits of ADUs and the availability of
resources (templates, cost calculators,
technical support) to support development.
Collaborate with countywide efforts to develop
pre-approved ADU plans suitable for Los
Gatos, including designs that are ADU
accessible.
Streamline the review and permitting of ADU’s
by publishing pre-approved plans including
plans that are ADA-compliant, which shall be
posted on the Town’s website.
Annually monitor number of ADU’s produced
annually.
Implementation Policies
HE-1.7 Infill Opportunities in Single-Family
Neighborhoods
HE-2.4 Rental Housing
HE-2.5 Pre-Approved Accessory Dwelling
Units
HE-2.6 Promote Accessory Dwelling Unit
Construction
HE-2.7 Senior Housing
HE-3.1 Regulatory Incentives for Affordable
Housing
HE-3.3 Efficient Development Processing
HE-3.5 Development Impact and Permit Fees
Responsible Department/Review Authority
Community Development Department
Timeframe
Initiate marketing program and coordinate
efforts on pre-approved ADU plans (2023)
Select at least three plans and conduct
media campaign to promote (December
2024)
Monitor the production and affordability of
ADUs annually and adjust, if necessary,
within six months
Funding Source
Below Market Price Housing In-lieu Fees for
Waiving Building Fees and General Fund
Quantified Objective
Construction of 200 ADUs or JADUs
throughout the Planning period
Publish pre-approved ADU plans and
templates, including designs that address
ADA and senior housing needs
Post pre- approved plans on Town
website
10. Housing Element
October 2022March 2023 HCD Revised Draft Initial Review 2023-2031 Housing Element 10-49
Programs
Use the Town’s social media, website,
local press and community events to
distribute information
Performance Metric(s)
Number of Building Permits Issued; number of
ADU/JADUs rented at a rental rate affordable
for very low-and low-income households
V Density Bonus
Conduct a study to evaluate the existing
Density Bonus Ordinance and recommend
changes to increase the number of units
constructed. The study will include an
evaluation of the implementation of the
ordinance to date and actual construction of
affordable housing units that utilized the
Density Bonus. Additional density and height
incentives beyond what the State requires will
be considered (i.e., fee reductions, add free
density of BMP units). The study shall
recommend improvements to the Ordinance
based on the outcome of the evaluation.
Implementation Policies
HE-3.1 Regulatory Incentives for Affordable
Housing
HE-2.3 Mixed-Use Development
HE-2.8 Equal Housing and Special Needs
Responsible Department/Review Authority
Community Development Department
Timeframe
Complete study by June 2026 and implement
recommended actions by December 2029
Funding Source
None required
Quantified Objective
Increase affordable housing units generated
by an amended Density Bonus Ordinance
Performance Metric(s)
Complete study
W Affordable Housing Overlay Zone (AHOZ)
Continue to encourage development of
housing affordable to all income levels on
property within this Town Overlay Zone. The
Overlay property on Knowles Avenue is a key
site for a mixed income affordable housing
project.
Implementation Policies
HE-3.1 Regulatory Incentives for Affordable
Housing
HE-2.7 Senior Housing
HE-2.8 Equal Housing and Special Needs
HE-2.9 Public/Private Partnerships
HE-2.11 Policy Smart Growth
Responsible Department/Review Authority
Community Development Department
Timeframe
Complete by 2025
Funding Source
None required
Quantified Objective
Retain AHOZ Overlay Zone
Performance Metric(s)
N/A
X Congregational Land Overlay Zone Implementation Policies
HCD Revised Draft Initial Review 2023-2031 Housing Element
10-50 HCD Revised Draft Initial Review 2023-2031 Housing Element October 202March 2023
Programs
Expand site opportunities by allowing
affordable housing on religious sites. Study
new Congregational Land Overlay to build
upon what is available through AB 1851 and
help congregations by connecting them with
affordable housing development partners.
HE-3.1 Regulatory Incentives for Affordable
Housing
HE-2.7 Senior Housing
HE-2.8 Equal Housing and Special Needs
HE-2.9 Public/Private Partnerships
HE-2.11 Policy Smart Growth
Responsible Department/Review Authority
Community Development Department
Timeframe
Complete by December 2025
Funding Source
None required
Quantified Objective
Facilitate a meeting between a congregation
and an affordable housing developer every
two years
Performance Metric(s)
Complete study
Y Nonprofit Affordable Housing Providers
Support the efforts of nonprofit affordable
housing organizations that provide housing
services in Los Gatos. Encourage the
participation of these providers in developing
housing and meeting the affordable housing
needs of Los Gatos households particularly
extremely low-income households. Staff will
meet with nonprofit groups on at least on an
annual basis to discuss constraints to
development and develop strategies and
actions for affordable housing development,
including incentives for the development of
affordable housing as provided under the
Affordable Housing Overlay Zone.)
Implementation Policies
HE-2.3 Mixed-Use Development
HE-2.7 Senior Housing
HE-2.8 Equal Housing and Special Needs
HE-2.9 Public/Private Partnerships
Responsible Department/Review Authority
Community Development Department
Timeframe
Annually Ongoing an annual effort
Funding Source
None required
Quantified Objective
Facilitate an annual meeting with nonprofit
groups
Performance Metric(s)
Develop possible incentives for affordable
housing
Z Increased Range of Housing Opportunities
for the Homeless
Continue to support the County of Santa
Clara’s Continuum of Care plan, as well as
the “Housing 1000” campaign by “Destination:
Home” to provide housing opportunities for
homeless households, including emergency
Implementation Policies
HE-2.8 Equal Housing and Special Needs
HE-2.9 Public/Private Partnerships
Responsible Department/Review Authority
Community Development Department
Timeframe
10. Housing Element
October 2022March 2023 HCD Revised Draft Initial Review 2023-2031 Housing Element 10-51
Programs
shelter, transitional housing, and permanent
affordable housing opportunities. January 2023 to January 2031Ongoing and
annual effort
Funding Source
County CDBG
Quantified Objective
Support nonprofit organzations
Performance Metric(s)
N/A
AA Reasonable Accommodation Ordinance
Continue to enforce Section 29.10.505–530 of
the Town Code to ensure equal access to
housing for persons with disabilities under the
Fair Housing Act and provide specific
procedures for requesting and granting
reasonable accommodations. Review
annually for trends and develop new
procedures and/or materials in response to
annual review.
Implementation Policies
HE-2.8 Equal Housing and Special Needs
Responsible Department/Review Authority
Community Development Department
Timeframe
Ongoing an annual effort
Funding Source
None required
Quantified Objective
Review annually and develop new
procedures, if needed
Performance Metric(s)
Complete annual review
AB Accessibility Design Features
Encourage residential development that
incorporates accessible design features to
meet the needs of as many users as possible.
The intent is to reduce the potential for
occupants to be displaced from their homes
due to disability, to allow those persons to visit
neighboring dwelling units, and to increase to
number of accessible dwelling units in the
local housing supply that meet long term
housing needs. Remove identified regulatory
constraints on housing for persons with
disabilities.
Implementation Policies
Policy HE-1.6 Universal Design
HE-2.8 Equal Housing and Special Needs
HE-2.9 Public/Private Partnerships
Responsible Department/Review Authority
Community Development Department
Timeframe
Review and update regulations as necessary;
at least every three years
Funding Source
None required
Quantified Objective
N/A
Performance Metric(s)
Number of projects implementing Universal
Design.
AC Housing Opportunities for Persons Living
with Disabilities Implementation
HE-1.6 Universal Design
HCD Revised Draft Initial Review 2023-2031 Housing Element
10-52 HCD Revised Draft Initial Review 2023-2031 Housing Element October 202March 2023
Programs
Support the provision of housing for the
disabled population, including persons with
developmental disabilities, through several
means, including:
By-right zoning for licensed residential
care facilities (six or fewer residents) in all
residential zones, and provisions for
larger care facilities (seven or more
residents) in multi-family residential zones
subject to a conditional use permit.
Treatment of supportive and transitional
housing as a residential use of property,
and subject only to those restrictions and
processing requirements that apply to
other residential dwellings of the same
type in the same zone.
Programs to facilitate affordable housing,
including Density Bonus and Affordable
Housing Overlay.
Encouraging affordable housing
developers to integrate supportive
housing units, increasing project
competitiveness for Tax Credits and other
funding sources.
Supporting the creation of ADUs in all
residential districts.
HE-2.8 Equal Housing and Special Needs
HE-6.1 Fair Housing
HE-6.3 Housing for Persons with Special
Needs
Responsible Department/Review Authority
Community Development Department
Timeframe
Complete by December 2025
Funding Source
None required
Quantified Objective
Zoning Code Amendment
Performance Metric(s)
Complete Zoning Code Amendment
AD Special Needs Housing
Prioritize special needs housing by allowing
for reduced processing times and streamlined
procedures for applicable zoning/land use
applications. Include preferential handling of
special needs populations in management
plans and regulatory agreements of funded
projects.
Implementation
HE-2.7 Senior Housing
HE-2.8 Equal Housing and Special Needs
HE-2.9 Public/Private Partnerships
HE-3.3 Efficient Development Processing
Responsible Department/Review Authority
Community Development Department
Timeframe
January 2028January 2023 to January 2031
Funding Source
None required
Quantified Objective
Establish streamline procedures for special
needs housing
Performance Metric(s)
Number of deed restricted special needs units
created.
AE Rental Dispute Resolution Program
Implementation
HE-6.6 Rental Dispute Mediation and
Arbitration Ordinance
10. Housing Element
October 2022March 2023 HCD Revised Draft Initial Review 2023-2031 Housing Element 10-53
Programs
Continue the administration of the Rental
Dispute Resolution Program and consider
revisions as necessary to make the program
as effective as possible in protecting both
tenants’ and landlords’ rights.
Responsible Department/Review Authority
Community Services Department
Timeframe
January 2023 to January 2031Ongoing and
annual effort
Funding Source
Program fees
Quantified Objective
Consideration of the program’s performance
every three years
Performance Metric(s)
Ongoing work with the Rental Dispute
Resolution Program
AF Rental Assistance for Persons with
Developmental Challenges
Work with local and/or regional partners to
provide rental assistance for persons with
developmental challenges. Efforts will include
the following:
Work with the California Department of
Developmental Services local Regional
Center to identify the housing needs
specific to developmentally challenged
persons residing in Los Gatos and assist
in identifying available housing that meets
those needs.
Encourage qualifying Regional Center
clients residing in Los Gatos to apply for
appropriate rental assistance programs.
Identify outside funding sources, such as
regional or State programs, that could
provide rental assistance for
developmentally challenged persons
living in Los Gatos.
Make referrals to non-profit service
providers with rental assistance or rental
voucher programs such as West Valley
Community Services and the Housing
Authority of Santa Clara County.
Implementation
HE-2.7 Senior Housing
HE-2.8 Equal Housing and Special Needs
HE-2.9 Public/Private Partnerships
Responsible Department/Review Authority
Community Development Department
Timeframe
Annually follow up on a periodic basis with
service providers to determine outcomes for
referrals and update referral process and
timelines accordingly 2023-2031 period
Funding Source
None required
Quantified Objective
N/A
Performance Metric(s)
Continue to support local and/or regional
partners
AG Supportive Services for the Homeless
Continue to support community and nonprofit
organizations that provide supportive services
for homeless persons in Los Gatos in part by
continuing to fund the Town's annual grant
and disseminating opportunities for other
agency funding to West Valley Community
Implementation
HE-2.3 Mixed-Use Development
HE-2.7 Equal Housing and Special Needs
Responsible Department/Review Authority
Town Manager
Timeframe
HCD Revised Draft Initial Review 2023-2031 Housing Element
10-54 HCD Revised Draft Initial Review 2023-2031 Housing Element October 202March 2023
Programs
Services (WVCS), in order to support its
Comprehensive Emergency Assistance
Program (CEAP).
January 2023 to January 2031Ongoing and
annual effort
Funding Source
Town of Los Gatos
Quantified Objective
N/A
Performance Metric(s)
Continue the use of the Town’s annual grant
opportunity
AH Stabilize Rents
Study and implement recommendations with
regard to the Town’s Rental Dispute
Mediation and Arbitration Ordinance 2128 to
help further stabilize rents for long-term
residents.
Implementation
HE-2.3 Mixed-Use Development
HE-2.4 Rental Housing
HE-6.6 Rental Dispute Mediation and
Arbitration Ordinance
Responsible Department/Review Authority
Community Development Department
Timeframe
Complete study by January 2024 2025 and
implement Municipal Code changes by June
20242025
Funding Source
Below Market Price Housing In-lieu Fees
Quantified Objective
Study improvement opportunities for the
Rental Dispute Mediation and Arbitration
Ordinance
Performance Metric(s)
Complete the study
AI Reduce Parking Standards
Initiate a study to determine specific updates
for the Municipal Code to address the
following:
Align parking requirements with the
preparation of Objective Design
Standards.
Reduce parking requirements near transit.
Remove guest parking requirements.
Allow parking to be unbundled from
residential units.
Implementation
3.1 Regulatory Incentives for Affordable
Housing
HE-2.7 Senior Housing
HE-2.8 Equal Housing and Special Needs
HE-3.1 Regulatory Incentives for Affordable
Housing
Responsible Department/Review Authority
Community Development Department
Timeframe
Complete study by January 2024 2025 and
implement Town Code changes by June 2025
Funding Source
None required
Quantified Objective
10. Housing Element
October 2022March 2023 HCD Revised Draft Initial Review 2023-2031 Housing Element 10-55
Programs
Zoning Code Amendment
Performance Metric(s)
Zoning Code Amendment
AJ Allow for 100 Percent Affordable
Residential Development in Mixed-Use
General Plan Designations
Amend the General Plan and the Municipal
Code to allow for 100 percent affordable
residential development without the
requirement of commercial uses.
Implementation
HE-3.1 Regulatory Incentives for Affordable
Housing
Responsible Department/Review Authority
Community Development Department
Timeframe
Implement General Plan and Municipal Code
changes by June 2024
Funding Source
None required
Quantified Objective
Amend the General Plan and Zoning Code
Performance Metric(s)
Amend the General Plan and Zoning Code
AK Housing Conditions Survey
Seek funding through the Below Market Price
Program funds, or other funding sources, to
conduct a survey of housing conditions in the
Town. The survey shall identify housing units
in need of rehabilitation or replacement.
Implementation
HE-4.1 Property and Housing Conditions
Responsible Department/Review Authority
Community Development Department
Timeframe
January 2023 to January 2031January 2028
Funding Source
Below Market Price Housing In-lieu
FeesTown Affordable Housing Fund
Quantified Objective
Document the number of housing units in
need of rehabilitation or replacement
Performance Metric(s)
Complete study
AL SB 35 Process Improvements
Develop an SB 35 checklist and written
procedures for processing SB 35 applications
to ensure efficient and complete application
processing.
Implementation
HE-3.3 Efficient Development Processing
HE-3.1 Regulatory Incentives for Affordable
Housing
Responsible Department/Review Authority
Community Development Department
Timeframe
Implement by December 2023
HCD Revised Draft Initial Review 2023-2031 Housing Element
10-56 HCD Revised Draft Initial Review 2023-2031 Housing Element October 202March 2023
Programs
Funding Source
Staff Time
Quantified Objective
Develop checklist and procedures
Performance Metric(s)
N/A
AM Low Barrier Navigation Centers
Amend the Zoning Code Definitions to include
the definition for “Low Barrier Navigation
Center” consistent with State law. Allow at
least two mixed-use zoning districts to permit
low barrier navigation centers as a by-right
use.
Implementation
HE-2.7 Equal Housing and Special Needs
Responsible Department/Review Authority
Community Development Department
Timeframe
Implement by December 2023
Funding Source
Staff Time
Quantified Objective
Zoning Code Amendment
Performance Metric(s)
Zoning Code Amendment
AN Fair Housing Law Education
Educate the community about landlords and
renters rights and responsibilities under Fair
Housing law, needs and benefits of affordable
housing, and available resources in the Town
by posting information on the Town’s website,
social media posts and/or brochures,
distributing information through the business
licensing recertification process, and posting
fair housing posters in Town Hall, the
community center and the library. The Town
will continue to work with and fund local
nonprofits, and to collaborate with local
homeless service providers to provide
information on homeless needs in the town.
Implementation
HE-6.4 Affordable Housing Awareness
Responsible Department/Review Authority
Community Development Department,
Finance Department, California Department of
Developmental Services
Timeframe
Resources posted by end of January 2023
Funding Source
Staff Time
Quantified Objective
Add 50 new subscribers to the Notify me
subscriber list
Performance Metric(s)
Number of new subscribers.
AO Transit Oriented Development
As part of the comprehensive Zoning Code
update, establish development standards for
transit-oriented development located within
Implementation
HE-2.10 11 Policy Smart Growth
Responsible Department/Review Authority
Community Development Department
10. Housing Element
October 2022March 2023 HCD Revised Draft Initial Review 2023-2031 Housing Element 10-57
Programs
existing transit areas that promote sustainable
land use practices which reduce vehicle trips
and allow for mixed-use developments as well
as stand-alone residential. In addition, the
Town shall provide for CEQA streamlining
consistent with the provisions of SB 375.
Timeframe
Implement Municipal Code changes by June
2025January 2023 to January 2031
Funding Source
Staff Time
Quantified Objective
Zoning Code Amendment
Performance Metric(s)
Zoning Code Amendment
AP Preserve “At-Risk” Affordable Housing
Units
Continue to monitor affordable, multi-family
housing units in the Town to ensure that they
retain their affordability status.
Implementation
HE-4.3 Home Affordability Preservation
Responsible Department/Review Authority
Community Development Department
Timeframe
Ongoing and annual effortJanuary 2023 to
January 2031
Funding Source
None required
Quantified Objective
Prepare annual “risk assessment” reports
Performance Metric(s)
Number of units preserved; number of
existing residents retained
AQ Rental Housing Conservation Program
Continue to implement Section 29.20.155 of
the Town Code that addresses conversions of
residential use, specifically Section
29.20.155(a)(2), which requires that any
proposed conversion satisfy the housing goals
and policies as set forth in the 2040 General
Plan.
Implementation
HE-2.4 Rental Housing
HE-4.1 Property and Housing Conditions
Responsible Department/Review Authority
Community Development Department
Timeframe
Ongoing and annual effortJanuary 2023 to
January 2031
Funding Source
None required
Quantified Objective
N/A
Performance Metric(s)
Continued implementation
AR CDBG and other Housing Rehabilitation
Programs Implementation
HE-4.1 Property and Housing Conditions
HCD Revised Draft Initial Review 2023-2031 Housing Element
10-58 HCD Revised Draft Initial Review 2023-2031 Housing Element October 202March 2023
Programs
Continue to participate in the County of Santa
Clara Community Development Block Grant
Joint Powers Authority to facilitate
participation in County CDBG Housing
Rehabilitation programs by Town residents.
HE-4.3 Home Affordability Preservation
Responsible Department/Review Authority
Community Development Department
Timeframe
Ongoing and annual effortJanuary 2023 to
January 2031
Funding Source
General Fund
Quantified Objective
N/A
Performance Metric(s)
Continue to participate
AS Countywide Home Repair Programs
Continue to support countywide programs
(Habitat for Humanity East Bay/Silicon Valley,
Rebuilding Together, Housing Trust of Santa
Clara County, etc.) that provide assistance
with minor home repairs and accessibility
improvements for lower income households,
including special needs households.
Support annual funding requests submitted by
rehabilitation agencies to the County of Santa
Clara, and provide local technical assistance
as needed to nonprofits submitting funding
applications to the County and/or applying for
building permits through the Town’s building
permit process.
Contribute funding from the Town’s Below
Market Price monies to support these
programs. The Continue to participate as a
member of the County of Santa Clara JPA.
Continue to provide staffing to the County
Technical Advisory Committee (TAC), which
reviews annual applications for funding and
helps formulate funding recommendations to
the Board of Supervisors.
Implementation
HE-4.1 Property and Housing Conditions
HE-6.3 Housing for Persons with Special
Needs
Responsible Department/Review Authority
Community Development Department; County
of Santa Clara
Timeframe
Ongoing and annual effortJanuary 2023 to
January 2031
Funding Source
None required
Quantified Objective
N/A
Performance Metric(s)
Continue participating and annual funding
requests
AT Energy Conservation Opportunities
Continue to enforce State of California Title 24
requirements for energy conservation.
Implementation
HE-5.1 Green Building
Responsible Department/Review Authority
Community Development Department
Timeframe
Ongoing and annual effortJanuary 2023 to
January 2031
10. Housing Element
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Programs
Funding Source
None required
Quantified Objective
N/A
Performance Metric(s)
Number of all electric housing units built
AU Residential Rehabilitation Program
Create a new program to assist lower income
homeowners, including senior and disabled
households, with funding for home repairs and
improvements. The program could incentivize
providing grants for the following activities:
accessibility improvements; exterior or interior
home repair; repair of fencing and/or
landscaping; plumbing; exterior painting; roof
repair; and similar activities.
Implementation
HE-4.1 Property and Housing Conditions
HE-5.1 Green Building
Responsible Department/Review Authority
Community Development Department
Timeframe
January 2023 to January 2031December
2027
Funding Source
Below Market Price Housing In-lieu
FeesTown Affordable Housing Fund
Quantified Objective
Provide rehabilitation to five low-income
homeowner units
Performance Metric(s)
Number of low-income homeowners assisted
AV Solar Energy
Continue to expedite solar panel installation
by requiring only ministerial building permits.
Implementation
HE-5.1 Green Building
HE-5.2 Solar Energy
Responsible Department/Review Authority
Community Development Department
Timeframe
Ongoing and annual effort Ongoing
Funding Source
None required
Quantified Objective
N/A
Performance Metric(s)
Number of solar improvements made
AW Town Housing Resources Guide
Continue to provide a guide to developments
that include affordable housing units as part of
Implementation
HE-5.1 Green Building
HE-6.4 Affordable Housing Awareness
Responsible Department/Review Authority
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Programs
the Housing Resources Guide posted on the
Town’s website, and available at Town Hall,
Library, and other Town facilities. Publicize
available warming/cooling centers as provided
by the Santa Clara County of Office of
Supportive Housing during inclement weather
episodes.
Community Development Department
Timeframe
Update list annually
Funding Source
None required
Quantified Objective
N/A
Performance Metric(s)
Continue to provide housing resources
AX Santa Clara County Fair Housing
Consortium
Support the efforts of the Santa Clara County
Fair Housing Consortium, as follows.
Continue to make referrals through Project
Sentinel and provide updated fair housing
information on the Town’s website and at
public locations through the Town, such as
the Adult Recreation Center, Library, Farmers’
Market and public kiosks. Through an ongoing
partnership with Project Sentinel, a member of
the Consortium and the Town’s service
administrator for the Rental Dispute
Resolution Program, Town staff is able to
attend the Consortiums annual Fair Housing
Symposium, receive training, and disseminate
fair housing information (including how to
contact Consortium agencies for assistance)
to members of the public who contact the
Town about a potential fair housing related
matter.
Implementation
HE-5.2 Solar Energy
HE-6.3 Housing for Persons with Special
Needs
Responsible Department/Review Authority
Community Development Department
Timeframe
Ongoing and annual effort January 2023 to
January 2031
Funding Source
None required
Quantified Objective
Counsel 10 tenants annually on
tenant/landlord concerns to prevent
displacement
Performance Metric(s)
Number of Tenants Counseled.
AY Senior Housing Resources
Provide regularly updated senior housing
resource materials at the Adult Recreation
Center, Library, and Farmers’ Market.
Implementation
HE-6.1 Fair Housing
HE-6.2 Financial Assistance
HE-6.3 Housing for Persons with Special
Needs
HE-6.4 Affordable Housing Awareness
Responsible Department/Review Authority
Community Development Department
Timeframe
Update materials annually
Funding Source
None required
Quantified Objective
N/A
10. Housing Element
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Programs
Performance Metric(s)
Continue to update senior housing resource
materials annually
AZ Developmental Challenges
Continue to work with the local California
Department of Developmental Services
Regional Center to proactively inform families
within Los Gatos about housing and services
available for persons with developmental
challenges, to include an informational
brochure, information on the Town’s website,
and housing-related training workshops for
individuals and families.
Implementation
HE-6.1 Fair Housing
HE-6.3 Housing for Persons with Special
Needs
HE-6.4 Affordable Housing Awareness
Responsible Department/Review Authority
Community Development Department,
California Department of Developmental
Services
Timeframe
Update materials annually
Funding Source
None required
Quantified Objective
N/A
Performance Metric(s)
Continue to provide housing and services
information
BA Use a Variety of Communication Methods
Broadcast information about available housing
resources through a variety of communication
methods across media, technological
nonprofit organizations and traditional in
person outreach methods, such as the
Farmers’ Market, Library, and community
center, with a particular focus on reaching the
very low- and low-income demographic and
those who may not have access to online
resources.
Implementation
HE-6.1 Fair Housing
HE-6.4 Affordable Housing Awareness
Responsible Department/Review Authority
Community Development Department,
California Department of Developmental
Services
Timeframe
Update materials quarterly Quarterly January
2023 to January 2031
Funding Source
None required
Quantified Objective
N/A
Performance Metric(s)
Continue to provide housing resources to very
low- and low-income demographics
BB Educate Single-Family Property Owners
Regarding In-Fill Housing Options
Implementation
HE-1.5 Variety of Housing Choices
HE-1.7 Infill Opportunities in Single-Family
Neighborhoods
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Programs
Create and distribute educational materials to
include information about the process to
construct ADU’s, multi-generational housing,
and options available with Senate Bill SB 9.
HE-6.1 Fair Housing
HE-6.4 Affordable Housing Awareness
Responsible Department/Review Authority
Community Development Department,
California Department of Developmental
Services
Timeframe
Update materials quarterlyQuarterly January
2023 to January 2031
Funding Source
None required
Quantified Objective
N/A
Performance Metric(s)
Number of Building Permits Issued for ADUs
and SB 9 projects
BC Zoning Text Amendments for Special
Needs Housing
Pursuant to recent changes in State law, the
Town’s Municipal Code may be modified to
better facilitate the provision of a variety of
housing types. These Code revisions include:
Amend parking standards for
emergency shelters from a ratio based
on the size of the structure to a ratio
based on the number of shelter staff
(per AB 139).
Eliminate current spacing requirements
between shelters and residentially
zoned properties and schools.
Develop and adopt by- right
processing procedures for Low Barrier
Navigation Centers (per AB 101).
Allow small employee housing (six or
fewer) in all zone districts where
single-family residential is permitted.
Allow Transitional Housing and
Supportive Housing developments by-
right in all zoning districts that permit
residential uses (per SB 2)
Develop a by-right, streamlined,
ministerial review of Supportive and
Transitional Housing developments
(per AB 2162).
Permit by-right Permanent Supportive
Housing and Transitional Housing in
zones where multi-family and mixed
Implementation
HE-2.7 Equal Housing and Special Needs
Responsible Department/Review Authority
Community Development Department
Timeframe
January 2024
Funding Source
None required
Quantified Objective
Amend the Zoning Code
Performance Metric(s)
Adopt Zoning Code Amendments
10. Housing Element
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Programs
uses are permitted, including
nonresidential zones permitting multi-
family uses (per Government Code
Section 65651)
Allow Employee Housing consisting of
up to 36 beds or 12 units in zones that
allow agricultural uses (per Health and
Safety Code Section 17000, et seq.).
Allow for group homes of seven and
more by right in residential districts,
and to conform with HCD’s Group
Home Technical Advisory (Dec 2022)
Modify language of Municipal Code
Section 29.10.530(5) of the mandatory
criteria for granting a reasonable
accommodation request to read,
“There would be no minimal impact on
surrounding uses.”
BD Affordable Development on Religious Sites
Pursue and expand development
opportunities by allowing affordable housing
on religious sites per AB 2244.
Implementation
HE-2.12 Housing on Land Owned by
Religious Institutions
Responsible Department/Review Authority
Community Development Department
Timeframe
Ongoing and annual effort
Funding Source
None required
Quantified Objective
Amend the Zoning Code
Performance Metric(s)
Number of units generated per AB 2244
BE Community Education on Housing Needs
Provide education on the problems and needs
of affordable housing as a means of changing
negative attitudes towards the provision of
affordable housing.
Implementation
HE-6.4 Affordable Housing Awareness
Responsible Department/Review Authority
Community Development Department
Timeframe
Ongoing and annual effort
Funding Source
None required
Quantified Objective
Provide education annually
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Programs
Performance Metric(s)
Provide education annually
BF Zoning Code Amendments
The Town will initiate a program to
reviseAmend the Zoning Code to comply with
State law and ensure adequate sites are
available to accommodate the identified sites
in the Sites Inventory. These Code revisions
include:
Amend the Zoning Code to include a
Housing Element Overlay Zone (HEOZ)
to apply to the sites included in the Site
Inventory to modify the development
standards (i.e., density, lot coverage,
FAR, height) on those sites.
Amend the Affordable Housing Overlay
Zone to increase the maximum allowable
density from 20 dwelling units per acre to
40 dwelling units per acre.
Clarify the text of the non-residential
zones regarding housing.
Rezone the Caltrans ROW Right of Way –
Site E3 from R:1:8 to R-M:5-12 to allow
residential development.
Amend the Accessory Dwelling Unit
Ordinance.
Amend the Density Bonus Ordinance.
Implementation
HE-1.1 Adequate Sites
HE-1.2 Multi-family Housing Densities
HE-2.11 Smart Growth
Responsible Department/Review Authority
Community Development Department
Timeframe
If the Housing Element is found in compliance
by January May 31, 2023, then rezonings will
be completed within 3 years and 120 days. If
it is not found in compliance by May 31, 2023,
then the rezonings will be completed within 1
year of January 1, 2024
Funding Source
General Plan Update Fund
Quantified Objective
Amend the Zoning Code
Performance Metric(s)
Number of affordable homeownership units
entitled. and numbers of units entitled for
moderate, low, and very-low households and
adopt the Zoning Code amendments
BG General Plan Amendment
Amend the General Plan to modify the
designation of Parcel 529-07-086 from Low
Density to Neighborhood Commercial, modify
the designation of the Cal Trans Right of Way
from Low Density Residential to Medium
Density Residential, and to establish new
maximum densities for the High Residential,
Medium Density Residential, Low Density
Residential, Mixed-Use, Neighborhood
Commercial, and Central Business District
land use designations to provide for the
development of housing for the sites in the
Site Inventory. See Program BF.
Implementation
HE-1.1 Adequate Sites
HE-1.2 Multi-family Housing Densities
HE-2.11 Smart Growth
Responsible Department/Review Authority
Community Development Department
Timeframe
If the Housing Element is found in compliance
by January May 31, 2023, then rezonings will
be completed within 3 years and 120 days. If
it is not found in compliance by May 31, 2023,
then the rezonings will be completed within 1
year of January 1, 2024
Funding Source
General Plan Update Fund
Quantified Objective
Adopt General Plan amendments
Performance Metric(s)
Adopt General Plan amendments
10. Housing Element
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Programs
BH Provide Adequate Sites for Housing, RHNA
Rezoning, and Lower Income Households
on Nonvacant and Vacant Sites Previously
Identified
Rezone sites as identified within Appendix D
to accommodate the Town’s RHNA and a 25
percent buffer to allow for compliance with No
Net Loss Provisions of SB 166.
Rezone the following sitesthe reuse sites
included below to meet density requirements
for lower-income households and allow
development by right pursuant to Government
Code section 65583.2(iH) and (I) when 20
percent or more of the units are affordable to
lower income households as identified in
Appendix I to accommodate the lower income
RHNA for sites that were previously identified
in past housing elements:
Parcel: 424-08-074;
Parcel: 424-08-057;
Parcel: 424-08-021;
Parcel: 424-06-116;
14823 Los Gatos Boulevard;
14831 Los Gatos Boulevard;
14849 Los Gatos Boulevard;
14859 Los Gatos Boulevard;
16392 Los Gatos Boulevard;
16210 Burton Road;
16240 Burton Road;
16245 Burton Road;
16250 Burton Road;
16260 Burton Road;
16270 Burton Road; and
110 Knowles Drive.
Implementation
HE-1.1 Adequate Sites
Responsible Department/Review Authority
Community Development Department
Timeframe
Sites rezoned no more than three years from
the beginning of the planning periodComplete
rezonings by January 2024
Funding Source
General Plan Update Fund
Quantified Objective
Adopt Zoning Code amendments
Performance Metric(s)
Rezone the sites included in Appendix H to
allow for compliance with the Town’s RHNA
and buffer. Rezone 16 reuse sites
BI Affirmative Marketing
The Town will work with affordable and
market rate housing developers to ensure that
affordable housing is affirmatively marketed to
households with disproportionate housing
needs, including Hispanic and Black
households who work in and live outside of
Los Gatos (e.g., materials in Spanish and
English, distributed through employers). The
Town will notify a broad representation of the
community to solicit ideas for housing
strategies when they are discussed at
Implementation
HE-6.4 Affordable Housing Awareness
Responsible Department/Review Authority
Community Development Department
Timeframe
As applications which propose new housing
units are submitted and available
Funding Source
General fund (staff time)
Quantified Objective
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Programs
Planning Commission or Town Council
meetings. Specific outreach activities include:
Maintain the Housing Element email
list and send public notices to all
interested public and non-profit
agencies and affected property
owners;
Post notices at the Community
Development Department and at the
Town library with information on the
type and number of units proposed for
a project and their expected
availability;
Publish notices in the local newspaper
with information on the type and
number of units proposed for a project
and their expected availability;
Post information and meeting
information on the Town’s website and
social media accounts with information
on the type and number of units
proposed for a project and their
expected availability; and
Provide notice to community groups
such as West Valley Community
Services with information on the type
and number of units proposed for a
project and their expected availability.
Number of marketing plans updated
Performance Metric(s)
Affirmatively market all affordable housing
opportunities
BJ Ordinance Amendments
Amend the following Ordinances to comply
with current State law:
Accessory Dwelling Unit Ordinance;
and
Density Bonus Ordinance.
Implementation
HE-2.6 Promote Accessory Dwelling Unit
Construction
Responsible Department/Review Authority
Community Development Department
Timeframe
Implement by December 2023
Funding Source
General fund (staff time)
Quantified Objective
N/A
Performance Metric(s)
Adopt Ordinance amendments
BK Replacement Unit Program
Adopt a policy requiring replacement housing
units subject to the requirements of
Government Code section 65915 (c)(3) when
new development occurs on a housing
Implementation
HE-1.1 Adequate Sites
Responsible Department/Review Authority
Community Development Department
10. Housing Element
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Programs
inventory site which currently has or within the
past five years had residential uses (existing,
vacated or demolished), and was legally
restricted to low-income households, or
subject to price control, or occupied by low-
income households.
Timeframe
Adopt a policy by January 2024 and apply the
policy as applications on sites within the Sites
Inventory are received and processed
Funding Source
General fund (staff time)
Quantified Objective
N/A
Performance Metric(s)
Adopt a policy requiring replacement housing
units
BL Senate Bill 9 Monitoring
Annually monitor the development of SB 9
applications every year beginning in 2023 to
better understand their role in the Los Gatos
housing market if trends indicate a potential
shortfall in meeting the estimated SB 9
development in the Sites Inventory, consider
additional efforts to incentivize SB 9
applications and reassess and revise the
overall sites strategy for the RHNA within one
year through adjusting SB 9 capacity
assumptions with actual permitted units,
and/or identifying additional sites to expand
site capacity to the extent necessary to
accommodate the RHNA.
Implementation
HE-1.1 Adequate Sites
Responsible Department/Review Authority
Community Development Department
Timeframe
Evaluate effectiveness of SB 9 approvals
every year beginning in 2023; and identify
additional incentives and/or site capacity, if
needed by 2025
Funding Source
General fund (staff time)
Quantified Objective
Prepare Annual Progress Report and issue 12
SB 9 building permits
Performance Metric(s)
Number of issued Building Permits
BM Story Poles and Netting Policy
Review Story Pole and Netting Policy and
explore options for residential or mixed-use
projects with affordable housing to reduce the
associated costs of installing story poles.
Implementation
Policy HE-3.1 Regulatory Incentives for
Affordable Housing
Responsible Department/Review Authority
Community Development Department
Timeframe
Implement by December 2023
Funding Source
General fund (staff time)
Quantified Objective
N/A
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Programs
Performance Metric(s)
Modify Story Pole Policy for affordable
housing projects
10. Housing Element
10.7 Glossary and Acronyms
October 2022March 2023 HCD Revised Draft Initial Review 2023-2031 Housing Element 10-64
A
Accessible. The ability to accommodate everyone
regardless of ability or pre-existing condition.
Accessory Dwelling Unit (ADU). An accessory
dwelling unit is a detached or attached dwelling unit.
It shall include permanent provisions for living,
sleeping, eating, cooking, and sanitation and is
generally smaller and located on the same parcel as
a proposed or exiting primary dwelling. An accessory
dwelling unit also includes efficiency units and
manufactured homes.
Acres (Gross). An acre is a measurement of land
area equal to 43,560 square feet. The gross acreage
of a lot includes all land within the boundaries of the
lot (including, but not limited to, easements). The
gross acreage is defined as the total area, measured
on a horizontal plane, and is the measure used for
determination of density and intensity calculations.
Acres (Net). A reduced lot size based average lot
slope or other factors and used for the purpose of
calculating the maximum allowed floor area or
density.
Affirmative Furthering Fair Housing. Taking
meaningful actions, in addition to combating
discrimination, that overcome patterns of segregation
and foster inclusive communities free from barriers
that restrict access to opportunity based on protected
characteristics. Specifically, affirmatively furthering
fair housing means taking meaningful actions that,
taken together, address significant disparities in
housing needs and in access to opportunity,
replacing segregated living patterns with truly
integrated and balanced living patterns, transforming
racially and ethnically concentrated areas of poverty
into areas of opportunity, and fostering and
maintaining compliance with civil rights and fair
housing laws. The duty to affirmatively further fair
housing extends to all of a public agency’s activities
and programs relating to housing and community
development. (Gov. Code, § 8899.50, subd. (a)(1).)”
Affordable Housing. Under State and Federal
statutes, affordable housing is housing which costs
no more than 30 percent of gross household income.
Housing costs include rent or mortgage payments,
utilities, taxes, insurance, homeowner association
fees, and other related costs.
Americans with Disabilities Act (ADA). A civil
rights law that prohibits discrimination against
individuals with disabilities in all areas of public life,
including jobs, schools, transportation, and all public
and private places that are open to the general
public.
Area Median Income (AMI). A key metric in
affordable housing. Area median income is defined
as the midpoint of a specific area’s income
distribution and is calculated on an annual basis by
the Department of Housing and Urban Development.
B
Below Market Program (BMP). The BMP Program
implements the Town of Los Gatos’ inclusionary
zoning ordinance, which requires that a portion of the
new residential construction in Los Gatos be
dedicated to affordable housing.
C
California Environmental Quality Act (CEQA).
State law that requires State and local agencies to
evaluate and disclose the significant environmental
impacts of discretionary actions and to avoid or
mitigate those impacts, if feasible.
Commercial. Retail, service, and entertainment
uses (e.g., shopping centers, smaller stores,
restaurants).
D
Density. Residential developments are regulated by
an allowed density range (minimum and maximum)
measured in “dwelling units per acre.” Residential
density is calculated by dividing the number of
housings units on the site (excluding accessory units)
by the gross lot area.
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Development. The subdivision of land; construction
or alteration of structures, roads, utilities, and other
facilities; installation of septic systems; grading
activities; depositing of refuse; disposal of any
material; dredging or mineral extraction, debris or fill
materials; and the clearing of natural vegetation with
the exception of agricultural activities. This does not
include routine repair and maintenance activities.
Dwelling Unit. A room or group of rooms (including
sleeping, eating, cooking, and sanitation facilities, but
not more than one kitchen) that constitutes an
independent housekeeping unit, occupied or intended
for occupancy by one household on a long-term
basis.
E
Environmental Justice. The fair treatment of
people of all races, cultures, incomes, political and
religious affiliation, and national origins with respect
to the development, adoption, implementation, and
enforcement of environmental laws, regulations, and
policies.
Equality. Is sameness; everyone gets the same
thing. Equality focuses on everyone getting the same
opportunity, but often ignores the realities of historic
exclusion and power differentials among whites and
other racialized groups.
Equity. Ensures that outcomes in the conditions of
well-being are improved for marginalized groups,
lifting outcomes for all. Equity is a measure of justice.
F
Federal Fair Housing Act of 1968. Prohibits
discrimination concerning the sale, rental, and
financing of housing based on race, color, religion,
national origin, - and was later amended to include
familial status and disability.
Fire Hazard Severity Zone. A mapped area that
designates zones, based on factors such as fuel,
slope, and fire weather, with varying degrees of fire
hazard (e.g., moderate, high, and very high).
Floor Area Ratio (FAR). Total building size is
regulated by a maximum FAR standard. FAR means
the gross floor area of a building or buildings on a
zoning plot divided by the area of such zoning plot.
Floor area means the entire enclosed area of all
floors that extend more than four (4) feet above the
existing or proposed grade, measured from the outer
face of exterior walls or in the case of shared walls
from the centerline. The maximum FAR standard
limits the overall size of development on a property.
G
Goal. A statement that describes, in general terms, a
desired future condition or “end” state. Goals
describe ideal future conditions for a topic and tend to
be very general and broad.
H
Housing Element Advisory Board. A Town
Council appointed advisory board for preparation of
the Housing Element.
I
Implementation Program. An action, activity, or
strategy to be taken by the Town to carry out an
adopted policy to achieve a specific goal or objective.
Infill Development. Development of vacant or
underutilized land (usually individual lots or leftover
properties) within areas that are already largely
developed.
Intensity. Developments are regulated by an
allowed intensity, measured by a maximum FAR.
Intensity is a measure of the extent to which a land
parcel is developed in conformity with the zoning
J
K
L
Land Use Designation. A specific geographic
designation with associated land use or management
policies and regulations.
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Lot Coverage. Lot coverage is the percentage of a
lot that is covered by all buildings compared to the
total area of the lot.
M
Missing Middle Housing. Missing middle housing is
a term used to describe a range of house-scale
buildings with multiple units that are compatible in
scale and form with detached single-family homes.
Common housing types include duplexes; triplexes;
fourplexes; courtyard apartments; cottage courts;
townhomes; triplex stacked (vertical); and live-work
spaces. Also referred to as “Small Multi-Unit
Housing”.
Mixed-Use Development. Development projects
where a variety of uses such as office, commercial,
institutional, and residential are combined in a single
building or on a single site in an integrated project.
These developments are regulated by both the
maximum residential density (units per acre) and
maximum FAR standard that incorporates both the
residential and non-residential building floor areas.
Multi-Family Residential. Residential buildings
containing units built one on top of another and those
built side-by-side which do not have a ground-to-roof
wall and/or have common facilities (i.e., attic,
basement, heating plant, plumbing, etc.). Accessory
dwelling units (ADUs) are not considered multi-family
residential.
N
O
Objective Design Standards. Objective standards
are defined under State law as “standards that
involve no personal or subjective judgement by a
public official and are uniformly verifiable by
reference to an external or uniform benchmark or
criteria available and knowable by both the
development applicant or proponent and the public
official prior to submittal “(California Government
Code, Section 65913.4).
P
Persons With Special Needs. Includes extremely
low-income households, seniors, overcrowded and
large-family households, the homeless population,
those in need of emergency shelter, youth aging out
of foster care, female-headed or single-parent
households, and persons with disabilities, including
developmental challenges.
Planning Commission. An appointed commission
responsible for conducting public hearings on the
General Plan and Zoning Code modifications,
considering the input of the public, and making
recommendations to the Town Council on these
matters.
Planned Development. The Planned Development
(PD) overlay zone provides alternative standards for
housing developments with a minimum of 40 percent
of the units affordable to households of very low, low,
or moderate income.
Policy. A statement that guides a specific course of
action for decision-makers to achieve a desired goal.
Q
R
Regional Housing Need Allocation (RHNA). A
State-mandated process to identify the total number
of housing units (by affordability level) that each
jurisdiction must accommodate in its Housing
Element.
S
Setback. The distance between a building and the
property line or other buildings.
Single-Family Residential. Land with detached
buildings with not more than one primary dwelling
unit for residential uses, such as single-family homes,
townhomes, and condominiums.
Specific Plan. A planning tool authorized by
Government Code Section 65450, et seq., for the
systematic implementation of the General Plan for a
defined portion of a community’s planning area. A
specific plan must specify in detail the land uses,
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public and private facilities needed to support the
land uses, phasing of development, standards for the
conservation, development, and use of natural
resources, and a program of implementation
measures, including financing measures.
Small Multi-Unit Housing. Also known as “Missing
middle housing” is a term used to describe a range of
house-scale buildings with multiple units that are
compatible in scale and form with detached single-
family homes. Common housing types include
duplexes; triplexes; fourplexes; courtyard apartments;
cottage courts; townhomes; triplex stacked (vertical);
and live-work spaces.
T
Town Council. The political body which formulates
and implements policies in Los Gatos. It is the Town
Council, through its decision-making authority, that
affirms the policy direction and priorities contained
within this General Plan. The Town Council is
ultimately responsible for adoption of the General
Plan, as well as the regulations, capital improvement
programs, and financing mechanisms that implement
the General Plan.
U
V
Vacant Land. Land that is not actively used for any
purpose, including land that is not improved with
buildings or site facilities and is sizeable in area to
accommodate development.
W
Wildland/Urban Interface (WUI). Areas where
homes or other structures are built near or among
lands prone to wildland fire.
X
Y
Z
Zoning. The division of the Town into districts, and
the application of different regulations in each district.
Zoning District. A part of the community designated
by the local zoning ordinance for specific of land
uses, such as single-family residential or
neighborhood commercial uses. Only the primary
permitted land uses, their accessory uses, and any
conditional uses permitted in the zoning district may
be placed on the land in that part of the community.
Zoning Ordinance. The adopted zoning and
planning regulations of a town, city, or county that
establish development standards for each zone, such
as minimum lot size, maximum height of structures,
building setbacks, and yard size.
10. Housing Element
October 2022March 2023 HCD Revised Draft Initial Review 2023-2031 Housing Element 10-64
List of Acronyms
AB Assembly Bill
ABAG Association of Bay Area Governments
ADA Americans with Disabilities Act
ADU Accessory dwelling unit
AFFH Affirmative Furthering Fair Housing
AHOZ Affordable Housing Overlay Zone
AMI Area Median Income
BMP Below Market Program
CBD Central Business District land use
designation
CC Community Commercial land use
designation
CD Community Design Element
CEQA California Environmental Quality Act
CMU Mixed-Use land use designation
CUP Conditional Use Permit
DFEH California Department of Fair
Employment in Housing
du/ac Dwelling units per acre
EIR Environmental Impact Report
FAR Floor area ratio
FFH Federal Fair Housing Act
HCD Department of Housing and Community
Development
HDR High Density Residential land use
designation
HDS&G Hillside Development Standards and
Guidelines
HEAB Housing Element Advisory Board
HR Hillside Residential land use designation
HUD Department of Housing and Urban
Development
LDR Low Density Residential land use
designation
LHP Landmark and Historic Preservation
Zone
LI Light Industrial land use designation
LID Low Impact Development
LU Land Use Element
MDR Medium Density Residential land use
designation
MTC Metropolitan Transportation
Commission
MU Mixed-Use land use designation
NFHA National Fair Housing Alliance
NF-SP North Forty Specific Plan
PD Planned Development
PS Public School Zone
RHNA Regional Housing Needs Allocation
RHND Regional Housing Needs Determination
RHM Mobile Home Residential
SB Senate Bill
WUI Wildland/Urban Interface
.
Affirmatively Furthering Fair Housing Report A
APPENDIX
Appendix A. AFFH Report
October 2022March 2023 Appendix A A-1
A.1 What is AFFH?
The State of California’s 2018 Assembly Bill (AB 686) requires that all public agencies in the state affirmatively
further fair housing (AFFH) beginning January 1, 2019. Public agencies receiving funding from the U.S.
Department of Housing and Urban Development (HUD) are also required to demonstrate their commitment to
AFFH. The Federal obligation stems from the fair housing component of the Federal Civil Rights Act mandating
Federal fund recipients to take “meaningful actions” to address segregation and related barriers to fair housing
choice.
AB 686 requires all public agencies to “administer programs and activities relating to housing and community
development in a manner that affirmatively furthers fair housing and take no action inconsistent with this
obligation.”1
AB 686 also makes changes to Housing Element Law to incorporate requirements to of AFFH as part of the
Hhousing Eelement and General Plan to include an analysis of fair housing outreach and capacity, integration
and segregation, access to opportunity, disparate housing needs, and current fair housing practices.
Affirmatively Furthering Fair Housing
“Affirmatively furthering fair housing” means taking meaningful actions, in addition to
combating discrimination, that overcome patterns of segregation and foster inclusive communities
free from barriers that restrict access to opportunity based on protected characteristics.
Specifically, affirmatively furthering fair housing means taking meaningful actions that, taken
together, address significant disparities in housing needs and in access to opportunity, replacing
segregated living patterns with truly integrated and balanced living patterns, transforming racially
and ethnically concentrated areas of poverty into areas of opportunity, and fostering and
maintaining compliance with civil rights and fair housing laws. The duty to affirmatively further fair
housing extends to all of a public agency’s activities and programs relating to housing and
community development. (Gov. Code, § 8899.50, subd.(a)(1).)”
Source: California Department of Housing and Community Development Guidance, 2021, page 14.
Analysis of the 5th Cycle Housing Element
Goals of the Previous Housing Element
Many of the goals, policies, and programs that were presented in the 5th Cycle Housing Element are still
applicable to the current 6th Cycle Housing Element. Some of the goals, policies, and programs included in this
Housing Element serve as a continuation of policies identified within the previous Housing Element; whereas,
others are new and concentrate more on promoting AFFH. The following are a list of goals from the 5th Cycle
Housing Element:
Goal HOU-1: Expand the choice of housing opportunities for all economic segments of the community
by supporting the development of affordable housing in a variety of types and sizes, including a
mixture of ownership and rental housing.
Goal HOU-2: Maintain and/or adopt appropriate land use regulations and other development tools to
encourage the development of affordable housing that is compatible with the neighborhood and the
community.
1 California Department of Housing and Community Development Guidance, 2021, page 9.
HCD Revised Draft Initial Review 2023-2031 Housing Element
A-2 Appendix A October 2022March 2023
Goal HOU-3: Preserve existing residential opportunities, including the existing affordable housing
stock.
Goal HOU-4: Ensure that all persons have equal access to housing opportunities.
Goal HOU-5: Retain and expand affordable housing opportunities for seniors.
Goal HOU-6: Mitigate Town governmental constraints to affordable and special needs housing
development.
Goal HOU-7: Encourage residential construction that promotes green building and energy
conservation practices.
Goal HOU-8: Ensure that the Town has sufficient resources and takes appropriate measures to
implement the Housing Element.
Goal HOU-9: Maintain the Town’s 2005 jobs-to-household ratio of 1.5 jobs per household.
Production of Housing
The 5th Cycle Housing Element identified a Regional Housing Needs Allocation (RHNA) of 619 housing units in
Los Gatos between January 1, 2015, and January 31, 2023. The RHNA was divided into the following income
categories:
100 units affordable to extremely low-income households.
101 units affordable to very low-income households.
112 units affordable to low-income households.
132 units affordable to moderate-income households.
174 units affordable to above moderate-income households.
During the 2015–2023 planning period, approximately 502 new units were added to the Town’s housing stock,
achieving approximately 83 percent of the Town’s RHNA. Units affordable to moderate- and lower-income
households that were created during the planning period include density bonus senior rental units (North Forty
Phase I), an attached condominium (Union Avenue), detached townhomes (Knowles Avenue) produced through
the BMP program, and accessory dwelling units. For a deeper analysis of the previous Housing Element Update,
refer to Appendix E.
Meaningful Steps towards AFFH
In comparison to other jurisdictions within Santa Clara County, the Town of Los Gatos takes a unique approach to
furthering AFFH. In addition to the Town’s overarching goal of furthering AFFH and creating more housing
opportunities, the Town has made a concentrated effort to assist the most vulnerable populations. These
vulnerable populations include, but are not limited to: the elderly; large households; extremely low income
households; individuals experiencing homelessness; and individuals with disabilities. Many of the programs
identified in this 6th Cycle Housing Element are designed to create a measurable impact on the affordable housing
options provided to the afore-mentioned populations. These policies include:
Implementation Program J: Helping Seniors Program
Implementation Program L: Rental Housing for Large Families
Implementation Program P: Funds for Development for Extremely Low Income (ELI) Households
Implementation Program Q: Habitat for Humanity Home Repair Program
Implementation Program Z: Increased Range of Housing Opportunities for the Homeless
Implementation Program AB: Accessibility Design Features
Implementation Program AC: Housing Opportunities for Persons Living with Disabilities
Implementation Program AD: Special Needs Housing
Implementation Program AF: Rental Assistance for Persons with Developmental Challenges
Implementation Program AG: Supportive Services for the Homeless
Implementation Program AH: Stabilize Rents
Appendix A. AFFH Report
October 2022March 2023 Appendix A A-3
The Town of Los Gatos implements these programs through funding allocation or through partnerships with other
local organizations and jurisdictions.
A.2 History of Segregation in the Region
The United States’ oldest cities have a history of mandating segregated living patterns and Northern California
cities are no exception. ABAG, in its recent Fair Housing Equity Assessment, attributes segregation in the Bay
Area to historically discriminatory practices, highlighting redlining and discriminatory mortgage approvals as well
as “structural inequities” in society, and “self-segregation” (i.e., preferences to live near similar people).
Researcher Richard Rothstein’s 2017 book The Color of Law: A Forgotten History of How Our Government
Segregated America chronicles how the public sector contributed to the segregation that exists today. Rothstein
highlights several significant developments in the Bay Area region that played a large role in where the region’s
non-White residents settled.
In 1955, builders began developing workforce housing for the Ford Corporation’s plant in the Bay Area, including
Santa Clara County. Initially the units were segregated as no one would sell to the local Black/African American
workers. The American Friends Service Committee (AFSC) worked to find builders who would build integrated
subdivisions. Unfortunately, after four purchased plots were subsequently rezoned to prevent integrated housing,
the original builder quit. After multiple additional iterations, Black/African American workers had “become so
discouraged about finding housing opportunities” that they began carpooling from outside cities such as
Richmond2.
A 2018 Berkeley publication titled, Racial Segregation in the San Francisco Bay Area, describes Los Gatos
among the “most segregated, heavily white cities in the county” with Santa Clara County containing “no truly
integrated city”3. The study also delved into the history of segregation, highlighting 1960s-era laws and practices
connected to urban renewal projects that displaced established communities of color. This was coupled with the
building of transportation infrastructure that resulted in a net loss of affordable housing due to a lack of one-for-
one replacement. Figure A-1 through Figure A-7 illustrates the demographic distribution within the Santa Clara
County.
2 Source: book The Color of Law: A Forgotten History of How Our Government Segregated America by Richard Rothstein, p 121.
3 Racial Segregation in the San Francisco Bay Area, Part 1 | Othering & Belonging Institute (berkeley.edu)
HCD Revised Draft Initial Review 2023-2031 Housing Element
A-4 Appendix A October 2022March 2023
Figure A-1 Percent Non-White Population by Census Block Groups, 2018
Source: California Department of Housing and Community Development AFFH Data Viewer
Appendix A. AFFH Report
October 2022March 2023 Appendix A A-5
Figure A-2 White Majority Census Tracts
Source: California Department of Housing and Community Development AFFH Data Viewer
HCD Revised Draft Initial Review 2023-2031 Housing Element
A-6 Appendix A October 2022March 2023
Figure A-3 Asian Majority Census Tracts
Source: California Department of Housing and Community Development AFFH Data Viewer
Appendix A. AFFH Report
October 2022March 2023 Appendix A A-7
Figure A-4 Hispanic Majority Census Tracts
Source: California Department of Housing and Community Development AFFH Data Viewer
HCD Revised Draft Initial Review 2023-2031 Housing Element
A-8 Appendix A October 2022March 2023
Figure A-5 Neighborhood Segregation by Census Tract, 2019
Source: California Department of Housing and Community Development AFFH Data Viewer
Appendix A. AFFH Report
October 2022March 2023 Appendix A A-9
Figure A-6 Diversity Index by Block Group, 2010
Source: California Department of Housing and Community Development AFFH Data Viewer
HCD Revised Draft Initial Review 2023-2031 Housing Element
A-10 Appendix A October 2022March 2023
Figure A-7 Diversity Index by Block Group, 2018
Source: California Department of Housing and Community Development AFFH Data Viewer
Appendix A. AFFH Report
October 2022March 2023 Appendix A A-11
History of Segregation in the Region
This history of segregation in the region is important not only to understand how residential
settlement patterns came about—, but, more importantly, to explain differences in housing
opportunity among residents today. In sum, not all residents had the ability to build housing
wealth or achieve economic opportunity. This historically unequal playing field in part determines
why residents have different housing needs today.
In addition to historical discriminatory practices that embedded segregation into living patterns throughout the Bay
Area, it’s also necessary to recognize the historical impacts of colonization and genocide on Indigenous
populations and how the effects of those atrocities are still being felt today. The original inhabitants of present-
day San Mateo County are the Ramaytush Ohlone, who have “…lived on the San Francisco Peninsula for
thousands of years and continue to live here as respectful stewards of the land”4. However, “[d]ue to the
devastating policies and practices of a succession of explorers, missionaries, settlers, and various levels of
government over the centuries since European expansion, the Ramaytush Ohlone lost the vast majority of their
population as well as their land”5. The lasting influence of these policies and practices have contributed directly to
the disparate housing and economic outcomes collectively experienced by Native populations today6.
The timeline of major Federal Acts and court decisions related to fair housing choice and zoning and land use
appears on the following page.
As shown in the timeline, exclusive zoning practices were common in the early 1900s. Courts struck down only
the most discriminatory and allowed those that would be considered today to have a “disparate impact” on
classes protected by the Fair Housing Act. For example, the 1926 case Village of Euclid v. Amber Realty Co.
(272 U.S. 365) supported the segregation of residential, business, and industrial uses, justifying separation by
characterizing apartment buildings as “mere parasite(s)” with the potential to “utterly destroy” the character and
desirability of neighborhoods. At that time, multifamily apartments were the only housing options for people of
color, including immigrants.
The Federal Fair Housing Act was not enacted until nearly 60 years after the first racial Zoning Ordinances
appeared in U.S. cities. This coincided with a shift away from Federal control over low-income housing toward
locally-tailored approaches (block grants) and market-oriented choice (Section 8 subsidies), the latter of which is
only effective when adequate affordable rental units are available.
Racial covenants were used across the United States, and though they are now illegal, the language remains in
many property records. A homeowner may not even know that their deed includes a racial covenant, it is easily
missed in the paperwork that comes with buying a home. It is unknown in the Town of Los Gatos how many
deeds have racial covenants attached to them due to localized public record-keeping and the fact that the
language can be buried within the document.
4 https://www.smcoe.org/for-communities/indigenous-people-of-san-mateo-county.html
5 https://www.smcoe.org/for-communities/indigenous-people-of-san-mateo-county.html
6 https://www.americanprogress.org/article/systemic-inequality-displacement-exclusion-segregation/
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A-12 Appendix A October 2022March 2023
Major Public and Legal Actions that Influence Fair Access to Housing
A.3 Report Content and Organization
This Fair Housing Assessment follows the April 2021 State of California State Guidance for AFFH.
Section I. Fair Housing Enforcement and Outreach Capacity reviews lawsuits/enforcement
actions/complaints against the jurisdiction; compliance with State fair housing laws and regulations; and
jurisdictional capacity to conduct fair housing outreach and education.
Section II. Integration and Segregation identifies areas of concentrated segregation, degrees of segregation,
and the groups that experience the highest levels of segregation
Section III. Access to Opportunity examines differences in access to education, economic development, and
healthy environments.
Section IV. Disparate Housing Needs identifies which groups have disproportionate housing needs including
displacement risk.
Section V. Contributing Factors and Fair Housing Action Plan identifies the primary factors contributing to
fair housing challenges and the Plan for taking meaningful actions to improve access to housing and economic
opportunity.
Appendices
Map and Data packet, including Fair Housing Organizations in Santa Clara County —mission, services,
and contact information
State Fair Housing Laws and Regulations—, summary of key State laws and regulations related to
mitigating housing discrimination and expanding housing choice
Appendix A. AFFH Report
October 2022March 2023 Appendix A A-13
A.4 Primary Findings
This section summarizes the primary findings from the Fair Housing Assessment for Los Gatos including the
following sections: fair housing enforcement and outreach capacity, integration and segregation, access to
opportunity, disparate housing needs, and contributing factors and the Town’s Fair Housing Action Plan.
Population growth trends in Los Gatos are significantly lower than the county and regional index rates.
The Town has grown 15 percent since 1990, while Santa Clara County grew by 31 percent.
Los Gatos diverges from the county and region overall in racial composition with more than double the
county share of non-Hispanic White population (72 percent versus 32 percent for Santa Clara County).
Yet Los Gatos’ residents have grown more racially diverse since 2000 with the non-Hispanic white
population declining by 14 percentage points and Asian residents increasing in population from eight
percent to 15 percent in 2019.
Conversely, the types of households in Los Gatos mirror the county and are similar to the Bay Area with 58
percent married couples (57 percent in Santa Clara County and 51 percent in the Bay Area). Household
size is in line with the county, except for five or more person households, for which Los Gatos has a
smaller share.
Los Gatos has a higher share of high-income earners (greater than 100 percent AMI) than the county and
Bay Area (65 percent versus 55 percent and 52 percent respectively). Accounting for race and ethnicity,
Asian households are much more likely to comprise high income earners (72 percent), especially when
compared to Black/African American and Hispanic households (50 percent and 46 percent, respectively).
In 2015, the income segregation in Los Gatos between lower-income residents and other residents was
higher than the average value for Bay Area jurisdictions. Segregation also exists among racial groups, yet
is slowly declining.
Poverty rates are minimal but do vary across races and ethnicities with Hispanic residents experiencing
the highest poverty rate (although still a very low six percent) and Black/African Americans the lowest (0.7
percent).
The job to household ratio for Los Gatos tracks closely with Bay Area and is lower than Santa Clara
County’s, indicating that Los Gatos is less of a commuter Town than surrounding jurisdictions with much
higher job to household ratios. This differs, however, by wage, with jobs to household ratios much higher
for low wage workers who cannot afford to live in the Town. Los Gatos has twice as many jobs as
households for low wage jobs.
Los Gatos’ housing opportunities are limited by pricing, and both rental and home values are higher than
the county median. Eighty-three percent of houses are valued at more than one million dollars; Zillow
reports Los Gatos’ market average value at more than three million dollars. The average value of homes
in Los Gatos is 63 percent higher than the County’s 1.3-million-dollar average value. Sixty-three percent of
rentals charge 2,000 dollars or more a month, compared to 56 percent in Santa Clara County. Los Gatos
does not have any public housing and only a small portion of the Town contains any Housing Choice
Voucher usage, a minimal 0-5 percent.
Nearly three-quarters of the Town’s housing are single-family units.
Housing cost burden in Los Gatos is lower than nearby cities but differs by race and ethnicity, —and by
tenure (renters/owners). Asian households experience the lowest rates of cost burden (30 percent) in the
Town, followed by non-Hispanic White households (31 percent). This is followed by Black/African
American household (34 percent) and Hispanic households (37 percent). Other/Multiple Race households
(45 percent) are the most likely to be cost burdened (45 percent). Owners experience cost burden at a
lower rate (28 percent) than renters (42 percent).
HCD Revised Draft Initial Review 2023-2031 Housing Element
A-14 Appendix A October 2022March 2023
Mortgage denial rates vary little by race and ethnicity, with 55 percent to 65 percent of loans originated.
Other than Asian applicants, however, applications from non-White applicants are very low in numbers.
Saratoga Elementary School, Los Gatos Union Elementary School, and Los Gatos-Saratoga Union High
School Districts serve the majority of Los Gatos residents. The most up-to-date performance rankings
show that the Los Gatos-Saratoga high school with very few Black/African American or Native American
students. Asian students experienced higher educational outcomes compared to other students, scoring
93.8 percent in a 2019 College/Career Indicator metric. White and Hispanic students scored 71 percent
and 64.6 percent, respectively.
A.5 Contributing Factors and Fair Housing Issues
The disparities in housing choice and access to opportunity discussed above stem from historical actions in the
broader region, socioeconomic factors that have limited employment and income growth among non-White and
Hispanic residents, and a shortage of housing units built to accommodate growth.
Fair Housing Issue
Los Gatos’ very low production of affordable and market rate housing limits housing choices of all
but the highest income households.
Contributing factors:
Since 2010, Los Gatos added 2,000 residents while not producing sufficient housing to accommodate the
population growthonly building 342 housing units. This lack of production has exacerbated an already tight
housing market.
To address this issue, the 6th Cycle Housing Element includes Implementation Program B:
“Large Site Program” and Implementation Program D: “Additional Housing Capacity”, along with
other implementation programs, as a means to increase affordable housing production.
The housing that was added in Los Gatos between 2015 and 2019 was largely priced for above moderate-
income households. Only 1.5 percent of housing permits approved were for low- or very- low-income
housing.
Under the 6th Cycle Housing Element, the Town will improve the Below Market Price (BMP)
Program by conducting a study to evaluate the existing BMP Program and recommend changes
to the program to increase the number of units constructed.
Fair Housing Issue
Los Gatos’ lack of affordable housing has a disproportionate impact on low- and moderate-income
households who are more likely to be households of color. As such, Los Gatos lacks racial and
ethnic diversity relative to the Ccounty overall.
Appendix A. AFFH Report
October 2022March 2023 Appendix A A-15
Contributing factors:
Black or African American and Hispanic residents typically work lower wage jobs, stemming from historical
employment discrimination and lack of access to quality educational environments. These jobs do not
support the Town’s very high housing costs.
Low wage jobs are necessary to support higher wage industries. Los Gatos’ employment growth has not
been adequately supported by affordable housing development. As such, there are twice as many low
wage jobs as residents in Los Gatos who work those jobs.
To address these particular contributing factors, the 6th Cycle Housing Element includes
Implementation Program BI: “Affirmative Marketing” to work with affordable and market rate
housing developers to ensure that affordable housing is affirmatively marketed to households with
disproportionate housing needs, including Hispanic and Black households who work in and live
outside of Los Gatos (e.g., materials in Spanish and English, distributed through employers). The
Town will notify a broad representation of the community to solicit ideas for housing strategies
when they are discussed at Planning Commission or Town Council meetings.
Fair Housing Issue
Los Gatos’ households are segregated by income, and income segregation is higher in the Town
than in other Bay Area jurisdictions.
Contributing factors:
Lack of affordable housing overall.
The Town will address this issue by allocating a percentage of the Town Affordable Housing
(Below Market Price) Fund to subsidize housing for extremely low-income households as
identified in Implementation Program P.
Segregation of the limited affordable housing that does exist into the north central portion of the Town.
The Town will use “Affirmative Marketing” strategies, as described in Implementation Program BI,
to work with affordable and market rate housing developers to ensure that affordable housing is
affirmatively marketed to households with disproportionate housing needs, including Hispanic and
Black households who work in and live outside of Los Gatos (e.g., materials in Spanish and
English, distributed through employers). The Town will also amend its Zoning Ordinances in order
to increase the development of affordable housing.
Fair Housing Issue
Los Gatos feeds to high performing schools, yet, except for Asian students, students of color
cannot take advantage of these learning opportunities because they cannot afford to live in Los
Gatos.
Contributing factors:
Lack of affordable housing overall.
HCD Revised Draft Initial Review 2023-2031 Housing Element
A-16 Appendix A October 2022March 2023
The Town will address this issue by allocating a percentage of the Town’s Affordable Housing
(Below Market Program) funds to subsidize housing for extremely low-income households and by
including housing development sites on the Site Inventory in all areas of Town.
A.6 Fair Housing Enforcement and Outreach Capacity
This section discusses fair housing legal cases and inquiries, fair housing protections and enforcement, and
outreach capacity. Figure A-8 provides a summary of fair housing complaints and inquiries in Los Gatos and the
County.
Figure A-8 Fair Housing Complaints and Inquiries in Los Gatos and Santa Clara County
Source: Root Policy Research
Fair housing legal cases and inquiries. California fair housing law extends beyond the protections in the Federal
Fair Housing Act (FHA). In addition to FHA protected classes—, race, color, ancestry/national origin, religion,
disability, sex, and familial status—. California law offers protections for age, sexual orientation, gender identity or
Appendix A. AFFH Report
October 2022March 2023 Appendix A A-17
expression, genetic information, marital status, military or veteran status, and source of income (including Federal
housing assistance vouchers).
The California Department of Fair Employment in Housing (DFEH) was established in 1980 and is now the largest
civil rights agency in the United States. According to their website, DFEH’s mission is, “to protect the people of
California from unlawful discrimination in employment, housing and public accommodations (businesses) and
from hate violence and human trafficking in accordance with the Fair Employment and Housing Act (FEHA),
Unruh Civil Rights Act, Disabled Persons Act, and Ralph Civil Rights Act”7.
DFEH receives, evaluates, and investigates fair housing complaints. DFEH plays a particularly significant role in
investigating fair housing complaints against protected classes that are not included in Federal legislation and,
therefore, not investigated by HUD. DFEH’s website provides detailed instructions for filing a complaint, the
complaint process, appealing a decision, and other frequently asked questions8. Fair housing complaints can
also be submitted to HUD for investigation.
Additionally, Santa Clara County has a number of local resource and enforcement organizations:
Project Sentinel: Assists with housing discrimination, mortgage foreclosures, rental issues, and more.
Housing and Economic Rights Advocates (HERA) provides legal and advocacy for vulnerable Californians
facing discrimination and economic abuses.
Bay Area Legal Aid engages in broad advocacy focused on helping low-income Bay Area residents lead
stable lives, including housing stability.
The Law Foundation of Silicon Valley provides legal advocacy for social change with a focus on finding
stable homes for low-income residents.
Senior Adults Legal Assistance is a law office dedicated to supporting elder residents obtain independent
living.
From 2013 to 2021, 391 fair housing complaints in Santa Clara County were filed with the U.S. Department of
Housing and Urban Development (HUD) or Fair Housing Advocates of Northern California (FHANC). Most of the
county’s valid complaints cited disability status as the bias. Of these complaints, 69 percent were considered
valid and proceeded to actionable responses. . Los Gatos had eight total Fair Housing and Equal Opportunity
(FHEO) complaints and Figure A-9 illustrates the inquiries by city, with Los Gatos at less than 0.5. Figure A-10
illustrates FHEO Cases of Disability Bias in the County in 2020 and shows that Los Gatos and the region
experienced 40-65 percent disability bias in FHEO cases in 2020. Compared to receiving less than 25 percent
FHEO complaints between 2013-2021, this may be indicative of a recent rise in a lack of accessible housing in
the local housing market.
7 https://www.dfeh.ca.gov/aboutdfeh/
8 https://www.dfeh.ca.gov/complaintprocess/
HCD Revised Draft Initial Review 2023-2031 Housing Element
A-18 Appendix A October 2022March 2023
Figure A-9 FHEO Inquiries by City, 2013-2021
Source: California Department of Housing and Community Development AFFH Data Viewer
Appendix A. AFFH Report
October 2022March 2023 Appendix A A-19
Figure A-10 FHEO Cases – Disability Bias, County, 2020
Source: California Department of Housing and Community Development AFFH Data Viewer
Nationally, the National Fair Housing Alliance (NFHA) reported a “negligible” decrease in the number of
complaints filed between 2019 and 2020. The primary bases for complaints nationally of disability (55 percent)
were represented in Santa Clara County at a much lower rate (16 percent). Familial status represented eight
HCD Revised Draft Initial Review 2023-2031 Housing Element
A-20 Appendix A October 2022March 2023
percent of complaints nationally, similar to the six percent of cases in the Ccounty. Figure A-118 and Figure A-
129 show the share of population by disability status within Santa Clara County and the distribution by census
tract, respectively.
NFHA identifies three significant trends in 2020 that are relevant for this AFFH:
First, fair lending cases referred to the Department of Justice from Federal banking regulators has been
declining, indicating that State and local government entities may want to play a larger role in examining
fair lending barriers to homeownership.
Second, NFHA identified a significant increase in the number of complaints of harassment - 1,071
complaints in 2020 compared to 761 in 2019.
Finally, NFHA found that 73 percent of all fair housing complaints in 2020 were processed by private fair
housing organizations, rather than State, local, and Federal government agencies, reinforcing the need for
local, active fair housing organizations and increased funding for such organizations9.
Figure A-118 Share of Population by Disability Status by Jurisdiction, 2019
Source: ABAG Housing Needs Data Workbook
9 https://nationalfairhousing.org/2021/07/29/annual-fair-housing-report-shows-increase-in-housing-harassment/
Appendix A. AFFH Report
October 2022March 2023 Appendix A A-21
Figure A-129 Percent of Population with a Disability by Census Tract, 2019
Source: California Department of Housing and Community Development AFFH Data Viewer
HCD Revised Draft Initial Review 2023-2031 Housing Element
A-22 Appendix A October 2022March 2023
Second, NFHA identified a significant increase in the number of complaints of harassment - 1,071
complaints in 2020 compared to 761 in 2019.
Appendix A. AFFH Report
October 2022March 2023 Appendix A A-23
Finally, NFHA found that 73 percent of all fair housing complaints in 2020 were processed by private fair
housing organizations, rather than State, local, and Federal government agencies—reinforcing the need
for local, active fair housing organizations and increased funding for such organizations10.
Outreach and capacity. Santa Clara County, including Los Gatos, has a number of organizations dedicated to
assisting residents with legal services related to housing discrimination and general housing disputes. These
organizations are listed in Figure I-1 of the map and data appendix.
The Town also maintains a resource guide that highlights service providers across multiple categories focused on
housing and quality of life for underserved members of the community11. Additionally, the Town provides links
and email addresses for citizens to participate in the ongoing Housing Element Update process, including links to
the agendas and staff reports for the Housing Element Advisory Board (HEAB) meetings.
Finally, the Town has a strong statement about inclusivity and directly addresses hate speech on its website12.
Compliance with State law. Los Gatos is compliant with the following State laws that promote fair and affordable
housing. The Town has not been alleged or found in violation of the following:
Housing Accountability Act (Gov. Code. Section 65589.5) requiring adoption of a Housing Element and
compliance with RHNA allocations;
No Net Loss Law (Gov. Code Section 65863) requiring that adequate sites be maintained to
accommodate unmet RHNA allocations;
Least Cost Zoning Law (Gov. Code. Section 65913.1);
Excessive Subdivision Standards Law (Gov. Code. Section 65913.2); and
Limits on Growth Controls Law (Gov. Code. Section 65589.5).
Housing specific policies enacted locally:.
Los Gatos offers a density bonus program to comply with State law;.
It also has an affordable housing overlay zone; however, that zone applies to one property only;.
The Town allows relative diverse type of housing in residential zones. However, minimum lot area for
duplexes is quite generous (8,000 square feet). The Town could add flexibility for affordable duplexes—,
particularly in areas near and within downtown;.
The Town requires that development of Accessory Dwelling Units under Town incentive programs be
affordable, and deed restricted to 80 percent AMI households; and.
The Town’s Below Market Price program requirements apply to developments of five units and more and
require between 10 percent and 20 percent of units to be affordable to low- and moderate-income
households. In-lieu fees are only allowed in limited circumstances, which prioritizes unit development.
Publicly-Assisted Housing. According to the California Department of Housing and Community Development
AFFH Data Viewer (HCD data viewer), Los Gatos does not have any public housing buildings (Figure A-13).
10 https://nationalfairhousing.org/2021/07/29/annual-fair-housing-report-shows-increase-in-housing-harassment/
11 Los-Gatos-Housing-Resources-Guide (losgatosca.gov)
12 https://www.losgatosca.gov/2604/Becoming-an-Inclusive-Community
HCD Revised Draft Initial Review 2023-2031 Housing Element
A-24 Appendix A October 2022March 2023
Figure A-13 Public Housing Buildings, Los Gatos
Source: California Department of Housing and Community Development AFFH Data Viewer
Appendix A. AFFH Report
October 2022March 2023 Appendix A A-25
Additionally, only a small portion of Los Gatos contains any Housing Choice Voucher usage, a minimal zero to
five percent (Figure A-14). .
Figure A-14 Housing Choice Voucher, Los Gatos
Source: California Department of Housing and Community Development AFFH Data Viewer
HCD Revised Draft Initial Review 2023-2031 Housing Element
A-26 Appendix A October 2022March 2023
A.7 Integration and Segregation
This section discusses integration and segregation of the population by protected classes including race and
ethnicity, disability status, familial status, and income status. The section concludes with an analysis of racially
and ethnically concentrated areas of poverty and affluence. Figure A-15 provides a summary of segregation and
integration in Los Gatos and the County.
Integration and Segregation
“Integration generally means a condition in which there is not a high concentration of persons of
a particular race, color, religion, sex, familial status, national origin, or having a disability or a
particular type of disability when compared to a broader geographic area.
Segregation generally means a condition in which there is a high concentration of persons of a
particular race, color, religion, sex, familial status, national origin, or having a disability or a type of
disability in a particular geographic area when compared to a broader geographic area.”
Figure A-15 Segregation and Integration, Los Gatos and Santa Clara County
Source: Root Policy Research
Town
Appendix A. AFFH Report
October 2022March 2023 Appendix A A-27
Race and ethnicity. Los Gatos differs from the county and Bay Area overall for its relatively high proportion of
residents identifying as non-Hispanic White (72 percent in Los Gatos compared to 32 percent in Santa Clara
County) and small Hispanic population (eight percent in Los Gatos and 25 percent in the county) (Figure A-16).
Los Gatos’ proportion of Black/African American and Other and mixed-race residents is less proportional to
the County and the Bay Area overall (Figure A-160).
Los Gatos’ residents have grown more racially diverse since 2000 largely due to growth in Asian and
Hispanic residents (Figure B-4).
Older residents are less racially diverse than other age groups, with 87 percent of the population older than
65 years identifying as White compared to 77 percent of those aged 18 to 24 and 75 percent of children
less than 18 years old. The main shift is the inclusion of more diverse populations in younger age groups,
especially among Asian/API and Other/Multiple race residents (Figure B-3).
Poverty rates are very low for all residents including residents of color. Black/African American have the
lowest poverty rate at less than 1 percent. The highest poverty rate was 6.1 percent among Hispanic
residents (Figure B-13).
Figure A-160 Population by Race in the Region
Source: ABAG Housing Needs Data Workbook
Geospatially, almost all census tracts in Los Gatos have a predominantly White population (Figure A-2 above).
Compared with neighboring Monte Sereno, Los Gatos has a more varied neighborhood composition map and a
more even dispersion of residents of varied races and ethnicities, see Figure A-5 above. Overall, the Town has
low to moderate diversity (Figure A-6 and Figure A-7 above). The Town’s diversity index has improved since
2010 due to changes in racial and ethnic diversity in the northern and eastern portions of Town, but constraints on
development in the form of zoning restrictions and discretionary permit reviews have slowed this progress.
15%
37%
27%
6%
72%32%39%
4%
4%5%
8%
25%24%
0.0%
10.0%
20.0%
30.0%
40.0%
50.0%
60.0%
70.0%
80.0%
90.0%
100.0%
Los Gatos Santa Clara
County
Bay AreaPercent of PopulationHispanic or Latinx
Other Race or Multiple
Races, Non-Hispanic
White, Non-Hispanic
Black or African
American, Non-Hispanic
Asian / API, Non-Hispanic
American Indian or Alaska
Native, Non-Hispanic
HCD Revised Draft Initial Review 2023-2031 Housing Element
A-28 Appendix A October 2022March 2023
The Association of Bay Area Governments (ABAG), working with UC Merced, created a 2021 report on
segregation in Los Gatos that measured racial and income segregation within the community. This report, in its
entirety can be found in Appendix G. That report utilized several common measures of segregation:
The Dissimilarity Index, or DI, is a common tool that measures segregation in a community. DI is an index
that measures the degree to which two distinct groups are evenly distributed across a geographic area. DI
represents the percentage of a group’s population that would have to move for each area in the county to
have the same percentage of that group as the county overall. DI values range from zero to 100, —where
zero is perfect integration and 100 is complete segregation. Dissimilarity index values between zero and
39 generally indicate low segregation, values between 40 and 54 generally indicate moderate segregation,
and values between 55 and 100 generally indicate a high level of segregation.
The isolation index is interpreted as the probability that a randomly drawn minority resident shares an area
with a member of the same minority, it ranges from zero to 100 and higher values of isolation tend to
indicate higher levels of segregation.
ABAG’s assessed measures of segregation above highlighted White residents as the most segregated in Los
Gatos. White residents are more likely than any other racial group to live in a neighborhood where they are
unlikely to come into contact with other racial groups. However, White residents are becoming less isolated over
time, and segregation in Los Gatos is decreasing.
Segregation by income increased between 2010 and 2015. In 2015, the income segregation in Los Gatos
between lower-income residents and other residents was higher than the average value for Bay Area jurisdictions.
Disability status. The share of the population living with at least one disability is nine percent in Los Gatos
compared to eight percent in Santa Clara County (Figure A-11). Roughly a third of census tracts in Los Gatos
contain 10 percent to 20 percent of persons with a disability, higher than most of the surrounding jurisdictions
(Figure A-9 above).
Familial status. Familial status can indicate specific housing needs and preferences. A larger number of non-
family or single person households indicates a higher share of seniors living alone, young adults living alone or
with roommates, and unmarried partners. Higher shares of nonfamily households indicate an increased need for
one- and two-bedroom units.
Los Gatos’ households are as likely to be three to four person households (34 percent) as two person households
(35 percent). Compared to the county and Bay Area overall, Los Gatos mirrors the share of one person
households (26 percent compared to 20 percent in the county and 25 percent for the Bay Area). Married couple
households were the majority household type (58 percent) and 31 percent of all households have at least one
child under the age of 18. The share of single persons and female-headed households mirror the makeup in the
Bay Area.
The Town has no concentrations of adults living alone, suggesting that access to in-home services and care for
single, older adults is less critical for Los Gatos than some surrounding communities within the county. However,
the Town’s age distribution has shifted upwards since 2000 (Appendix B, Figure B-2) and these accommodations
may grow in demand if older adults, 55 and older, in Los Gatos age in place.
Los Gatos’ married couples overwhelmingly own housing: seventy-seven percent of married couple families in the
Town own their homes. Renters are more likely to occupy studios and one- and two-bedroom units than owners
(Appendix B, Figure B-36), and owners are more likely to be occupying three to four- and 5 or more-bedroom
units. Owners and renters are equally as likely to live alone.
Household income. Los Gatos’ households are higher-income than the county and Bay Area overall: 65 percent
of Los Gatos households earn more than 100 percent of the AMI, compared to 55 percent for the county and 52
percent for the Bay Area (Appendix B, Figure B-111, and infographic below).
Every block group in Los Gatos with available data has a median household income of $125,000 or more (Figure
A-17). In the Town, Hispanic or Latinx and Other Race or Multiple Races (Hispanic and Non-Hispanic) residents
experience the highest rates of poverty, followed by White (Hispanic and Non-Hispanic) residents (Figure B-13).
Appendix A. AFFH Report
October 2022March 2023 Appendix A A-29
Figure A-17 Median Household Income by Census Block Group, Los Gatos, 2015-2019
Source: California Department of Housing and Community Development AFFH Data Viewer
The 2015-2019 Comprehensive Housing Affordability Strategy (CHAS) data indicates there were approximately
2,255 extremely low- and very low-income households living in Los Gatos. Extremely low-income households are
those that earn less than 30 percent of the median family income (MFI). Very low-income households are those
that earn 50 percent of less of the MFI. There are approximately 1,320 extremely low-income households in Los
HCD Revised Draft Initial Review 2023-2031 Housing Element
A-30 Appendix A October 2022March 2023
Gatos (owners and renters). Table A-1 provides data characterizing affordability and cost burden by income
group. A total of 670 extremely low-income households in Los Gatos living in renter-occupied housing units with
at least one of the four housing problems. The housing problems identified by CHAS include the following:
• Units with physical defects (lacking complete kitchen or bathroom);
• Overcrowded conditions (housing units with more than one person per room);
• Housing cost burden, including utilities, exceeding 30 percent of gross income; or
• Severe housing cost burdens, including utilities, exceeding 50 percent of gross income.
For renter-occupied units, extremely low-income households occupied the most units (670) with at least one
housing problem. In contrast, owners earning an above moderate-income occupied the most housing units (820)
with at least one housing problem. As the income level increases for owner-occupied units, the number of
housing units with housing problems decreases with the exception of above moderate-income households.
Above moderate-income households show a sudden increase in the number of units with at least one housing
problem. This may be an indicator of cost burden among above moderate-income households.
Table A-1 Housing Problems for all Households by Tenure, Los Gatos
Income by Housing Problem Household has at least 1
of 4 Housing Problems
Household has none of the 4
Housing Problems or Cost Burden
not available, no other problems
Owners
Less-than or = 30% MFI 485 110
>30% to less-than or = 50% MFI 250 275
>50% to less-than or = 80% MFI 280 355
>80% to less-than or = 100% MFI 290 340
>100% MFI 820 4,635
Total 2,130 5,710
Renters
Less-than or = 30% MFI 670 55
>30% to less-than or = 50% MFI 315 95
>50% to less-than or = 80% MFI 400 165
>80% to less-than or = 100% MFI 305 225
>100% MFI 290 1,725
Total 1,980 2,260
*The four housing problems are: incomplete kitchen facilities, incomplete plumbing facilities, more than 1 person per room, and cost burden
greater than 30%.
**The four severe housing problems are: incomplete kitchen facilities, incomplete plumbing facilities, more than 1.5 persons per room, and
cost burden greater than 50%.
Source: U.S. Department of Housing and Urban Development (HUD), Comprehensive Housing Affordability Strategy (CHAS) 2013-2017.
Note: MFI = HUD Median Family Income, this is the median family income calculated by HUD for each jurisdiction, to determine Fair Market Rents
(FMRs) and income limits for HUD programs. MFI will not necessary be the same as other calculations of median incomes (such as Census
number), due to a series of adjustments that are made.
Appendix A. AFFH Report
October 2022March 2023 Appendix A A-31
The projected RHNA for extremely low-income households was based on the assumption that 50 percent of very
low-income households qualify as extremely low-income households.13 The very low-income housing need is 537
housing units, which allows the Town to estimate 268 housing units as the extremely low-income housing need.
To address the needs of extremely low-income households, the Town will adopt housing programs to facilitate the
construction of affordable and supportive housing for extremely low-income households. Programs that will
directly impact extremely low-income households include:
• Implementation Program P: Funds for Development for Extremely Low-Income (ELI) Households;
• Implementation Program Q: Habitat for Humanity Home Repair Program; and
• Implementation Program S: Affordable Housing Development.
All housing policies and programs can be found in Section 10.6 of the Housing Element.
13 https://www.hcd.ca.gov/planning-and-community-development/housing-elements/building-blocks/extremely-low-income-housing-needs
Town
HCD Revised Draft Initial Review 2023-2031 Housing Element
A-32 Appendix A October 2022March 2023
Racially or ethnically concentrated areas of poverty and affluence. Racially Concentrated Area of Poverty or an
Ethnically Concentrated Area of Poverty (R/ECAP) and Racially Concentrated Areas of Affluence (RCAAs)
represent opposing ends of the segregation spectrum from racially or ethnically segregated areas with high
poverty rates to affluent predominantly White neighborhoods. Historically, HUD has paid particular attention to
R/ECAPs as a focus of policy and obligations to AFFH. Recent research out of the University of Minnesota
Humphrey School of Public Affairs argues for the inclusion of RCAAs to acknowledge current and past policies
that created and perpetuate these areas of high opportunity and exclusion14.
It is important to note that R/ECAPs and RCAAs are not areas of focus because of racial and ethnic
concentrations alone. This study recognizes that racial and ethnic clusters can be a part of fair housing choice if
they occur in a non-discriminatory market. Rather, R/ECAPs are meant to identify areas where residents may
have historically faced discrimination and continue to be challenged by limited economic opportunity, and
conversely, RCAAs are meant to identify areas of particular advantage and exclusion.
R/ECAPs
HCD and HUD’s definition of a Racially/Ethnically Concentrated Area of Poverty is:
A census tract that has a non-White population of 50 percent or more (majority-minority)
or, for non-urban areas, 20 percent, AND a poverty rate of 40 percent or more; OR
A census tract that has a non-white population of 50 percent or more (majority-minority)
AND the poverty rate is three times the average tract poverty rate for the County,
whichever is lower.
Source: California Department of Housing and Community Development Guidance, 2021.
For this study, the poverty threshold used to qualify a tract as an R/ECAP was three times the average census
tract poverty rate countywide, or 22.5 percent.
Similar to many jurisdictions in Santa Clara County, tThere are no census tracts in Los Gatos that qualify as
R/ECAPs. R/ECAPs in the Ccounty are all located in San Jose (Figure A-18).
14 Goetz, E. G., Damiano, A., & Williams, R. A. (2019). Racially Concentrated Areas of Affluence: A Preliminary Investigation. Cityscape: A Journal of Policy
Development and Research, 21(1), 99–124
Appendix A. AFFH Report
October 2022March 2023 Appendix A A-33
Figure A-18 R/ECAPS, Santa Clara County
Source: California Department of Housing and Community Development AFFH Data Viewer
HCD Revised Draft Initial Review 2023-2031 Housing Element
A-34 Appendix A October 2022March 2023
RCAAs. An RCAA is a census tract (1) with a percentage of its total White population that is 1.25 times
higher than the average percentage of the COG region’s White population; and (2) has a median income
that is 2 times higher than the COG Area Median Income (AMI). At the time this report was written, HCD and
HUD had not established standard definitions for Racially or Ethnically Concentrated Areas of Affluence (RCAAs).
GHowever, these are generally, these are understood to be neighborhoods in which there are both high
concentrations of non-Hispanic White households and high household income rates. As shown in Figure A-19,
when cComparing Los Gatos to the surrounding county and region, it is safe to speculate that the Town has more
RCAAs than other communities, the county, and the region. The majority of the Town is located within an RCAA
with the exception of census tract 5067.03 located in the northern portion of the Town, north of Interstate Highway
85 and west of California State Route 17.
Appendix A. AFFH Report
October 2022March 2023 Appendix A A-35
Figure A-19 Racially Concentrated Areas of Affluence by Census Tract 2015-2019
Source: California Department of Housing and Community Development AFFH Data Viewer
HCD Revised Draft Initial Review 2023-2031 Housing Element
A-36 Appendix A October 2022March 2023
A.8 Access to Opportunity
This section discusses disparities in access to opportunity among protected classes including access to quality
education, employment, and environment. Figure A-20 provides a summary of access to opportunity
demographics in Los Gatos and the County.
Access to Opportunity
“Access to opportunity is a concept to approximate place-based characteristics linked to critical
life outcomes. Access to opportunity oftentimes means both improving the quality of life for
residents of low-income communities, as well as supporting mobility and access to ‘high resource’
neighborhoods. This encompasses education, employment, economic development, safe and
decent housing, low rates of violent crime, transportation, and other opportunities, including
recreation, food and healthy environment (air, water, safe neighborhood, safety from
environmental hazards, social services, and cultural institutions).”
Source: California Department of Housing and Community Development Guidance, 2021, page 34.
The California Tax Credit Allocation Committee (TCAC) in collaboration with HCD developed a series of
opportunity maps that help to identify areas of the community with good or poor access to opportunity for
residents. These maps were developed to align funding allocations with the goal of improving outcomes for low-
income residents—, particularly children.
Figure A-21 illustrates TCAC Opportunity Areas across the region. The opportunity maps highlight areas of
highest resource, high resource, moderate resource, moderate resource (rapidly changing), low resource and
high segregation and poverty. TCAC provides opportunity maps for access to opportunity in quality education,
employment, transportation, and environment. Opportunity scores are presented on a scale from zero to one and
the higher the number, the more positive the outcomes.
Appendix A. AFFH Report
October 2022March 2023 Appendix A A-37
Figure A-20 Access to Opportunity in Los Gatos and Santa Clara County
Source: Root Policy Research
Town
Town
HCD Revised Draft Initial Review 2023-2031 Housing Element
A-38 Appendix A October 2022March 2023
Figure A-21 TCAC Opportunity Areas Composite Score by Census Tract, Los Gatos, 2021
Source: California Department of Housing and Community Development AFFH Data Viewer
Appendix A. AFFH Report
October 2022March 2023 Appendix A A-39
TCAC’s economic opportunity score comprises poverty, adult educational attainment, employment, job proximity,
and median home value for Los Gatos. s and is shown in Figure A-2211 illustrates the population living in high
resource areas by race in Los Gatos. .
Figure A-1222 Population Living in High Resource Areas by Race
Source: ABAG Housing Needs Data Workbook, California Tax Credit Allocation Committee (TCAC)/California Housing and Community Development
(HCD), Opportunity Maps (2020); U.S. Census Bureau, American Community Survey 5-Year Data (2015-2019), Table B03002
Education. TCAC’s education score is based on math proficiency, reading proficiency, high school graduation
rates, and the student poverty rate. According to TCAC’s educational opportunity map, every census tract in Los
Gatos scores higher than 0.75, —indicating the highest positive educational outcomes (Figure A-23). Opportunity
scores are presented on a scale from zero to one and the higher the number, the more positive the outcomes.
16%
70%
9%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
Low Resource
or High
Segregation
and Poverty
Area
Moderate
Resource Area
High/Highest
Resource AreaPercent of PopulationHispanic or Latinx
Other Race or Multiple
Races, Non-Hispanic
White, Non-Hispanic
Black or African American,
Non-Hispanic
Asian / API, Non-Hispanic
American Indian or Alaska
Native, Non-Hispanic
HCD Revised Draft Initial Review 2023-2031 Housing Element
A-40 Appendix A October 2022March 2023
Figure A-23 TCAC Opportunity Areas Education Score by Census Tract, Los Gatos, 2021
Source: California Department of Housing and Community Development AFFH Data Viewer
Appendix A. AFFH Report
October 2022March 2023 Appendix A A-41
Los Gatos is served by the Los Gatos-Saratoga Union High School District, the Los Gatos Union Elementary
School, the Saratoga Elementary School Districts, Loma Prieta Joint Union Elementary, and Lakeside Joint
School District. The most complete data, due to halted data collection during the COVID pandemic, was from
2019 and highlights a 97.7 percent graduation rate among all students in the Los Gatos-Saratoga Union high
school, a small increase over 2018 (97.1 percent). When broken down by race/ethnicity, Asian students
graduated at a slightly higher rate of 98 percent, while Hispanic and White students graduated at 95 percent and
96.5 percent respectively. There were not enough African American students enrolled to provide accurate data
(less than 11 total). The lowest graduation rate was among students with a disability, yet still relatively high at 88
percent.
The Los Gatos Union Elementary served 2,710 students in 2021, down from 3,024 from 2019, the last year with
complete data. White students accounted for 64 percent of the student body, with Asian (19 percent) and
Hispanic students (9 percent) accounting for the majority of the remainder. The school included four percent
socioeconomically disadvantaged students, one homeless student, and seven percent students with a disability.
Saratoga Elementary had 1,657 students in 2021 and 1,765 in 2019. At Saratoga, 57 percent of students are
Asian and White students accounted for 26 percent and Hispanic students another six percent. Saratoga
Elementary served a student population with 11 percent disabilities, two percent socioeconomically
disadvantaged, and no homeless students.
Employment. The job to household ratio for Los Gatos tracks with the Bay Area and is lower than Santa Clara
County’s (Appendix B, Figure B-8), indicating that Los Gatos is less of a commuter city than surrounding
jurisdictions with much higher job to household ratios. This differs, however, by wage (Figure B-7), with jobs to
household ratios much higher for low wage workers who cannot afford to live in the Town. Los Gatos has twice
as many jobs as workers for low wage jobs.
Notably, Los Gatos had 19,843 jobs (Figure B-5) in 2018 compared to 14,573 job holders (Appendix B,
Figure B-5III-3), indicating a healthy job market for local residents and a need for in-commuting to fill the
unoccupied jobs.
Most jobs in Los Gatos are in Financial and Professional Services and Health and Educational Services
(Figure B-9).
Unemployment in Los Gatos is five percent, below the county and area averages (Appendix B, Figure B-
10).
HUD’s job proximity index shows that Los Gatos offers a moderate to high proximity to jobs. On a scale from zero
to 100, where 100 is the closest proximity to jobs, the areas near Highway 17 score within the high proximity
range, while most of the remaining parts of the Town scores as moderate proximity. The further away from
Highway 17, the lower the proximity to jobs.
Environment. TCAC’s opportunity areas environmental scores are based on the CalEnviroScreen four indicators,
which identify areas disproportionately vulnerable to pollution sources such as ozone, PM2.5, diesel PM,
pesticides, toxic release, traffic, cleanup sites, groundwater threats, hazardous waste, impaired water bodies, and
solid waste sites.
Three-quarters of Los Gatos scores low on positive environmental outcomes, with no census tracts in the Town
scoring over 0.5 out of one (Figure A-2412). Los Gatos almost uniformly had the lowest possible scores
according to the CalEnviroScreen metric for 2021.
HCD Revised Draft Initial Review 2023-2031 Housing Element
A-42 Appendix A October 2022March 2023
Figure A-2412 CalEnviroScreen 4.0, Los Gatos
Source: California Office and Environmental Health Hazard Assessment, CalEnviroScreen Maps and Data.
The Town scores high on California Healthy Places Index (HPI) developed by the Public Health Alliance of
Southern California (PHASC) (Figure A-2513). HPI includes 25 community characteristics in eight categories
including economic, social, education, transportation, neighborhood, housing, clean environment, and
healthcare15.
15 https://healthyplacesindex.org/about/
Appendix A. AFFH Report
October 2022March 2023 Appendix A A-43
Figure A-2513 California Healthy Places Index, Los Gatos
Source: Public Health Alliance of Southern California, California Healthy Places Index.
Disparities in access to opportunity. All residents live in highly resourced areas, regardless of race or ethnicity
(Figure A-2211). Los Gatos and other surrounding areas are entirely high opportunity jurisdictions.
The Social Vulnerability Index (SVI) provided by the Center for Disease Control (CDC) —ranks census tracts
based on their ability to respond to a disaster and— includes four themes of socioeconomic status, household
composition, race or ethnicity, and housing and transportation. Los Gatos scores well on the SVI; with no
neighborhoods ill equipped to respond to disasters. Figure A-26 illustrates SVI across the region and Figure A-27
provides a closer look at SVI within Los Gatos, showing no neighborhoods are ill equipped to respond to
disasters.
HCD Revised Draft Initial Review 2023-2031 Housing Element
A-44 Appendix A October 2022March 2023
Figure A-26 CDC/ATSDR Social Vulnerability Index 2020, Santa Clara County
Source: CDC/ATSDR/GRASP, US Census Bureau, Esri StreetMapTM Premium
Appendix A. AFFH Report
October 2022March 2023 Appendix A A-45
Figure A-27 Social Vulnerability Index 2020, Los Gatos
Source: California Department of Housing and Community Development AFFH Data Viewer
HCD Revised Draft Initial Review 2023-2031 Housing Element
A-46 Appendix A October 2022March 2023
Los Gatos does not have any disadvantaged communities as defined under SB 535 as, “the top 25 percent
scoring areas from CalEnviroScreen along with other areas with high amounts of pollution and low populations”16.
Disparities specific to the population living with a disability. Nine percent of the population in Los Gatos is living
with at least one disability, compared to eight percent in the county. The most common disabilities in Los Gatos
are ambulatory (4.8 percent), independent living difficulty (4.3 percent), and hearing difficulty (3.6 percent).
For the population 65 and over, the share of the population with ambulatory difficulties increases to 18.4 percent,
independent living difficulty increase to 15.2 percent, and hearing difficulty was 13.8 percent. 15 percent of
residents with a disability were unemployed in 2019, while only four percent unemployment for residents without a
disability. Of the population of residents in Los Gatos that are between the ages of 18 and 64, and live with one
or more disabilities, approximately 12.5 percent earned an income that was below the poverty level.
16 https://oehha.ca.gov/calenviroscreen/sb535
Living with one or more disabilities may create challenges in terms of accessibility to transportation, supportive
services, and accessible housing units. The Town recognizes these challenges and intends to: allocate funds
towards rehabilitating existing units to become more accessible; continue enforcing the “Reasonable
Accommodations Ordinance;” promoting accessibility design features; and creating other housing opportunities
for persons living with disabilities.
Disability
“Disability types include hearing difficulty, vision difficulty, cognitive difficulty, ambulatory
difficulty, self-care difficulty, and independent living difficulty.”
Appendix A. AFFH Report
October 2022March 2023 Appendix A A-47
Town of Los Gatos
HCD Revised Draft Initial Review 2023-2031 Housing Element
A-48 Appendix A October 2022March 2023
A.9 Disproportionate Housing Needs
This section discusses disparate housing needs for protected classes including cost burden and severe cost
burden, overcrowding, substandard housing conditions, homelessness, displacement, and other considerations.
Figure A-28 provides a summary of disproportionate housing needs in Los Gatos and the County.
Disproportionate Housing Needs
“Disproportionate housing needs generally refers to a condition in which there are significant
disparities in the proportion of members of a protected class experiencing a category of housing
need when compared to the proportion of members of any other relevant groups, or the total
population experiencing that category of housing need in the applicable geographic area. For
purposes of this definition, categories of housing need are based on such factors as cost burden
and severe cost burden, overcrowding, homelessness, and substandard housing conditions.”
Source: California Department of Housing and Community Development Guidance, 2021, page 39.
Appendix A. AFFH Report
October 2022March 2023 Appendix A A-49
Figure A-28 Disproportionate Housing Needs in Los Gatos and Santa Clara County
Source: California Department of Housing and Community Development AFFH Data Viewer
Town
Town
Town
HCD Revised Draft Initial Review 2023-2031 Housing Element
A-50 Appendix A October 2022March 2023
Housing Needs. Since 2015, the housing that has received permits to accommodate growth has almost
exclusively been priced for the higher incomes, with only two units permitted for low-income households and none
for very low-income households.
The vast majority of the Town’s homes were built between 1940 and 1979 (69 percent). After this period,
housing production slowed, with only three percent of units built since 2010.
Los Gatos housing is becoming more limited by type with 76 percent single-family units, up from 71
percent in 2010. Multifamily housing, with five or more units, made up the second highest category of units
(18 percent); there were sixty-four mobile/manufactured homes in Los Gatos17.
Eighty-four percent of owner-occupied homes in Los Gatos are valued over one million dollars with another
39 percent valued above two million dollars. This compares to 48 percent for the county and 35 percent
for the Bay Area overall (Appendix B, Figure B-23). According to the Zillow Home Value Index, home
values in Los Gatos are 63 percent higher than home values for the county and almost double the cost of
housing in the Bay Area (Appendix B, Figure B-24).
Rents in Los Gatos are most likely to be at least $2,000 per month (63 percent); 24 percent rent for $3,000
per month. While the Town’s rental costs higher than in the county, the trend of increasing rental costs
matches the changes in the county and Bay Area overall.
Special needs of individuals with disabilities vary depending on the particular disability. For example, the
needs of a blind person differ greatly from those of a person confined to a wheelchair. Special facilities,
such as ramps, elevators, or specially designed restrooms necessary for wheelchair access are
architectural features needed to make dwellings suitable for persons confined to wheelchairs. Special
features needed by ambulatory persons constrained by other disabilities may not be architectural; rather,
these might be simple alternatives to conventional dwelling units or furnishings and appliances that make
ordinary tasks of housekeeping and home life less trying and more enjoyable. In families, the needs of
persons with disabilities, in terms of special features, are fewer than those of a single person.
Nevertheless, a person with a disability in a family would still have special needs. Special architectural
features could be valuable in giving this person greater independence, dignity, and quality of living.
Cost burden and severe cost burden. Despite Los Gatos’ comparably high housing costs, cost burden—, which
occurs when households spend more than 30 percent of their gross income on housing costs— and is slightly
better than the Ccounty and Bay Area (Figure A-2915). This is indicative of a market with high barriers to entry.
The lack of publicly subsidized housing and opportunity for use of Housing Choice Vouchers limits the ability of
low-income households (who are typically cost burdened) to live in the Town. Figure A-14 identifies the housing
vouchers distribution by tract within Los Gatos.
17 Housing Needs Data Report: Los Gatos, ABAG/MTC Staff and Baird + Driskell Community Planning, 2021.
Appendix A. AFFH Report
October 2022March 2023 Appendix A A-51
Figure A-29 Overpayment (Cost Burden) by Jurisdiction, 2019
Source: ABAG Housing Needs Data Workbook
Cost burden does vary by tenure (renter or ownership) in Los Gatos, Figure A-3016. Renters experience a
greater share of all forms of cost burden while owners experienced less of a cost burden. Figure A-31 and Figure
A-32 illustrate cost burden by tenure and by census tract in Los Gatos, respectively.
Figure A-31, Cost Burden for Renter Households shows concentrations of cost burden are split between 20-40
percent cost burden and 40-60 percent cost burden, with the 40-60 percent concentration in the northwest region
of the Town. Similarly, Figure A-32, Cost Burden for Homeowners reveals owner households experience the
nearly the same levels of concentration in the same areas. . The cost burden by income decreases for each
increase in earned income (AMI category) with a vast difference between the highest and lowest income groups.
Seventy-eight percent of the lowest income group (zero percent to 30 percent of AMI) pay more than 50 percent
of their gross household incomes in housing costs (Figure A-16). Figure A-14 identifies the housing vouchers
distribution by tract within Los Gatos.
Figure A-30 Overpayment (Cost Burden) by Tenure, Los Gatos, 2019
Source: ABAG Housing Needs Data Workbook
HCD Revised Draft Initial Review 2023-2031 Housing Element
A-52 Appendix A October 2022March 2023
Figure A-31 Overpayment (Cost Burden) for Renter Households by Census Tract, 2019
Source: California Department of Housing and Community Development AFFH Data Viewer
Appendix A. AFFH Report
October 2022March 2023 Appendix A A-53
Figure A-32 Overpayment (Cost Burden) for Owner Households by Census Tract, 2019
Source: California Department of Housing and Community Development AFFH Data Viewer
HCD Revised Draft Initial Review 2023-2031 Housing Element
A-54 Appendix A October 2022March 2023
Figure A-33 illustrates the Location Affordability Index (LAI) for Los Gatos, which is an indicator of housing and
transportation costs at the neighborhood level. The Town’s LAI suggests that the majority of residents are
estimated to spend between $2,000 and $2,500 per month on housing and transportation costs combined.
When comparing cost burden for renter households by census tract (Figure A-31) and LAI (Figure A-33), it can
be inferred that concentrations of renter cost burden are highest (40-60 percent concentration) where LAI are
actually lower (estimated to spend less than $2,000). As stated earlier, this is indicative of a market with high
barriers to entry.
Appendix A. AFFH Report
October 2022March 2023 Appendix A A-55
Figure A-33 Location Affordability Index Households, 2019
Source: California Department of Housing and Community Development AFFH Data Viewer
HCD Revised Draft Initial Review 2023-2031 Housing Element
A-56 Appendix A October 2022March 2023
Cost burden by income in Los Gatos decreases for each increase in earned income (AMI category) with a vast
difference between the highest and lowest income groups (Figure A-34). Seventy-eight percent of the lowest
income group (zero percent to 30 percent of AMI) pay more than 50 percent of their gross household incomes in
housing costs.
Figure A-3417 Overpayment (Cost Burden) by AMI, Los Gatos, 2019
Source: ABAG Housing Needs Data Workbook
The lack of publicly subsidized housing and opportunity for use of Housing Choice Vouchers limits the ability of
low-income households (who are typically cost burdened) to live in the Town (Figure A-14).
Figure A-15 through Figure A-19 shows cost burden distribution by jurisdiction, tenure, Area Median Income
(AMI), race and ethnicity, and the size of the families. Renters experience a greater share of all forms of cost
burden (42 percent) while owners experienced 28 percent cost burden (Figure A-16). The cost burden by income
decreases for each increase in earned income (AMI category) with a vast difference between the highest and
lowest income groups (16 percent versus 90 percent). Seventy-eight percent of the lowest income group pay
more than 50 percent of their gross household incomes in housing costs.
There is consistency in housing cost burden in Los Gatos by race and ethnicity. All households have similar
shares of residents paying less than 30 percent of their income on housing. Hispanic and Black/African American
residents were the only groups to experience a greater percentage of households spending 50 percent or more of
their income than 30 percent to 50 percent of their income, indicating larger shares of extreme cost burdens, see
Figure A-3518.
Figure A-17 Overpayment (Cost Burden) by AMI, Los Gatos, 2019
Source: ABAG Housing Needs Data Workbook
Appendix A. AFFH Report
October 2022March 2023 Appendix A A-57
Figure A-3518 Overpayment (Cost Burden) by Race and Ethnicity, Los Gatos, 2019
Source: ABAG Housing Needs Data Workbook
When analyzing cost burden by family size in Los Gatos, households with five or more persons experience less
cost burden (22 percent) compared to all other household types (35 percent) (Figure A-36).
Figure A-3619 Overpayment (Cost Burden) by Family Size, Los Gatos, 2019
Source: ABAG Housing Needs Data Workbook
Figure A-20 Overpayment (Cost Burden) for Renter Households by Census Tract, 2019
HCD Revised Draft Initial Review 2023-2031 Housing Element
A-58 Appendix A October 2022March 2023
Source: California Department of Housing and Community Development AFFH Data Viewer
Figure A-21 Overpayment (Cost Burden) for Owner Households by Census Tract, 2019
Appendix A. AFFH Report
October 2022March 2023 Appendix A A-59
Source: California Department of Housing and Community Development AFFH Data Viewer
Overcrowding. The vast majority of households (97 percent) in Los Gatos are not overcrowded (less than the
County and Bay Area) as— indicated by more than one occupant per room (Figure A-3822). Renter households
HCD Revised Draft Initial Review 2023-2031 Housing Element
A-60 Appendix A October 2022March 2023
are more likely to be overcrowded, with six approximately four percent of renter households with more than one
occupant per room (Figure A-38), compared to 0.3 percent of owner households (Figure B-372).
Figure A-3723 Occupants per Room by Jurisdiction, 2019
Source: ABAG Housing Needs Data Workbook
Figure A-22 Overpayment (Cost Burden) for Owner Households by Census Tract, 2019
Source: ABAG Housing Needs Data Workbook, U.S. Department of Housing and Urban Development (HUD), Comprehensive Housing Affordability
Strategy (CHAS) ACS tabulation, 2013-2017 release
Hispanic residents experience the highest rates of overcrowding (Figure B-34). The rest of the Town’s population
experiences approximately two percent to 3.5 percent overcrowding.
97%92%93%
5%4%
0.0%
50.0%
100.0%
Los Gatos Santa Clara
County
Bay Area
Percent of Households1.50 occupants per room or more
1.01 to 1.50 occupants per room
1.00 occupants per room or less
Appendix A. AFFH Report
October 2022March 2023 Appendix A A-61
Figure A-23 Occupants per Room by Jurisdiction, 2019
Source: ABAG Housing Needs Data Workbook
Figure A-3824 Occupants per Room by Tenure, Los Gatos, 2019
Source: ABAG Housing Needs Data Workbook
Hispanic residents experience the highest rates of overcrowding (Figure BA-39). The rest of the Town’s
population experiences approximately 2two percent to 3.5 percent overcrowding.
HCD Revised Draft Initial Review 2023-2031 Housing Element
A-62 Appendix A October 2022March 2023
Figure A-3925 Overcrowding by Race and Ethnicity, Los Gatos, 2019
Source: ABAG Housing Needs Data Workbook
Figure A-40 illustrates occupants per room by AMI in Los Gatos. In Los Gatos, moderate-income households
experience the highest rate of overcrowding (1.7 percent) followed by low-income households (0.9 percent) and
extremely low-income households (0.9 percent). Moreover, extremely low-income households report only
experiencing overcrowded housing conditions (0.9 percent). This may be an indicator of limited housing
options for extremely low-income households in the Town.
Appendix A. AFFH Report
October 2022March 2023 Appendix A A-63
Figure A-40 Occupants per Room by AMI, Los Gatos, 2019
Source: ABAG Housing Needs Data Workbook
Figure A-41, Overcrowded Households by Census Tract, illustrates the percentage of overcrowded households in
Los Gatos, revealing approximately eight8 percent overcrowding in the Town (equivalent to the statewide
average).
HCD Revised Draft Initial Review 2023-2031 Housing Element
A-64 Appendix A October 2022March 2023
Figure A-4127 Overcrowded Households by Census Tract, Los Gatos, 2019
Source: California Department of Housing and Community Development AFFH Data Viewer
Appendix A. AFFH Report
October 2022March 2023 Appendix A A-65
Substandard housing. Data on housing condition are limited, with the most consistent data available across
jurisdictions found in the American Community Survey (ACS), —which captures units in substandard condition as
self-reported in Census surveys. Renters in Los Gatos report living in substandard housing in 5.5 percent of
housing units, with the more units lacking complete kitchen facilities (4.1 percent). As shown in Figure A-4228,
about 0.4 percent of owner households are lacking complete kitchens and 0.6 percent lack complete plumbing.
Figure A-4228 Percent of Units Lacking Complete Kitchen and Plumbing Facilities, Los Gatos, 2019
Source: ABAG Housing Needs Data Workbook
Homelessness. In 2019, 9,706 people were experiencing homelessness in the Ccounty during the one-day count
(point-in-time), with only 18 percent of people in emergency or transitional shelter while the remaining 82 percent
were unsheltered. In Los Gatos the count was 16, all of whom were unsheltered. In 2022 the number of
homeless counted in Los Gatos increased to 58. The majority of unsheltered people experiencing homelessness
were in households without children. The majority of people in transitional housing were in households with
children or people without children, as shown in Figure A-4329.
Figure A-4329 Homelessness by Household Type and Shelter Status, Santa Clara County, 2019
Source: ABAG Housing Needs Data Workbook
People who identify as American Indian or Alaskan Native (approximately eight percent of the homeless
population compared to less than one percent of the total population), Black (approximately 19 percent, compared
to two and a half percent of the total population), , and Other Race or Multiple Races (approximately 24 percent
compared to 16 percent of the total population) are overrepresented in the homeless population compared to their
share of the general population, as shown in Figure A-430. People struggling with chronic substance abuse (35
percent), severe mental illness (42 percent), and post-traumatic stress disorder (33 percent) represented a
Sheltered - Emergency Shelter 7 377 696
Sheltered - Transitional Housing 3 301 400
Unsheltered 266 243 7,413
People in
Households
Solely Children
People in
Households
with Adults
and Children
People in
Households
Without
Children
HCD Revised Draft Initial Review 2023-2031 Housing Element
A-66 Appendix A October 2022March 2023
substantial share of the homeless population in 2019. Losing a job or being evicted was reported to be the causal
events that led to homelessness in 44 percent of incidents of homelessness18.
Figure A-29 Homelessness by Household Type and Shelter Status, Santa Clara County, 2019
Source: ABAG Housing Needs Data Workbook
Figure A-430 Share of General and Homeless Populations by Race, Santa Clara County, 2019
18 According to Santa Clara County’s Homeless Census & Survey (2019); 2019 SCC Homeless Census and Survey Exec Summary.pdf (sccgov.org).
Sheltered - Emergency Shelter 7 377 696
Sheltered - Transitional Housing 3 301 400
Unsheltered 266 243 7,413
People in
Households
Solely Children
People in
Households
with Adults
and Children
People in
Households
Without
Children
Appendix A. AFFH Report
October 2022March 2023 Appendix A A-67
Source: ABAG Housing Needs Data Workbook
Displacement. According to the Sensitive Communities map of vulnerable communities, one area north of
Highway 9 and west of Highway 17 were vulnerable to displacement (Figure A-27). The Town has 169 assisted
units, but all were rated as low risk of conversion.. Figure A-31 illustrates the social vulnerability index, identifying
the census tracts by lower or higher social vulnerability.
Displacement Sensitive Communities
“According to the Urban Displacement Project, communities were designated sensitive if they met
the following criteria:
They currently have populations vulnerable to displacement in the event of increased
redevelopment and drastic shifts in housing cost. Vulnerability is defined as:
Share of very low-income residents is above 20 percent, 2017
AND the tract meets two of the following criteria:
Share of renters is above 40 percent, 2017
Share of people of color is above 50 percent, 2017
Share of very low-income households (50 percent AMI or below) that are severely rent
burdened households is above the county median, 2017
They or areas in close proximity have been experiencing displacement pressures.
Displacement pressure is defined as:
Percent change in rent above county median for rent increases, 2012-2017
OR
Difference between tract median rent and median rent for surrounding tracts above median
for all tracts in county (rent gap), 2017”
Source: https://www.sensitivecommunities.org/.
Access to mortgage loans. In many communities, disparities by race and ethnicity are prevalent for home
mortgage applications, particularly in denial rates. This is less true in Los Gatos (Figure A-4432). Mortgage
denial rates range from 17 percent to 25 percent. American Indian or Alaska Native, Non-Hispanic and
Black/African American residents experienced the next highest rejection rate at 25 percent and 22 percent.
HCD Revised Draft Initial Review 2023-2031 Housing Element
A-68 Appendix A October 2022March 2023
Figure A-4432 Mortgage Applications and Acceptance by Race, 2018 and 2019
Source: ABAG Housing Needs Data Workbook, Federal Financial Institutions Examination Council's (FFIEC) Home Mortgage Disclosure Act
loan/application register (LAR) files.
11%
25%15%
22%
17%18%17%
25%
13%
11%
12%14%11%
25%
5%
5%
25%
66%
56%
65%59%64%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
American
Indian or
Alaska
Native, Non-
Hispanic
Asian / API,
Non-Hispanic
Black or
African
American,
Non-Hispanic
White, Non-
Hispanic
Hispanic or
Latinx
UnknownLoan ApplicationsLoan originated
File closed for incompleteness
Application withdrawn by applicant
Application denied
Application approved but not accepted
Appendix A. AFFH Report
October 2022March 2023 Appendix A A-69
Figure A-45 Disproportionate Housing Needs in Los Gatos
Source: California Department of Housing and Community Development AFFH Data Viewer
Town
Town
Town
HCD Revised Draft Initial Review 2023-2031 Housing Element
A-70 Appendix A October 2022March 2023
A.10 Distribution of Sites Inventory
The proposed housing sites in the Sites Inventory are well distributed to increase opportunities throughout the
Town. In addition, Accessory Dwelling Units and Senate Bill 9 units have been distributed throughout the Town,
where single-family neighborhoods are the most prominent housing type.
Potential Effects on Segregation and Integration
While Los Gatos does not have significant segregation issues within the Town, from a broader regional
perspective, providing increased lower-income housing opportunities in a high resource community like Los Gatos
will help overcome Countywide and regional patterns of segregation, disparate impacts for impacted racial and
ethnic groups, and foster more inclusive communities free from barriers that restrict access to opportunity.
Housing opportunities in Los Gatos are limited by the pricing of both rental and market rate units. Additionally,
approximately three-quarters of the housing in Town are single-family units, further reducing housing
opportunities for smaller sized rental units. Sites proposed for very low- and low-income units have been
distributed evenly throughout the Town and will not result in dense areas of income segregation.
Potential Effects on Access to Opportunity
The Town-wide distribution of housing sites will provide housing options for lower income households to choose
housing that is close to amenities and services, such as parks, schools, transit, or other features (refer to
Appendix D, Sites Inventory Analysis). The sites in the Sites Inventory were selected for their proximity to Town
services and amenities, such as parks, schools, shopping, and transportation. In evaluating the selected sites
from a broader, Countywide perspective, providing increased lower income housing opportunities in a high
resource community such as Los Gatos will help overcome Countywide and regional patterns of disparate
impacts for impacted racial and ethnic groups by providing more affordable housing choices near desirable
resources such as employment and high-quality education. This will allow for more inclusive communities that are
free from barriers that restrict access to opportunity.
Potential Effects on Disproportionate Housing Needs
“Disproportionate housing needs generally refers to a condition in which there are significant disparities in the
proportion of members of a protected class experiencing a category of housing need when compared to the
proportion of members of any other relevant groups, or the total population experiencing that category of housing
need in the applicable geographic area. For purposes of this definition, categories of housing need are based on
such factors as cost burden and severe cost burden, overcrowding, homelessness, and substandard housing
conditions.”19
Overpayment for housing is a significant challenge for low-income residents in Town. Cost burden does vary by
tenure (renter or ownership) in Los Gatos. Renters tend to experience a greater share of all forms of cost burden
while owners experienced less of a cost burden. When analyzing cost burden by family size, households with five
or more persons experience less cost burden compared to all other household types.
Housing cost burden in Los Gatos is lower than nearby cities, but differs by race and ethnicity and by tenure
(renters or owners). Asian households experience the lowest rates of cost burden (30 percent) in the Town,
followed by non-Hispanic White households (31 percent). This is followed by Black/African American household
(34 percent) and Hispanic households (37 percent). Other/Multiple Race households (45 percent) are the most
likely to be cost burdened (45 percent). Owners experience cost burden at a lower rate (28 percent) than renters
(42 percent). This may be likely due to the relatively high cost of living in Los Gatos and the greater Bay Area
region.
19 California Department of Housing and Community Development Guidance, 2021, page 39.
Appendix A. AFFH Report
October 2022March 2023 Appendix A A-71
The quantity and Town-wide distribution of affordable housing within the Sites Inventory will concentrate on the
disproportionate housing needs by providing affordable housing dispersed throughout the Town, nearby high
need services and amenities.
Housing Needs Assessment B
APPENDIX
Appendix B. Housing Needs Assessment
March 2023October 2022 Appendix B B-1
B.1 Introduction
This appendix of the Housing Element describes existing housing needs and conditions in the Town of Los Gatos.
The analysis in this section primarily utilizes data compiled by Association of Bay Area Governments/
Metropolitan Transportation Commission (ABAG/MTC) in the “Housing Needs Data Report: Los Gatos”
(ABAG/MTC, Baird + Driskell Community Planning, April 2, 2021). This data packet was approved by the
California Department of Housing and Community Development (HCD).
Overview of Bay Area Housing
The Bay Area continues to see growth in both population and jobs, which means more housing of various types
and sizes is needed to ensure that residents across all income levels, ages, and abilities have a place to call
home. While the number of people drawn to the region over the past 30 years has steadily increased, housing
production has stalled, contributing to the housing shortage that communities are experiencing today. In many
communities, this has resulted in residents being priced out, increased traffic congestion caused by longer
commutes, and fewer people across incomes being able to purchase homes or meet surging rents.
The 2023-2031 Housing Element Update provides a roadmap for how to meet growth and housing challenges.
As required by the State, the Housing Element identifies what the existing housing conditions and community
needs are, reiterates goals, and creates a plan for more housing.
Summary of Key Facts
Population – Generally, the population of the Bay Area continues to grow because of new births (natural
growth) and the strong economy draws new residents to the region. The population of the Town of Los
Gatos increased by 10 percent from 2000 to 2020, which is below the growth rate of the Bay Area.
Age – In 2019, the youth population of the Town, under the age of 18, was 6,767 and the senior
population, 65 and older, was 6,393. These age groups represent 22. percent and 20.8 percent,
respectively, of the Town’s population.
Race/Ethnicity – In 2020, 72.3 percent of the Town of Los Gatos population was White, while 0.9 percent
was African American, 14.8 percent was Asian, and 7.9 percent was Latinx. People of color in Los Gatos
comprise a proportion below the overall proportion in the Bay Area as a whole0F
1.
Employment – The Town of Los Gatos residents most commonly work in the Financial and Professional
Services industry. From January 2010 to January 2021, the unemployment rate in the Town decreased by
2.9 percent. Since 2010, the number of jobs located in the jurisdiction increased by 4,440 (28.8 percent).
Additionally, the jobs-household ratio in the Town of Los Gatos has increased from 1.32 jobs per
household in 2002 to 1.59 in 2018.
Number of Homes – The number of new homes built in the Bay Area has not kept pace with the demand,
resulting in longer commutes, increasing prices, and exacerbating issues of displacement and
homelessness. The number of homes in the Town of Los Gatos increased 4.5 percent from 2010 to 2020,
which is below the growth rate for Santa Clara County and below the growth rate of the region’s housing
stock during this time period1F
2.
1 The Census Bureau’s American Community Survey accounts for ethnic origin separate from racial identity. The numbers reported here use an accounting
of both such that the racial categories are shown exclusive of Latinx status, to allow for an accounting of the Latinx population regardless of racial identity.
The term Hispanic has historically been used to describe people from numerous Central American, South American, and Caribbean countries. In recent
years, the term Latino or Latinx has become preferred. This report generally uses Latinx, but occasionally when discussing US Census data, we use Hispanic
or Non‐Hispanic, to clearly link to the data source.
2 According to HCD Annual Progress Report Dashboard (as of September 20, 2021).
HCD Revised Draft Initial Review 2023-2031 Housing Element
B-2 Appendix B March 2023October 2022
Home Prices – A diversity of homes at all income levels would create opportunities for all of the Los Gatos
community to live in Town.
Ownership – The largest proportion of homes had a value greater than $2 million in 2019. Home
prices increased by 98.4 percent from 2010 to 2020.
Rental Prices – The typical contract rent for an apartment in the Town of Los Gatos was $2,270 in
2019. Rental prices increased by 60.9 percent from 2009 to 2019. To rent a typical apartment
without cost burden, a household would need to make $90,960 per year2F
3.
Housing Type – It is important to have a variety of housing types to meet the needs of a community today
and in the future. In 2020, 60 percent of homes in the Town of Los Gatos were single-family detached, 13
percent were single-family attached, 9 percent were small multi-family (two to four units), and 18 percent
were medium or large multi-family (five or more units). Between 2010 and 2020, the number of single-
family units increased more than multi-family units. Los Gatos has a higher portion of detached single-
family homes than other jurisdictions in the region.
Housing Demand – The Town is populated with a higher share of high-income earners (65% greater than
100% of AMI) than the rest of the county, therefore, housing is built for these higher income and amenity
levels. Without goals, policies and programs that specifically address the need to build “affordable
housing” targeting incomes less than 100% of AMI (not above greater than 100% AMI), it is highly unlikely
developers will voluntarily build housing for low and very-low-income levels.
Cost Burden – The U.S. Department of Housing and Urban Development (HUD) considers housing to be
affordable for a household if the household spends less than 30 percent of its income on housing costs. A
household is considered “cost-burdened” if it spends more than 30 percent of its monthly income on
housing costs, while those who spend more than 50 percent of their income on housing costs are
considered “severely cost-burdened.” In the Town of Los Gatos, 20 percent of households spend 30
percent to 50 percent of their income on housing, while 16 percent of households are severely cost
burdened and use the majority of their income for housing.
Displacement/Gentrification – According to research from the University of California (UC), Berkeley no
households in the Town of Los Gatos live in neighborhoods that are susceptible to or experiencing
displacement, and none live in areas at risk of or undergoing gentrification. All households in the Town live
in neighborhoods where low-income households are likely excluded due to prohibitive housing costs.
Neighborhood – All residents in Los Gatos live in neighborhoods identified as “Highest Resource” or
“High Resource” areas by State-commissioned research, while no residents live in areas identified by this
research as “Low Resource” or “High Segregation and Poverty” areas. These neighborhood designations
are based on a range of indicators covering areas such as education, poverty, proximity to jobs and
economic opportunities, low pollution levels, and other factors3F
4.
Special Housing Needs – Some population groups may have special housing needs that require specific
program responses, and these groups may experience barriers to accessing stable housing due to their
specific housing circumstances. In Los Gatos, 9 percent of residents have a disability (physical,
developmental, etc.), and may require accessible housing. Additionally, 6 percent of Los Gatos
households are larger households with five or more people and likely need larger housing units with three
bedrooms or more. 8.2 percent of households are female-headed families, which are often at greater risk
of housing insecurity.
3 Note that contract rents may differ significantly from, and often being lower than, current listing prices.
4 For more information on the “opportunity area” categories developed by HCD and the California Tax Credit Allocation Committee, see this website:
https://www.treasurer.ca.gov/ctcac/opportunity.asp. The degree to which different jurisdictions and neighborhoods have access to opportunity will likely
need to be analyzed as part of new Housing Element requirements related to affirmatively furthering fair housing. ABAG/MTC will be providing
jurisdictions with technical assistance on this topic this summer, following the release of additional guidance from HCD.
Appendix B. Housing Needs Assessment
March 2023October 2022 Appendix B B-1
B.2 Population, Employment, and Household
Characteristics
Population
The Bay Area is the fifth-largest metropolitan area in the nation and has seen a steady increase in population
since 1990, except for a dip during the Great Recession. Many towns and cities in the region have experienced
significant growth in jobs and population. While these trends have led to a corresponding increase in demand for
housing across the region, the regional production of housing has largely not kept pace with job and population
growth.
According to the data, the population of the Town of Los Gatos was estimated to be 31,439 in 2020. The
population of Los Gatos makes up 1.6 percent of Santa Clara County4F
5. In Los Gatos, roughly 13.5 percent of its
population moved during the past year, a number that is roughly the same as the regional rate of 13.4 percent.
Table B-1 shows population growth trends for the Town of Los Gatos, Santa Clara County, and the Bay Area as a
whole.
Table B-1 Population Growth Trends
Geography 1990 1995 2000 2005 2010 2015 2020
Town of Los Gatos 27,357 28,751 28,592 28,872 29,413 30,807 31,439
Santa Clara County 1,497,577 1,594,818 1,682,585 1,752,696 1,781,642 1,912,180 1,961,969
Bay Area 6,020,147 6,381,961 6,784,348 7,073,912 7,150,739 7,595,694 7,790,537
SOURCE: California Department of Finance, E‐5 series.
NOTE: Universe: Total population; Data from ABAG/MTC Housing Needs Data Packet Workbook, Table POPEMP‐01.
Since 2000, the Town of Los Gatos population has increased by approximately 10 percent, which is below the
rate for the region as a whole, at 14.8 percent. From 1990 to 2000, the population increased by 4.5 percent.
During the first decade of the 2000’s the population increased by 2.9 percent. In the most recent decade, the
population increased by 6.9 percent. Figure B-1 shows population growth trends in percentages.
In 2019 the Town of Los Gatos annexed 24 urban islands totaling 116.1 acres. The islands were comprised of
approximately 308 single-family residences and the staff report assumed 2.2 persons per household for an
estimated increase in population of 678.
5 To compare the rate of growth across various geographic scales, Figure B‐1 shows population for the jurisdiction, county, and region indexed to the
population in the year 1990. This means that the data points represent the population growth (i.e., percent change) in each of these geographies relative
to their populations in 1990.
HCD Revised Draft Initial Review 2023-2031 Housing Element
B-2 Appendix B March 2023October 2022
Figure B-1 Population Growth Trends
Source: California Department of Finance, E‐5 series.
Note: The data shown on the graph represents population for the jurisdiction, county, and region indexed to the population in the first year shown. The
data points represent the relative population growth in each of these geographies relative to their populations in that year. For some jurisdictions, a break
may appear at the end of each decade (1999, 2009) as estimates are compared to census counts. DOF uses the decennial census to benchmark subsequent
population estimates. Data from ABAG/MTC Housing Needs Data Packet Workbook, Table POPEMP‐01
Age
The distribution of age groups in a community shapes what types of housing the community may need in the near
future. An increase in the older population may mean there is a developing need for more senior housing options,
while higher numbers of children and young families can point to the need for more family housing options and
related services. There has also been a move by many to age-in-place or downsize to stay within their
communities, which can mean more multi-family and accessible units are needed.
In the Town of Los Gatos, the median age in 2000 was approximately 41 years. By 2019, the median age
increased to approximately 47 years. The cohorts age 25 to 34 and age 35 to 44 decreased between 2000 and
2019, while all age cohorts 55 and above increased during the same time period. Figure B-2 shows population by
age for the years 2000, 2010, and 2019 for the Town of Los Gatos.
Appendix B. Housing Needs Assessment
March 2023October 2022 Appendix B B-1
Figure B-2 Los Gatos Population by Age, 2000-2019
Source: U.S. Census Bureau, Census 2000 SF1, Table P12; U.S. Census Bureau, Census 2010 SF1, Table P12; U.S. Census Bureau, American
Community Survey 5‐Year Data (2015‐2019), Table B01001. Data from ABAG/MTC Housing Needs Data Packet Workbook, Table POPEMP‐
04.
Note: Universe: Total population.
Looking at the senior and youth population by race can add an additional layer of understanding, as families and
seniors of color are even more likely to experience challenges finding affordable housing. People of color 5F
6 make
up 13.4 percent of seniors and 23.7 percent of youth under 18. Figure B-3 shows population age by race for the
Town of Los Gatos.
6 Here, all non‐white racial groups are counted.
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B-2 Appendix B March 2023October 2022
Figure B-3 Los Gatos Population Age by Race
Source: U.S. Census Bureau, American Community Survey 5‐Year Data (2015‐2019), Table B01001(A‐G). Data from ABAG/MTC Housing
Needs Data Packet Workbook, Table SEN‐02.
Notes: Universe: Total population. In the sources for this table, the Census Bureau does not disaggregate racial groups by Hispanic/Latinx
ethnicity, and an overlapping category of Hispanic / non‐Hispanic groups has not been shown to avoid double counting in the stacked bar
chart.
Race and Ethnicity
Understanding the racial makeup of the Town and region is important for designing and implementing effective
housing policies and programs. These patterns are shaped by both market factors and government actions, such
as exclusionary zoning, discriminatory lending practices, and displacement that has occurred over time and
continues to impact communities of color today6F
7.
Since 2000, the percentage of residents in the Town of Los Gatos identifying as White, Non-Hispanic has
decreased by 13.3 percentage points, with this 2019 population standing at 22,231. At the same time the
percentage of residents of all Other Race of Multiple Races, Non-Hispanic has increased. In absolute terms, the
Asian/API, Non-Hispanic population increased the most while the White, Non-Hispanic population decreased the
most. Figure B-4 shows population for the Town of Los Gatos by race for 2000, 2010, and 2019.
7 See, for example, Rothstein, R. (2017). The color of law: a forgotten history of how our government segregated America. New York, NY & London, UK:
Liveright Publishing.
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March 2023October 2022 Appendix B B-1
Figure B-4 Los Gatos Population by Race, 2000-2019
Source: U.S. Census Bureau, Census 2000, Table P004; U.S. Census Bureau, American Community Survey 5‐Year Data (2015‐2019), Table
B03002. Data from ABAG/MTC Housing Needs Data Packet Workbook, Table POPEMP‐02.
Notes: Universe: Total population. Data for 2019 represents 2015‐2019 ACS estimates. The Census Bureau defines Hispanic/Latinx
ethnicity separate from racial categories. For the purposes of this graph, the “Hispanic or Latinx” racial/ethnic group represents those
who identify as having Hispanic/Latinx ethnicity and may also be members of any racial group. All other racial categories on this graph
represent those who identify with that racial category and do not identify with Hispanic/Latinx ethnicity.
Employment Trends
Balance of Jobs and Workers
A town houses employed residents who either work in the community where they live or work elsewhere in the
region. Conversely, a town may have job sites that employ residents from the same town, but more often employ
workers that commute from outside of it. Smaller towns typically will have more employed residents than jobs and
export workers, while larger towns tend to have a surplus of jobs and import workers. To some extent the
regional transportation system (bus system, for example) is set up for this flow of workers to the region’s core job
centers. At the same time, as the housing affordability crisis has illustrated, local imbalances may be severe,
where local jobs and worker populations are out of sync at a sub-regional scale. One measure of this is the
relationship between workers and jobs. A town with a surplus of workers “exports” workers to other parts of the
region, while a town with a surplus of jobs must conversely “import” them. Between 2002 and 2018, the number
of jobs in the Town of Los Gatos increased by 23.8 percent. Figure 3-5 shows jobs in the Town of Los Gatos
between 2002 and 2018.
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B-2 Appendix B March 2023October 2022
Figure B-5 Los Gatos Jobs in a Jurisdiction
Source: U.S. Census Bureau, Longitudinal Employer‐Household Dynamics, Workplace Area Characteristics (WAC) files, 2002‐2018. Data from ABAG/MTC
Housing Needs Data Packet Workbook, Table POPEMP‐11.
Notes: Universe: Jobs from unemployment insurance‐covered employment (private, state and local government) plus United States Office
of Personnel Management‐sourced Federal employment. The data is tabulated by place of work, regardless of where a worker lives. The
source data is provided at the census block level. These are cross walked to jurisdictions and summarized.
The figure below shows the balance when comparing jobs to workers, broken down by different wage groups,
offering additional insight into local dynamics. A community may offer employment for relatively low-income
workers but have relatively few housing options for those workers. Conversely, it may house residents who are
low wage workers, but offer few employment opportunities for them. Such relationships may cast extra light on
potentially pent-up demand for housing in particular price categories. A relative surplus of jobs relative to
residents in a given wage category suggests the need to import those workers, while conversely, surpluses of
workers mean the community will export those workers to other jurisdictions. Such flows are not inherently bad,
though over time, sub-regional imbalances may appear. The Town has more jobs than residents in wage
categories below $75,000 per year. At the high end of the wage spectrum (i.e., wages over $75,000 per year),
the Town has more high-wage residents than high-wage jobs7F
8. Figure B-6 shows workers by earnings, place of
residence, and place of work within the jurisdiction of the Town of Los Gatos.
8 The source table is top coded at $75,000, precluding more fine‐grained analysis at the higher end of the wage spectrum.
Appendix B. Housing Needs Assessment
March 2023October 2022 Appendix B B-1
Figure B-6 Workers by Earnings, by Los Gatos Jurisdiction as Place of Work and Place of Residence
Source: U.S. Census Bureau, American Community Survey 5‐Year Data 2015‐2019, B08119, B08519. Data from ABAG/MTC Housing Needs Data Packet
Workbook, Table POPEMP‐10.
Notes: Universe: Los Gatos Workers 16 years and over with earnings.
The next diagram shows the ratio of jobs to workers, by wage group. A value of 1.00 means that the Town has
the same number of jobs in a wage group as it has resident workers, in principle, a balance. Values above 1.00
indicate a jurisdiction will need to import workers for jobs in a given wage group. Figure B-7 shows jobs to worker
ratios for the Town Los Gatos.
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B-2 Appendix B March 2023October 2022
Figure B-7 Los Gatos Jobs-Worker Ratios, By Wage Group
Source: U.S. Census Bureau, Longitudinal Employer‐Household Dynamics, Workplace Area Characteristics (WAC) files (Jobs); Residence Area Characteristics
(RAC) files (Employed Residents), 2010‐2018. Data from ABAG/MTC Housing Needs Data Packet Workbook, Table POPEMP‐14.
Notes: Universe: Jobs in a jurisdiction from unemployment insurance‐covered employment (private, state and local government) plus United States Office
of Personnel Management‐sourced Federal employment. The ratio compares job counts by wage group from two tabulations of LEHD data: Counts by
place of work relative to counts by place of residence. See text for details.
Such balances between jobs and workers may directly influence the housing demand in a community. New jobs
may draw new residents, and when there is high demand for housing relative to supply, many workers may be
unable to afford to live where they work, particularly where job growth has been in relatively lower wage jobs. The
Town is a “net importer of workers” at the low-wage group, while at the high-wage group the Town is “exporting
workers.” This dynamic not only means many workers will need to prepare for long commutes and time spent on
the road, but in the aggregate, it contributes to traffic congestion and time lost for all road users.
If there are more jobs than employed residents, it means a community is relatively jobs-rich, typically also with a
high jobs-per-employed-resident ratio. Therefore, bringing housing into the measure, the jobs per employed
resident ratio in the Town of Los Gatos has increased from 1.32 in 2002, to 1.59 jobs per employed resident in
2018. In short, the Town of Los Gatos is a net importer of workers. Figure B-8 shows the Town of Los Gatos
jobs per household ratio.
Appendix B. Housing Needs Assessment
March 2023October 2022 Appendix B B-1
Figure B-8 Jobs-Household Ratio
Source: U.S. Census Bureau, Longitudinal Employer‐Household Dynamics, Workplace Area Characteristics (WAC) files (Jobs), 2002‐2018;
California Department of Finance, E‐5 (Households). Data from ABAG/MTC Housing Needs Data Packet Workbook, Table POPEMP‐13.
Notes: Universe: Jobs in a jurisdiction from unemployment insurance‐covered employment (private, state and local government) plus United States Office
of Personnel Management‐sourced Federal employment; households in a jurisdiction. The data is tabulated by place of work, regardless of where a
worker lives. The source data is provided at the census block level. These are cross walked to jurisdictions and summarized. The ratio compares place of
work wage and salary jobs with households, or occupied housing units. A similar measure is the ratio of jobs to housing units. However, this jobs‐
household ratio serves to compare the number of jobs in a jurisdiction to the number of housing units that are actually occupied. The difference between
a jurisdiction’s jobs‐housing ratio and jobs‐household ratio will be most pronounced in jurisdictions with high vacancy rates, a high rate of units used for
seasonal use, or a high rate of units used as short‐term rentals.
Sector Composition
In terms of sectoral composition, the largest industry in which the Town of Los Gatos residents work is Financial
and Professional Services, and the largest sector in which Santa Clara residents work is Health and Educational
Services. For the Bay Area as a whole, the Health and Educational Services industry employs the most workers.
Figure B-9 shows resident employment by industry.
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B-2 Appendix B March 2023October 2022
Figure B-9 Resident Employment by Industry
Source: U.S. Census Bureau, American Community Survey 5‐Year Data (2015‐2019), Table C24030. Data from ABAG/MTC Housing Needs
Data Packet Workbook, Table POPEMP‐06.
Notes: Universe: Civilian employed population age 16 years and over. The data displayed shows the industries in which jurisdiction
residents work, regardless of the location where those residents are employed (whether within the jurisdiction or not). Categories are
derived from the following source tables: Agriculture & Natural Resources: C24030_003E, C24030_030E; Construction: C24030_006E,
C24030_033E; Manufacturing, Wholesale & Transportation: C24030_007E, C24030_034E, C24030_008E, C24030_035E, C24030_010E,
C24030_037E; Retail: C24030_009E, C24030_036E; Information: C24030_013E, C24030_040E; Financial & Professional Services:
C24030_014E, C24030_041E, C24030_017E, C24030_044E; Health & Educational Services: C24030_021E, C24030_024E, C24030_048E,
C24030_051E; Other: C24030_027E, C24030_054E, C24030_028E, C24030_055E.
Unemployment
In the Town of Los Gatos, there was a 2.9 percentage point decrease in the unemployment rate between January
2010 and January 2021. Jurisdictions throughout the region experienced a sharp rise in unemployment in 2020
due to impacts related to the COVID-19 pandemic, though with a general improvement and recovery in the later
months of 2020. Figure B-10 shows the unemployment rates over the last decade for the Town of Los Gatos,
Santa Clara County, and the Bay Area as a whole.
Appendix B. Housing Needs Assessment
March 2023October 2022 Appendix B B-1
Figure B-10 Los Gatos Unemployment Rate
Source: California Employment Development Department, Local Area Unemployment Statistics (LAUS), Sub‐county areas monthly updates,
2010‐2021. Data from ABAG/MTC Housing Needs Data Packet Workbook, Table POPEMP‐15.
Notes: Universe: Civilian noninstitutional population ages 16 and older. Unemployment rates for the jurisdiction level is derived from larger‐geography
estimates. This method assumes that the rates of change in employment and unemployment are exactly the same in each sub‐county area as at the
county level. If this assumption is not true for a specific sub‐county area, then the estimates for that area may not be representative of the current
economic conditions. Since this assumption is untested, caution should be employed when using these data. Only not seasonally‐adjusted labor force
(unemployment rates) data are developed for cities and CDPs.
Extremely Low-Income Households
Despite the economic and job growth experienced throughout the region since 1990, the income gap has
continued to widen. California is one of the most economically unequal states in the nation, and the Bay Area has
the highest income inequality between high- and low-income households in the state8F
9.
In the Town of Los Gatos, 65 percent of households make more than 100 percent of the Area Median Income
(AMI)9F
10, compared to 8.6 percent making less than 30 percent of AMI, which is considered extremely low-income.
Regionally, more than half of all households make more than 100 percent AMI, while 15 percent make less than
30 percent AMI. In Santa Clara County, 30 percent AMI is the equivalent to the annual income of $39,900 for a
family of four. Many households with multiple wage earners, including food service workers, full-time students,
teachers, farmworkers, and healthcare professionals, can fall into lower AMI categories due to relatively stagnant
wages in many industries. Figure B-11 shows households by income level.
9 Bohn, S.et al. 2020. Income Inequality and Economic Opportunity in California. Public Policy Institute of California.
10 Income groups are based on HUD calculations for Area Median Income (AMI). HUD calculates the AMI for different metropolitan areas, and the nine
county Bay Area includes the following metropolitan areas: Napa Metro Area (Napa County), Oakland‐Fremont Metro Area (Alameda and Contra Costa
Counties), San Francisco Metro Area (Marin, San Francisco, and San Mateo Counties), San Jose‐Sunnyvale‐Santa Clara Metro Area (Santa Clara County),
S1anta Rosa Metro
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B-2 Appendix B March 2023October 2022
Figure B-11 Households by Household Income Level
Source: U.S. Department of Housing and Urban Development (HUD), Comprehensive Housing Affordability Strategy (CHAS) ACS tabulation,
2012‐2017 release. Data from ABAG/MTC Housing Needs Data Packet Workbook, Table ELI‐01.
Notes: Universe: Occupied housing units. Income groups are based on HUD calculations for Area Median Income (AMI). HUD calculates the AMI for
different metropolitan areas, and the nine county Bay Area includes the following metropolitan areas: Napa Metro Area (Napa County), Oakland‐Fremont
Metro Area (Alameda and Contra Costa Counties), San Francisco Metro Area (Marin, San Francisco, and San Mateo Counties), San Jose‐Sunnyvale‐Santa
Clara Metro Area (Santa Clara County), Santa Rosa Metro Area (Sonoma County), and Vallejo‐Fairfield Metro Area (Solano County). The AMI levels in this
chart are based on the HUD metro area where this jurisdiction is located. The data that is reported for the Bay Area is not based on a regional AMI but
instead refers to the regional total of households in an income group relative to the AMI for the county where that household is located. Local
jurisdictions are required to provide an estimate for their projected extremely low‐income households (0‐30 percent AMI) in their Housing Elements.
HCD’s official Housing Element guidance notes that jurisdictions can use their RHNA for very low‐income households (those making 0‐50 percent AMI) to
calculate their projected extremely low‐income households. As Bay Area jurisdictions have not yet received their final RHNA numbers, this document does
not contain the required data point of projected extremely low‐income households. The report portion of the housing data needs packet contains more
specific guidance for how local staff can calculate an estimate for projected extremely low‐income households once jurisdictions receive their 6th cycle
RHNA numbers. AMI levels in this chart are based on the HUD metro area where this jurisdiction is located. Households making between 80 and 120
percent of the AMI are moderate‐income, those making 50 to 80 percent are low income, those making 30 to 50 percent are very low‐income, and those
making less than 30 percent are extremely low‐income. This is then adjusted for household size.
Throughout the region, there are disparities between the incomes of homeowners and renters. Typically, the
number of low-income renters greatly outpaces the amount of housing available that is affordable for these
households. In the Town of Los Gatos, the largest proportion of renters falls in the Greater than 100 percent of
AMI group, while the largest proportion of homeowners are found in the Greater than 100 percent of AMI group.
Figure B-12 shows household income by tenure.
Appendix B. Housing Needs Assessment
March 2023October 2022 Appendix B B-1
Figure B-12 Los Gatos Household Income Level by Tenure
Source: U.S. Department of Housing and Urban Development (HUD), Comprehensive Housing Affordability Strategy (CHAS) ACS tabulation,
2012‐2017 release. Data from ABAG/MTC Housing Needs Data Packet Workbook, Table POPEMP‐21.
Notes: Universe: Occupied housing units. Income groups are based on HUD calculations for Area Median Income (AMI). HUD calculates the AMI for
different metropolitan areas, and the nine county Bay Area includes the following metropolitan areas: Napa Metro Area (Napa County), Oakland‐Fremont
Metro Area (Alameda and Contra Costa Counties), San Francisco Metro Area (Marin, San Francisco, and San Mateo Counties), San Jose‐Sunnyvale‐Santa
Clara Metro Area (Santa Clara County), Santa Rosa Metro Area (Sonoma County), and Vallejo‐Fairfield Metro Area (Solano County). The AMI levels in this
chart are based on the HUD metro area where this jurisdiction is located.
Currently, people of color are more likely to experience poverty and financial instability as a result of Federal,
State, and local housing policies that have historically excluded them from the same opportunities extended to
White residents10F
11. These economic disparities also leave communities of color at higher risk for housing
insecurity, displacement, or homelessness.
In the Town of Los Gatos, Hispanic or Latinx and Other Race or Multiple Races (Hispanic and Non-Hispanic)
residents experience the highest rates of poverty, followed by White (Hispanic and Non-Hispanic) residents.
Figure B-13 shows poverty status by race.
11 Moore, E., Montojo, N. and Mauri, N., 2019. Roots, Race & Place: A History of Racially Exclusionary Housing the San Francisco Bay Area. Hass Institute.
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B-2 Appendix B March 2023October 2022
Figure B-13 Los Gatos Poverty Status by Race
Source: U.S. Census Bureau, American Community Survey 5‐Year Data (2015‐2019), Table B17001(A‐I). Data from ABAG/MTC Housing
Needs Data Packet Workbook, Table ELI‐03.
Notes: Universe: Population for whom poverty status is determined. The Census Bureau uses a federally defined poverty threshold that remains constant
throughout the country and does not correspond to Area Median Income. For this table, the Census Bureau does not disaggregate racial groups by
Hispanic/Latinx ethnicity. However, data for the white racial group is also reported for white householders who are not Hispanic/Latinx. Since residents
who identify as white and Hispanic/Latinx may have very different experiences within the housing market and the economy from those who identify as
white and non‐Hispanic/Latinx, data for multiple white sub‐groups are reported here. The racial/ethnic groups reported in this table are not all mutually
exclusive. Therefore, the data should not be summed as the sum exceeds the population for whom poverty status is determined for this jurisdiction.
However, all groups labelled “Hispanic and Non‐Hispanic” are mutually exclusive, and the sum of the data for these groups is equivalent to the population
for whom poverty status is determined.
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March 2023October 2022 Appendix B B-1
Tenure
The number of residents who own their homes compared to those who rent their homes can help identify the level
of housing insecurity (i.e., ability for individuals to stay in their homes) in a town or city and region. Generally,
renters may be displaced more quickly if prices increase.
In the Town of Los Gatos as of 2019, there are a total of 12,083 housing units, and fewer residents rent than own
their homes: 35.1 percent versus 64.9 percent. By comparison, 43.6 percent of households in Santa Clara
County are renters, while 43.9 percent of Bay Area households rent their homes. Figure B-14 shows housing
tenure for Los Gatos, Santa Clara County, and the Bay Area as a whole.
Figure B-14 Housing Tenure
Source: U.S. Census Bureau, American Community Survey 5‐Year Data (2015‐2019), Table B25003. Data from ABAG/MTC Housing Needs
Data Packet Workbook, Table POPEMP‐16.
Notes: Universe: Occupied housing units.
Homeownership rates often vary considerably across race and ethnicity in the Bay Area and throughout the
country. These disparities not only reflect differences in income and wealth, but also stem from Federal, State,
and local policies that limited access to homeownership for communities of color while facilitating homebuying for
White residents. While many of these policies, such as redlining, have been formally disbanded, the impacts of
race-based policy are still evident across Bay Area communities.11F
12
In Los Gatos, 84 percent of Black households owned their homes, while homeownership rates were 72 percent
for Asian households, 39 percent for Latinx households, and 65 percent for White households. Notably, recent
changes to State law require local jurisdictions to examine these dynamics and other fair housing issues when
updating their Housing Elements. Figure B-15 shows housing tenure by the race of the householder.
12 See, for example, Rothstein, R. (2017). The color of law: a forgotten history of how our government segregated America. New York, NY & London, UK:
Liveright Publishing.
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Figure B-15 Los Gatos Housing Tenure by Race of Householder
Source: U.S. Census Bureau, American Community Survey 5‐Year Data (2015‐2019), Table B25003(A‐I). Data from ABAG/MTC Housing
Needs Data Packet Workbook, Table POPEMP‐20.
Notes: Universe: Occupied housing units. For this table, the Census Bureau does not disaggregate racial groups by Hispanic/Latinx ethnicity. However,
data for the white racial group is also reported for white householders who are not Hispanic/Latinx. Since residents who identify as white and
Hispanic/Latinx may have very different experiences within the housing market and the economy from those who identify as white and non‐
Hispanic/Latinx, data for multiple white sub‐groups are reported here. The racial/ethnic groups reported in this table are not all mutually exclusive.
Therefore, the data should not be summed as the sum exceeds the total number of occupied housing units for this jurisdiction. However, all groups
labeled “Hispanic and Non‐Hispanic” are mutually exclusive, and the sum of the data for these groups is equivalent to the total number of occupied
housing units.
The age of residents who rent or own their home can also signal the housing challenges a community is
experiencing. Younger households tend to rent and may struggle to buy a first home in the Bay Area due to high
housing costs. At the same time, senior homeowners seeking to downsize may have limited options in an
expensive housing market.
In the Town of Los Gatos, 77.2 percent of householders between the ages of 25 and 34 are renters, and 36.4
percent of householders over 85 are renters. Figure B-16 shows housing tenure by age.
Appendix B. Housing Needs Assessment
March 2023October 2022 Appendix B B-1
Figure B-16 Los Gatos Housing Tenure by Age
Source: U.S. Census Bureau, American Community Survey 5‐Year Data (2015‐2019), Table B25007. Data from ABAG/MTC Housing Needs Data Packet
Workbook, Table POPEMP‐18.
Notes: Universe: Occupied housing units.
In many communities, homeownership rates for households in single-family homes are substantially higher than
the rates for households in multi-family housing. In the Town of Los Gatos, 86.2 percent of households in
detached single-family homes are homeowners, while 13.2 percent of households in multi-family housing are
homeowners. Figure B-17 shows housing tenure by housing type.
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B-2 Appendix B March 2023October 2022
Figure B-17 Los Gatos Housing Tenure by Housing Type
Source: U.S. Census Bureau, American Community Survey 5‐Year Data (2015‐2019), Table B25032. Data from ABAG/MTC Housing Needs Data Packet
Workbook, Table POPEMP‐22.
Notes: Universe: Occupied housing units.
Appendix B. Housing Needs Assessment
March 2023October 2022 Appendix B B-1
Displacement
Because of increasing housing prices, displacement is a major concern in the Bay Area. Displacement has the
most severe impacts on low- and moderate-income residents. When individuals or families are forced to leave
their homes and communities, they also lose their support network.
The University of California UC, Berkeley, has mapped all neighborhoods in the Bay Area, identifying their risk for
gentrification. They find that in the Town of Los Gatos, there are no households that live in neighborhoods that
are susceptible to or experiencing displacement and none live in neighborhoods at risk of or undergoing
gentrification. Equally important, some neighborhoods in the Bay Area do not have housing appropriate for a
broad section of the workforce. The University of California, Berkeley, estimates that all households in the Town
of Los Gatos live in neighborhoods where low-income households are likely to be excluded due to prohibitive
housing costs12F
13. Figure B-18 shows household displacement risk and tenure.
Figure B-18 Los Gatos Households by Displacement Risk and Tenure
Source: Urban Displacement Project for classification, American Community Survey 5‐Year Data (2015‐2019), Table B25003 for tenure.
Data from ABAG/MTC Housing Needs Data Packet Workbook, Table POPEMP‐25.
Notes: Universe: Households. Displacement data is available at the census tract level. Staff aggregated tracts up to jurisdiction level using census 2010
population weights, assigning a tract to jurisdiction in proportion to block level population weights. Total household count may differ slightly from counts
in other tables sourced from jurisdiction level sources. Categories are combined as follows for simplicity: At risk of or Experiencing Exclusion: At Risk of
Becoming Exclusive; Becoming Exclusive; Stable/Advanced Exclusive At risk of or Experiencing Gentrification: At Risk of Gentrification; Early/Ongoing
Gentrification; Advanced Gentrification Stable Moderate/Mixed Income: Stable Moderate/Mixed Income Susceptible to or Experiencing Displacement:
Low‐Income/Susceptible to Displacement; Ongoing Displacement Other: High Student Population; Unavailable or Unreliable Data.
13 More information about this gentrification and displacement data is available at the Urban Displacement Project’s webpage:
https://www.urbandisplacement.org/. Specifically, one can learn more about the different gentrification/displacement typologies shown in Figure 18 at
this link: https://www.urbandisplacement.org/sites/default/files/typology_sheet_2018_0.png. Additionally, one can view maps that show which
typologies correspond to which parts of a jurisdiction here: https://www.urbandisplacement.org/san‐francisco/sf‐bay‐area‐gentrification‐and‐
displacement
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B.3 Housing Stock Characteristics
Housing Types, Year Built, Vacancy, and Permits
In recent years, most housing produced in the region and across the State consisted of single-family homes and
larger multi-unit buildings. However, some households are increasingly interested in “missing middle housing” or
“Small Multi-Unit Housing, including duplexes, triplexes, townhomes, cottage clusters, and accessory dwelling
units. These housing types may open up more options across incomes and tenure, from young households
seeking homeownership options to seniors looking to downsize and age-in-place.
The housing stock of the Town of Los Gatos in 2020 was made up of 60 percent Single-Family Home: Detached,
13 percent Single-Family Home: Attached, 9 percent Multi-family Housing: Two to Four Units, 18 percent Multi-
family Housing: Five-Plus Units, and 0.5 percent Mobile Homes. In Los Gatos, the housing type that experienced
the most growth between 2010 and 2020 was Single-Family Home: Detached. Figure B-19 shows housing type
trends in Los Gatos for 2010 and 2020.
Figure B-19 Los Gatos Housing Type Trends
SOURCE: California Department of Finance, E‐5 series. Data from ABAG/MTC Housing Needs Data Packet Workbook, Table HSG‐01.
NOTE: Universe: Housing units.
Production has not kept up with housing demand for several decades in the Bay Area, as the total number of units
built and available has not yet come close to meeting the population and job growth experienced throughout the
region. In the Town of Los Gatos, the largest proportion of the housing stock was Built 1960 to 1979, with 6,630
units constructed during this period. Since 2010, 2.6 percent of the current housing stock was built, which is 342
units (U.S. Census Bureau, American Community Survey 5-Year Data (2015-2019), Table B25034). Figure B-20
shows housing units by the year built.
59.6%
13.0%
9.0%
17.9%
0.5%
Appendix B. Housing Needs Assessment
March 2023October 2022 Appendix B B-1
Figure B-20 Los Gatos Housing Units by Year Structure Built
SOURCE: U.S. Census Bureau, American Community Survey 5‐Year Data (2015‐2019), Table B25034. Data from ABAG/MTC Housing Needs Data Packet
Workbook, Table HSG‐04.
NOTE: Universe: Housing units.
Throughout the Bay Area, vacancies make up 2.6 percent of the total housing units, with homes listed for rent,
units used for Recreational or Occasional Use, and units not otherwise classified (Other Vacant) making up the
majority of vacancies. The Census Bureau classifies a unit as vacant if no one is occupying it when census
interviewers are conducting the American Community Survey or Decennial Census. Vacant units classified as
For Recreational or Occasional Use are those that are held for short-term periods of use throughout the year.
Accordingly, vacation rentals and short-term rentals like Airbnb are likely to fall in this category. The Census
Bureau classifies units as Other Vacant if they are vacant due to foreclosure, personal/family reasons, legal
proceedings, repairs/renovations, abandonment, preparation for being rented or sold, or vacant for an extended
absence for reasons such as a work assignment, military duty, or incarceration13F
14. In a region with a thriving
economy and housing market like the Bay Area, units being renovated/repaired and prepared for rental or sale
are likely to represent a large portion of the Other Vacant category. Additionally, the need for seismic retrofitting
in older housing stock could also influence the proportion of Other Vacant units in some jurisdictions14F
15.
Vacant units make up 7.5 percent of the overall housing stock in the Town of Los Gatos. The rental vacancy
stands at 8.2 percent, while the ownership vacancy rate is 0.4 percent. Of the vacant units in the Town of Los
Gatos, the most common type of vacancy is Other Vacant, which represents almost half of all vacant rental
units15F
16. Figure B-21 shows vacant units by type.
14 For more information, see pages 3 through 6 of this list of definitions prepared by the Census Bureau:
https://www.census.gov/housing/hvs/definitions.pdf.
15 See Dow, P. (2018). Unpacking the Growth in San Francisco’s Vacant Housing Stock: Client Report for the San Francisco Planning Department. University
of California, Berkeley.
16 The vacancy‐rates‐by‐tenure is for a smaller universe than the total vacancy rate first reported, which in principle includes the full stock (7.5 percent).
The vacancy by tenure counts are rates relative to the rental stock (occupied and vacant) and ownership stock (occupied and vacant) but exclude a
significant number of vacancy categories, including the numerically significant other vacant.
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B-2 Appendix B March 2023October 2022
Figure B-21 Los Gatos Vacant Units by Type
SOURCE: U.S. Census Bureau, American Community Survey 5‐Year Data (2015‐2019), Table B25004. Data from ABAG/MTC Housing Needs Data Packet
Workbook, Table HSG‐03.
NOTE: Universe: Vacant housing units.
Between 2015 and 2020, 502 housing units were issued building permits in the Town of Los Gatos. Of those,
approximately percent were for above moderate-income housing, approximately percent were for moderate-
income housing, and approximately 1.0 percent were for low-income, and approximately 17.0 percent were for
very low-income housing. Table B-2 shows residential building permits issued by the Town of Los Gatos by
income group.
Table B-2 Los Gatos, Residential Building Permits by Income Group, 2015 to 2020
Income Group Number Percent
Very Low‐Income Permits 49 revise all below
Low‐Income Permits 3
Moderate‐Income Permits 119
Above Moderate‐Income Permits 331
Total 502 100.0%
SOURCE: California Department of Housing and Community Development (HCD), 5th Cycle Annual Progress Report Permit Summary
(2020). Data from ABAG/MTC Housing Needs Data Packet Workbook, Table HSG‐11.
NOTE: Universe: Housing permits issued between 2015 and 2021. Notes: HCD uses the following definitions for the four income categories:
Very Low Income: units affordable to households making less than 50 percent of the Area Median Income for the county in which the jurisdiction is
located. Low Income: units affordable to households making between 50 percent and 80 percent of the Area Median Income for the county in which the
jurisdiction is located. Moderate Income: units affordable to households making between 80 percent and 120 percent of the Area Median Income for the
county in which the jurisdiction is located. Above Moderate Income: units affordable to households making above 120 percent of the Area Median Income
for the county in which the jurisdiction is located.
Assisted Housing Developments At-Risk of Conversion
While there is a need to produce new affordable housing units, ensuring that the existing affordable housing stock
remains affordable is also important. Additionally, it is typically faster and less expensive to preserve currently
affordable units that are at risk of converting to market-rate than it is to build new affordable housing.
The data in the table below comes from the California Housing Partnership’s Preservation Database, the State’s
most comprehensive source of information on subsidized affordable housing at risk of losing its affordable status
Appendix B. Housing Needs Assessment
March 2023October 2022 Appendix B B-1
and converting to market-rate housing16F
17. According to the data, there are 169 assisted units in the Town of Los
Gatos. Of these units, none were at high risk or very high risk of conversion. Table B-3 summarizes assisted
units at risk in the Town of Los Gatos.
Table B-3 Assisted Units at Potential Risk of Conversion
Income Los Gatos Santa Clara
County Bay Area
Low‐Income Units 169 28,001 110,177
Moderate‐Income Units 0 1,471 3,375
High‐Income Units 0 422 1,854
Very High‐Income Units 0 270 1,053
Total 169 30,164 116,459
SOURCE: California Housing Partnership, Preservation Database (2020). Data from ABAG/MTC Housing Needs Data Packet Workbook,
Table RISK01.
NOTE: Universe: HUD, Low‐Income Housing Tax Credit (LIHTC), USDA, and CalHFA projects. Subsidized or assisted developments that do not have one of
the aforementioned financing sources may not be included. While California Housing Partnership’s Preservation Database is the state’s most
comprehensive source of information on subsidized affordable housing at risk of losing its affordable status and converting to market‐rate housing, this
database does not include all deed‐restricted affordable units in the state. Consequently, there may be at‐risk assisted units in a jurisdiction that are not
captured in this data table. Per HCD guidance, local jurisdictions must also list the specific affordable housing developments at‐risk of converting to
market rate uses. This document provides aggregate numbers of at risk units for each jurisdiction, but local planning staff should contact Danielle Mazzella
with the California Housing Partnership at dmazzella@chpc.net to obtain a list of affordable properties that fall under this designation. California Housing
Partnership uses the following categories for assisted housing developments in its database: Very‐High Risk: affordable homes that are at‐risk of
converting to market rate within the next year that do not have a known overlapping subsidy that would extend affordability and are not owned by a
large/stable non‐profit, mission‐driven developer. High Risk: affordable homes that are at‐risk of converting to market rate in the next 1‐5 years that do
not have a known overlapping subsidy that would extend affordability and are not owned by a large/stable non‐profit, mission‐driven developer.
Moderate Risk: affordable homes that are at‐risk of converting to market rate in the next 5‐10 years that do not have a known overlapping subsidy that
would extend affordability and are not owned by a large/stable non‐profit, mission‐driven developer. Low Risk: affordable homes that are at‐risk of
converting to market rate in 10+ years and/or are owned by a large/stable non‐profit, mission‐driven developer.
Substandard Housing
Housing costs in the region are among the highest in the country., which could result in households, particularly
renters, needing to live in substandard conditions in order to afford housing. Generally, there is limited data on
the extent of substandard housing issues in a community. However, the In general, substandard housing is not
an issue in Los Gatos. Between the years of 2015‐2023 there were 4,311 code violations with only 15 cases of
substandard housing conditions. 0.3 percent of code enforcement violations were substandard housing cases.
Most of the substandard conditions were related to mental health issues involving hoarding and are owner
occupied. The 15 cases are spread throughout the Town limits and are not concentrated in one part of Town.
The Town of Los Gatos has one full time Code Compliance Officer and is reactive (complaint based) in regard to
enforcement.
Year 2015-2023
Los Gatos Substandard Housing Code Violations
2023 Occupied rental ‐ gutters in disrepair, and mold in interior rooms.
2022 Owner occupied residence ‐ hole in roof, junk accumulation, and unregistered vehicles*.
2021 Occupied multi‐family apartment ‐ carport ceiling repair, trash can area sanitation, and decking‐
railing repair/replace.
2020 Unoccupied storage for hoarder‐tarps covering holes in roof, unregistered vehicles, and
nonfunctioning gutters*.
17 This database does not include all deed‐restricted affordable units in the state, so there may be at‐risk assisted units in a jurisdiction that are not
captured in this data table.
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2020 Occupied residence ‐ tall grass, inoperable vehicles, residence in disrepair, and rodent
harborage.
2019 Unoccupied residence ‐ tall grass, un‐secured, residence in disrepair, rodent harborage, and
demolished by owner.
2017 Owner occupied residence ‐ storage in the side yard, felled trees, unregistered vehicles, parking
on dirt, RV used as home in rear yard, and storage of household items in carport*.
2015 Owner occupied residence ‐ hoarding conditions, junk accumulation, inoperable vehicles, and
trailer in front yard*.
2015 Owner occupied residence ‐ rodent harborage, trash/rubbish, and unregistered vehicles*.
2015 Unoccupied storage for hoarder ‐ weeds, unregistered vehicles, rodent harborage, and junk
accumulation*.
2015 Owner occupied residence ‐ junk accumulation, and structures in disrepair*.
2015 Owner occupied residence and rental ‐ inoperative vehicles parked in front yard, and junk
accumulation*
2015 Occupied rental ‐ felled trees, gutters in disrepair, broken window, front door kicked in,
chipping and peeling paint.
2015 Unoccupied residence ‐ house deemed unfit for human habitation due to the lack of safe
power, water, heat, and smoke alarms.
2015 Occupied multi‐family apartment ‐ plumbing leaks, non‐functioning furnace, substandard
decking, non‐functioning fire extinguishers, and unpermitted work.
SOURCE: Town of Los Gatos Code Enforcement, Community Development Department
*Denotes hoarding conditions
The Census Bureau data included in the graph below gives a sense of some of the substandard conditions that
may be present in Los Gatos. For example, 4.1 percent of renters in Los Gatos reported lacking a kitchen and 1.4
percent of renters lack plumbing, compared to 0.4 percent of owners who lack a kitchen and 0.6 percent of
owners who lack plumbing. Figure B‐22 shows substandard housing issues in Los Gatos.
Appendix B. Housing Needs Assessment
March 2023October 2022 Appendix B B-1
Figure B-22 Los Gatos Substandard Housing Issues
SOURCE: U.S. Census Bureau, American Community Survey 5‐Year Data (2015‐2019), Table B25053, Table B25043, Table B25049 Data
from ABAG/MTC Housing Needs Data Packet Workbook, Table HSG‐06.
NOTES: Universe: Occupied housing units. Per HCD guidance, this data should be supplemented by local estimates of units needing to be
rehabilitated or replaced based on recent windshield surveys, local building department data, knowledgeable builders/developers in the
community, or nonprofit housing developers or organizations.
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B-2 Appendix B March 2023October 2022
Home and Rent Values
Home prices reflect a complex mix of supply and demand factors, including an area’s demographic profile, labor
market, prevailing wages, and job outlook, coupled with land and construction costs. In the Bay Area, the costs of
housing have long been among the highest in the nation.
The typical home value in Los Gatos was estimated at $2,109,040 in December of 2020, per data from Zillow.
The largest proportion of homes were valued in excess of $2 million. By comparison, the typical home value is
$1,290,970 in Santa Clara County and $1,077,230 in the Bay Area, with the largest share of units valued $1
million to $1.5 million (county) and $500 thousand to $750 thousand (region). Figure B-23 shows home values of
owner-occupied housing units in Los Gatos.
Figure B-23 Home Values of Owner-Occupied Units
SOURCE: U.S. Census Bureau, American Community Survey 5‐Year Data (2015‐2019), Table B25075. Data from ABAG/MTC Housing Needs
Data Packet Workbook, Table HSG‐07.
NOTE: Universe: Owner‐occupied units.
The region’s home values have increased steadily since 2000, besides a decrease during the Great Recession.
The rise in home prices has been especially steep since 2012, with the median home value in the Bay Area
nearly doubling during this time. Since 2001, the typical home value has increased 164.0 percent in Los Gatos
from $798,770 to $2,109,040. This change is considerably greater than the change in Santa Clara County and for
the region as a whole. Figure B-24 shows Zillow home value index for Los Gatos.
Appendix B. Housing Needs Assessment
March 2023October 2022 Appendix B B-1
Figure B-24 Zillow Home Value Index (ZHVI)
SOURCE: Zillow, Zillow Home Value Index (ZHVI). Data from ABAG/MTC Housing Needs Data Packet Workbook, Table HSG‐08.
NOTES: Universe: Owner‐occupied housing units. Zillow describes the ZHVI as a smoothed, seasonally adjusted measure of the typical home value and
market changes across a given region and housing type. The ZHVI reflects the typical value for homes in the 35th to 65th percentile range. The ZHVI
includes all owner‐occupied housing units, including both single‐family homes and condominiums. More information on the ZHVI is available from Zillow.
The regional estimate is a household‐weighted average of county‐level ZHVI files, where household counts are yearly estimates from DOF’s E‐5 series For
unincorporated areas, the value is a population weighted average of unincorporated communities in the county matched to census‐designated population
counts.
Similar to home values, rents have also increased dramatically across the Bay Area in recent years. Many
renters have been priced out, evicted, or displaced, particularly communities of color. Residents finding
themselves in one of these situations may have had to choose between commuting long distances to their jobs
and schools or moving out of the region, and sometimes, out of the State.
In Los Gatos, the largest proportion of rental units rented in the ‘rent $2,000-$2,500 category’, totaling 24.2
percent, followed by 23.7 percent of units renting in the ‘rent $3,000 or More category.’ Looking beyond the
Town, the largest share of units in Santa Clara County is in the ‘rent $2,000-$2,500 category’, compared to the
‘rent $1,500-$2,000 category’ for the Bay Area as a whole. Figure B-25 shows contract rents for renter-occupied
units in Los Gatos, Santa Clara County, and the Bay Area as a whole.
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B-2 Appendix B March 2023October 2022
Figure B-25 Contract Rents for Renter-Occupied Units
SOURCE: U.S. Census Bureau, American Community Survey 5‐Year Data (2015‐2019), Table B25056. Data from ABAG/MTC Housing Needs Data Packet
Workbook, Table HSG‐09.
NOTE: Universe: Renter‐occupied housing units paying cash rent.
Since 2009, the median rent has increased by 33.5 percent in the Town of Los Gatos, from $1,700 to $2,270 per
month. In Santa Clara County, the median rent has increased 39.6 percent, from $1,540 to $2,150. The median
rent in the region has increased significantly during this time from $1,200 to $1,850, a 54.2 percent increase17F
18.
Figure B-25 shows median contract rent in the Town of Los Gatos, Santa Clara County, and the Bay Area as a
whole.
18 While the data on home values shown in Figure B‐24 comes from Zillow, Zillow does not have data on rent prices available for most Bay Area
jurisdictions. To have a more comprehensive dataset on rental data for the region, the rent data in this document comes from the U.S. Census Bureau’s
American Community Survey, which may not fully reflect current rents. Local jurisdiction staff may want to supplement the data on rents with local realtor
data or other sources for rent data that are more current than Census Bureau data.
Appendix B. Housing Needs Assessment
March 2023October 2022 Appendix B B-1
Figure B-26 Median Contract Rent
SOURCE: U.S. Census Bureau, American Community Survey 5‐Year Data releases, starting with 2005‐2009 through 2015‐2019, B25058,
B25056 (for unincorporated areas). County and regional counts are weighted averages of jurisdiction median using B25003 rental unit counts from the
relevant year. Data from ABAG/MTC Housing Needs Data Packet Workbook, Table HSG‐10.
NOTES: Universe: Renter‐occupied housing units paying cash rent. For unincorporated areas, median is calculated using distribution in B25056.
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B-2 Appendix B March 2023October 2022
Overpayment and Overcrowding
A household is considered “cost-burdened” if it spends more than 30 percent of its monthly income on housing
costs, while those who spend more than 50 percent of their income on housing costs are considered “severely
cost-burdened.” Low-income residents are the most impacted by high housing costs and experience the highest
rates of cost burden. Spending such large portions of their income on housing puts low-income households at
higher risk of displacement, eviction, or homelessness. While the housing market has resulted in home prices
increasing dramatically, homeowners often have mortgages with fixed rates, whereas renters are more likely to be
impacted by market increases.
When looking at the cost burden across tenure in the Town of Los Gatos, 20 percent of renters spend 30 percent
to 50 percent of their income on housing compared to 16 percent of those that own. Additionally, 22 percent of
renters are severely cost-burdened (i.e., spend 50 percent or more of their income on housing), while 12 percent
of owners are severely cost-burdened. Figure B-27 shows cost burden by tenure.
Figure B-27 Cost Burden by Tenure, Los Gatos
SOURCE: U.S. Census Bureau, American Community Survey 5‐Year Data (2015‐2019), Table B25070, B25091. Data from ABAG/MTC
Housing Needs Data Packet Workbook, Table OVER‐06.
NOTES: Universe: Occupied housing units. Cost burden is the ratio of housing costs to household income. For renters, housing cost is gross rent (contract
rent plus utilities). For owners, housing cost is “select monthly owner costs”, which includes mortgage payment, utilities, association fees, insurance, and
real estate taxes. HUD defines cost‐burdened households as those whose monthly housing costs exceed 30 percent of monthly income, while severely
cost‐burdened households are those whose monthly housing costs exceed 50 percent of monthly income.
When one looks at both renters and owners together in the Town of Los Gatos, 15.6 percent of households spend
50 percent or more of their income on housing, while 17 percent spend 30 percent to 50 percent. However, these
rates vary greatly across income categories. For example, 78.3 percent of Los Gatos households making less
than 30 percent of AMI spend the majority of their income on housing. For Los Gatos residents making more than
100 percent of AMI, just 3.7 percent are severely cost-burdened, and 83.9 percent of those making more than 100
percent of AMI spend less than 30 percent of their income on housing. Figure B-28 shows cost burden by income
level.
Appendix B. Housing Needs Assessment
March 2023October 2022 Appendix B B-1
Figure B-28 Cost Burden by Income Level, Los Gatos
SOURCE: U.S. Department of Housing and Urban Development (HUD), Comprehensive Housing Affordability Strategy (CHAS) ACS tabulation, 2012‐2017
release. Data from ABAG/MTC Housing Needs Data Packet Workbook, Table OVER‐05.
NOTES: Universe: Occupied housing units. Cost burden is the ratio of housing costs to household income. For renters, housing cost is gross rent (contract
rent plus utilities). For owners, housing cost is “select monthly owner costs”, which includes mortgage payment, utilities, association fees, insurance, and
real estate taxes. HUD defines cost‐burdened households as those whose monthly housing costs exceed 30 percent of monthly income, while severely
cost‐burdened households are those whose monthly housing costs exceed 50 percent of monthly income. Income groups are based on HUD calculations
for Area Median Income (AMI). HUD calculates the AMI for different metropolitan areas, and the nine county Bay Area includes the following metropolitan
areas: Napa Metro Area (Napa County), Oakland Fremont Metro Area (Alameda and Contra Costa Counties), San Francisco Metro Area (Marin, San
Francisco, and San Mateo Counties), San Jose‐Sunnyvale‐Santa Clara Metro Area (Santa Clara County), Santa Rosa Metro Area (Sonoma County), and
Vallejo‐Fairfield Metro Area (Solano County). The AMI levels in this chart are based on the HUD metro area where this jurisdiction is located.
Currently, people of color18F
19 are more likely to experience poverty and financial instability as a result of Federal,
State, and local housing policies that have historically excluded them from the same opportunities extended to
white residents. As a result, they often pay a greater percentage of their income on housing, and in turn, are at a
greater risk of housing insecurity.
Hispanic or Latinx residents are the most severely cost burdened with 22 percent spending more than 50 percent
of their income on housing. Figure B-29 shows cost burden by race.
19 As before, this category as it is used here includes all non‐White persons.
3.7%
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B-2 Appendix B March 2023October 2022
Figure B-29 Cost Burden by Race, Los Gatos
SOURCE: U.S. Department of Housing and Urban Development (HUD), Comprehensive Housing Affordability Strategy (CHAS) ACS
tabulation, 2012‐2017 release. Data from ABAG/MTC Housing Needs Data Packet Workbook, Table OVER‐08.
NOTES: Universe: Occupied housing units. Cost burden is the ratio of housing costs to household income. For renters, housing cost is gross rent (contract
rent plus utilities). For owners, housing cost is “select monthly owner costs”, which includes mortgage payment, utilities, association fees, insurance, and
real estate taxes. HUD defines cost‐burdened households as those whose monthly housing costs exceed 30 percent of monthly income, while severely
cost‐burdened households are those whose monthly housing costs exceed 50 percent of monthly income. For the purposes of this graph, the “Hispanic or
Latinx” racial/ethnic group represents those who identify as having Hispanic/Latinx ethnicity and may also be members of any racial group. All other racial
categories on this graph represent those who identify with that racial category and do not identify with Hispanic/Latinx ethnicity.
Large family households often have special housing needs due to a lack of adequately sized affordable housing
available. The higher costs required for homes with multiple bedrooms can result in larger families experiencing a
disproportionate cost burden than the rest of the population and can increase the risk of housing insecurity.
In the Town of Los Gatos, 12.2 percent of large family households experience a cost burden of 30 to 50 percent,
while 9.6 percent of households spend more than half of their income on housing. Some 17.8 percent of all other
households have a cost burden of 30 percent to 50 percent, with 16.8 percent of households spending more than
50 percent of their income on housing. Figure B-30 shows cost burden by household size.
Appendix B. Housing Needs Assessment
March 2023October 2022 Appendix B B-1
Figure B-30 Cost Burden by Household Size, Los Gatos
SOURCE: U.S. Department of Housing and Urban Development (HUD), Comprehensive Housing Affordability Strategy (CHAS) ACS
tabulation, 2012‐2017 release. Data from ABAG/MTC Housing Needs Data Packet Workbook, Table OVER‐09.
NOTES: Universe: Occupied housing units. Cost burden is the ratio of housing costs to household income. For renters, housing cost is gross
rent (contract rent plus utilities). For owners, housing cost is “select monthly owner costs”, which includes mortgage payment, utilities,
association fees, insurance, and real estate taxes. HUD defines cost‐burdened households as those whose monthly housing costs exceed
30 percent of monthly income, while severely cost‐burdened households are those whose monthly housing costs exceed 50 percent of
monthly income.
When cost-burdened seniors are no longer able to make house payments or pay rents, displacement from their
homes can occur, putting further stress on the local rental market or forcing residents out of the community they
call home. Understanding how seniors might be cost-burdened is of particular importance due to their special
housing needs, particularly for low-income seniors.
In the Town of Los Gatos, 74 percent of seniors making less than 30 percent of AMI are spending the majority of
their income on housing. For seniors making more than 100 percent of AMI, only 4.3 percent are spending the
majority of their income on housing. Figure B-31 shows cost-burdened senior households by income level.
HCD Revised Draft Initial Review 2023-2031 Housing Element
B-2 Appendix B March 2023October 2022
Figure B-31 Cost-Burdened Senior Households by Income Level, Los Gatos
SOURCE: U.S. Department of Housing and Urban Development (HUD), Comprehensive Housing Affordability Strategy (CHAS) ACS
tabulation, 2012‐2017 release. Data from ABAG/MTC Housing Needs Data Packet Workbook, Table SEN‐03.
NOTES: Universe: Senior households. For the purposes of this graph, senior households are those with a householder who is aged 62 or
older. Cost burden is the ratio of housing costs to household income. For renters, housing cost is gross rent (contract rent plus utilities).
For owners, housing cost is “select monthly owner costs”, which includes mortgage payment, utilities, association fees, insurance, and real
estate taxes. HUD defines cost‐burdened households as those whose monthly housing costs exceed 30 percent of monthly income, while
severely cost‐burdened households are those whose monthly housing costs exceed 50 percent of monthly income. Income groups are
based on HUD calculations for Area Median Income (AMI). HUD calculates the AMI for different metropolitan areas, and the nine county
Bay Area includes the following metropolitan areas: Napa Metro Area (Napa County), Oakland‐Fremont Metro Area (Alameda and Contra
Costa Counties), San Francisco Metro Area (Marin, San Francisco, and San Mateo Counties), San Jose‐Sunnyvale‐Santa Clara Metro Area
(Santa Clara County), Santa Rosa Metro Area (Sonoma County), and Vallejo‐Fairfield Metro Area (Solano County). The AMI levels in this
chart are based on the HUD metro area where this jurisdiction is located.
Overcrowding occurs when the number of people living in a household is greater than the home was designed to
hold19F
20. The Census Bureau considers units with more than 1.5 occupants per room to be severely overcrowded.
Overcrowding is often related to the cost of housing and can occur when demand in a town, city, or region is high.
In many towns and cities, overcrowding is seen more amongst those that are renting, with multiple households
sharing a unit to make it possible to stay in their communities. In the Town of Los Gatos, 4.3 percent of
households that rent are severely overcrowded (i.e., more than 1.5 occupants per room), compared to 0.3 percent
of households that own. Figure B-32 shows overcrowding by tenure and severity.
20 There are several different standards for defining overcrowding, but this report uses the Census Bureau definition, which is more than one occupant per
room (not including bathrooms or kitchens).
Appendix B. Housing Needs Assessment
March 2023October 2022 Appendix B B-1
Figure B-32 Los Gatos Overcrowding by Tenure and Severity
SOURCE: U.S. Department of Housing and Urban Development (HUD), Comprehensive Housing Affordability Strategy (CHAS) ACS tabulation, 2012‐2017
release. Data from ABAG/MTC Housing Needs Data Packet Workbook, Table OVER‐01.
NOTES: Universe: Occupied housing units. The Census Bureau defines an overcrowded unit as one occupied by 1.01 persons or more per room (excluding
bathrooms and kitchens), and units with more than 1.5 persons per room are considered severely overcrowded.
Overcrowding often disproportionately impacts low-income households. In Los Gatos, less than one percent of
very low-income households (i.e., below 50 percent AMI) experience severe overcrowding. The income group
most experiencing severe overcrowding is the 81%-100% of AMI group. Figure B-33 shows overcrowding by
income level and severity.
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B-2 Appendix B March 2023October 2022
Figure B-33 Los Gatos Overcrowding by Income Level and Severity
SOURCE: U.S. Department of Housing and Urban Development (HUD), Comprehensive Housing Affordability Strategy (CHAS) ACS
tabulation, 2012‐2017 release. Data from ABAG/MTC Housing Needs Data Packet Workbook, Table OVER‐04.
NOTES: Universe: Occupied housing units. The Census Bureau defines an overcrowded unit as one occupied by 1.01 persons or more per room (excluding
bathrooms and kitchens), and units with more than 1.5 persons per room are considered severely overcrowded. Income groups are based on HUD
calculations for Area Median Income (AMI). HUD calculates the AMI for different metropolitan areas, and the nine county Bay Area includes the following
metropolitan areas: Napa Metro Area (Napa County), Oakland‐Fremont Metro Area (Alameda and Contra Costa Counties), San Francisco Metro Area
(Marin, San Francisco, and San Mateo Counties), San Jose‐Sunnyvale‐Santa Clara Metro Area (Santa Clara County), Santa Rosa Metro Area (Sonoma
County), and Vallejo‐Fairfield Metro Area (Solano County). The AMI levels in this chart are based on the HUD metro area where this jurisdiction is located.
Communities of color are more likely to experience overcrowding similar to how they are more likely to experience
poverty, financial instability, and housing insecurity. People of color tend to experience overcrowding at higher
rates than White residents. In Los Gatos, the racial group with the largest overcrowding rate is Hispanic or Latinx.
Figure B-34 shows overcrowding by race.
Appendix B. Housing Needs Assessment
March 2023October 2022 Appendix B B-1
Figure B-34 Overcrowding by Race, Los Gatos
SOURCE: U.S. Census Bureau, American Community Survey 5‐Year Data (2015‐2019), Table B25014. Data from ABAG/MTC Housing
Needs Data Packet Workbook, Table OVER‐03.
NOTES: Universe: Occupied housing units. The Census Bureau defines an overcrowded unit as one occupied by 1.01 persons or more per room (excluding
bathrooms and kitchens), and units with more than 1.5 persons per room are considered severely overcrowded. For this table, the Census Bureau does not
disaggregate racial groups by Hispanic/Latinx ethnicity. However, data for the white racial group is also reported for white householders who are not
Hispanic/Latinx. Since residents who identify as white and Hispanic/Latinx may have very different experiences within the housing market and the
economy from those who identify as white and non‐Hispanic/Latinx, data for multiple white sub‐groups are reported here. The racial/ethnic groups
reported in this table are not all mutually exclusive. Therefore, the data should not be summed as the sum exceeds the total number of occupied housing
units for this jurisdiction. However, all groups labelled “Hispanic and Non‐Hispanic” are mutually exclusive, and the sum of the data for these groups is
equivalent to the total number of occupied housing units.
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B-2 Appendix B March 2023October 2022
B.4 Special Housing Needs
Large Households
Large households often have different housing needs than smaller households. If the Town’s rental housing stock
does not include larger apartments, large households who rent could end up living in overcrowded conditions.
In Los Gatos, for large households with five or more persons, most units were owner occupied. Figure B-35
shows household size by tenure.
Figure B-35 Household Size by Tenure, Los Gatos
SOURCE: U.S. Census Bureau, American Community Survey 5‐Year Data (2015‐2019), Table B25009. Data from ABAG/MTC Housing Needs Data Packet
Workbook, Table LGFEM‐01.
NOTE: Universe: Occupied housing units.
The unit sizes available in a community affect the household sizes that can access that community. Large
families are generally served by housing units with three or more bedrooms, of which there are 7,760 units in the
Town of Los Gatos. Among these large units, most are owner occupied. Figure B-36 summarizes housing units
by the number of bedrooms.
Appendix B. Housing Needs Assessment
March 2023October 2022 Appendix B B-1
Figure B-36 Housing Units by Number of Bedrooms, Los Gatos
SOURCE: U.S. Census Bureau, American Community Survey 5‐Year Data (2015‐2019), Table B25042. Data from ABAG/MTC Housing Needs
Data Packet Workbook, Table HSG‐05.
NOTE: Universe: Housing units.
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B-2 Appendix B March 2023October 2022
Female-Headed Households
Households headed by one person are often at greater risk of housing insecurity, particularly female-headed
households, who may be supporting children or a family with only one income.
In the Town of Los Gatos, the largest proportion of households is Married-Couple Family Households at 58.1
percent of the total, while Female-Headed Family Households make up 8 percent of all households. Figure B-37
provides information on household type in Los Gatos.
Figure B-37 Household Type
SOURCE: U.S. Census Bureau, American Community Survey 5‐Year Data (2015‐2019), Table B11001. Data from ABAG/MTC Housing Needs
Data Packet Workbook, Table POPEMP‐23.
NOTES: Universe: Households. For data from the Census Bureau, a “family household” is a household where two or more people are related by birth,
marriage, or adoption. “Non‐family households” are households of one person living alone, as well as households where none of the people are related to
each other.
Female-headed households with children may face particular housing challenges, with pervasive gender
inequality resulting in lower wages for women. Moreover, the added need for childcare can make finding a home
that is affordable more challenging.
In Los Gatos, 36 female-headed households with children (eight percent) fell in the Below Poverty Level category,
while 26 female-headed households without children (five percent) fell in the Below Poverty Level category.
Figure B-38 shows female-headed households by poverty status.
Appendix B. Housing Needs Assessment
March 2023October 2022 Appendix B B-1
Figure B-38 Female-Headed Households by Poverty Status, Los Gatos
SOURCE: U.S. Census Bureau, American Community Survey 5‐Year Data (2015‐2019), Table B17012. Data from ABAG/MTC Housing Needs
Data Packet Workbook, Table LGFEM‐05.
NOTES: Universe: Female Households. The Census Bureau uses a federally defined poverty threshold that remains constant throughout the
country and does not correspond to Area Median Income.
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Seniors
Senior households often experience a combination of factors that can make accessing or keeping affordable
housing a challenge. They often live on fixed incomes and are more likely to have disabilities, chronic health
conditions, and/or reduced mobility. Seniors who rent may be at even greater risk for housing challenges than
those who own, due to income differences between these groups.
In the Town of Los Gatos, the largest proportion of senior households who rent fell into one of the categories
below the Greater than 100% AMI category, while the largest proportion of senior households who are
homeowners fell in the Greater than 100% AMI category. Figure B-39 shows senior households by income and
tenure.
Figure B-39 Senior Households by Income and Tenure, Los Gatos
SOURCE: U.S. Department of Housing and Urban Development (HUD), Comprehensive Housing Affordability Strategy (CHAS) ACS tabulation, 2012‐2017
release. Data from ABAG/MTC Housing Needs Data Packet Workbook, Table SEN‐01.
NOTES: Universe: Senior households. For the purposes of this graph, senior households are those with a householder who is aged 62 or older. Income
groups are based on HUD calculations for Area Median Income (AMI). HUD calculates the AMI for different metropolitan areas, and the nine county Bay
Area includes the following metropolitan areas: Napa Metro Area (Napa County), Oakland‐Fremont Metro Area (Alameda and Contra Costa Counties), San
Francisco Metro Area (Marin, San Francisco, and San Mateo Counties), San Jose Sunnyvale‐Santa Clara Metro Area (Santa Clara County), Santa Rosa Metro
Area (Sonoma County), and Vallejo‐Fairfield Metro Area (Solano County). The AMI levels in this chart are based on the HUD metro area where this
jurisdiction is located.
People with Disabilities
People with disabilities face additional housing challenges. Encompassing a broad group of individuals living with
a variety of physical, cognitive, and sensory impairments, many people with disabilities live on fixed incomes and
are in need of specialized care, yet often rely on family members for assistance due to the high cost of care.
When it comes to housing, people with disabilities are not only in need of affordable housing, but accessibly
designed housing, which offers greater mobility and opportunity for independence. Unfortunately, the need
typically outweighs what is available, particularly in a housing market with such high demand. People with
disabilities are at a high risk for housing insecurity, homelessness, and institutionalization, particularly when they
lose aging caregivers.
Appendix B. Housing Needs Assessment
March 2023October 2022 Appendix B B-1
Overall, 9 percent of people in Los Gatos have a disability of some kind.20F
21 Figure B-40 shows the rates at which
different disabilities are present among residents of Los Gatos.
Figure B-40 Disability by Type, Los Gatos
SOURCE: U.S. Census Bureau, American Community Survey 5‐Year Data (2015‐2019), Table B18102, Table B18103, Table B18104, Table
B18105, Table B18106, Table B18107. Data from ABAG/MTC Housing Needs Data Packet Workbook, Table DISAB‐01.
NOTES: Universe: Civilian noninstitutionalized population 18 years and over. These disabilities are counted separately and are not mutually exclusive, as an
individual may report more than one disability. These counts should not be summed. The Census Bureau provides the following definitions for these
disability types: Hearing difficulty: deaf or has serious difficulty hearing. Vision difficulty: blind or has serious difficulty seeing even with glasses. Cognitive
difficulty: has serious difficulty concentrating, remembering, or making decisions. Ambulatory difficulty: has serious difficulty walking or climbing stairs.
Self‐care difficulty: has difficulty dressing or bathing. Independent living difficulty: has difficulty doing errands alone such as visiting a doctor’s office or
shopping.
State law also requires a Housing Element to examine the housing needs of people with developmental
disabilities. Developmental disabilities are defined as severe, chronic, and attributed to a mental or physical
impairment that begins before a person turns 18 years old. This can include Down’s Syndrome, autism, epilepsy,
cerebral palsy, and mild to severe intellectual disability. Some people with developmental disabilities are unable
to work, rely on supplemental security income, and live with family members. In addition to their specific housing
needs, they are at increased risk of housing insecurity after an aging parent or family member is no longer able to
care for them21F
22.
In the Town of Los Gatos, there are 50 children under the age of 18 with a developmental disability (40.7
percent), while there are 73 adults with a developmental disability (60 percent). Table B-4 below shows the
number of persons in Los Gatos with developmental disabilities by age.
21 These disabilities are counted separately and are not mutually exclusive, as an individual may report more than one disability. These counts should not
be summed.
22 For more information or data on developmental disabilities in your jurisdiction, contact the Golden Gate Regional Center for Marin, San Francisco and
San Mateo Counties; the North Bay Regional Center for Napa, Solano and Sonoma Counties; the Regional Center for the East Bay for Alameda and Contra
Costa Counties; or the San Andreas Regional Center for Santa Clara County.
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Table B-4 Los Gatos Population with Developmental Disabilities by Age
Age Group Number
Age Under 18 50
Age 18+ 73
SOURCE: California Department of Developmental Services, Consumer Count by California ZIP Code and Age Group (2020). This table is included in the
Data Packet Workbook as Table DISAB‐04.
NOTE: Universe: Population with developmental disabilities. Notes: The California Department of Developmental Services is responsible for overseeing the
coordination and delivery of services to more than 330,000 Californians with developmental disabilities including cerebral palsy, intellectual disability,
Down syndrome, autism, epilepsy, and related conditions. The California Department of Developmental Services provides ZIP code level counts. To get
jurisdiction‐level estimates, ZIP code counts were cross walked to jurisdictions using census block population counts from Census 2010 SF1 to determine
the share of a ZIP code to assign to a given jurisdiction.
The most common living arrangement for individuals with disabilities is in Los Gatos is the home of
parent/family/guardian. Table B-5 shows the Los Gatos population with developmental disabilities by residence.
Table B-5 Los Gatos Population with Developmental Disabilities by Residence
Residence Type Number
Home of Parent/Family/Guardian 102
Foster/Family Home 9
Independent/Supported Living 7
Other 4
Community Care Facility 4
Intermediate Care Facility 0
SOURCE: California Department of Developmental Services, Consumer Count by California ZIP Code and Residence Type (2020). This table is included in
the Data Packet Workbook as Table DISAB‐05.
NOTE: Universe: Population with developmental disabilities. Notes: The California Department of Developmental Services is responsible for overseeing the
coordination and delivery of services to more than 330,000 Californians with developmental disabilities including cerebral palsy, intellectual disability,
Down syndrome, autism, epilepsy, and related conditions. The California Department of Developmental Services provides ZIP code level counts. To get
jurisdiction‐level estimates, ZIP code counts were cross walked to jurisdictions using census block population counts from Census 2010 SF1 to determine
the share of a ZIP code to assign to a given jurisdiction.
Homelessness
Homelessness remains an urgent challenge in many communities across the State, reflecting a range of social,
economic, and psychological factors. Rising housing costs result in increased risks of community members
experiencing homelessness. Many residents have found themselves housing insecure and ended up homeless in
recent years, either temporarily or longer term. Addressing the specific housing needs for the unhoused
population remains a priority throughout the region, particularly since homelessness is disproportionately
experienced by people of color, people with disabilities, those struggling with addiction, and those dealing with
traumatic life circumstances.
In Santa Clara County, the most common type of household experiencing homelessness are those without
children in their care. Among households experiencing homelessness that do not have children, 87 percent are
unsheltered. Of homeless households with children, most are sheltered in an emergency shelter. Figure B-41
shows household type and shelter status in Santa Clara County.
Appendix B. Housing Needs Assessment
March 2023October 2022 Appendix B B-1
Figure B-41 Homelessness by Household Type and Shelter Status, Santa Clara County
SOURCE: U.S. Department of Housing and Urban Development (HUD), Continuum of Care (CoC) Homeless Populations and Subpopulations
Reports (2019). Data from ABAG/MTC Housing Needs Data Packet Workbook, Table HOMELS‐01.
NOTES: Universe: Population experiencing homelessness. This data is based on Point‐in‐Time (PIT) information provided to HUD by CoCs in the application
for CoC Homeless Assistance Programs. The PIT Count provides a count of sheltered and unsheltered homeless persons on a single night during the last
ten days in January. Each Bay Area county is its own CoC, and so the data for this table is provided at the county‐level. Per HCD’s requirements,
jurisdictions will need to supplement this county‐level data with local estimates of people experiencing homelessness.
People of color are more likely to experience poverty and financial instability as a result of federal and local
housing policies that have historically excluded them from the same opportunities extended to
White residents. Consequently, people of color are often disproportionately impacted by homelessness,
particularly Black residents of the Bay Area.
In Santa Clara County, White (Hispanic and Non-Hispanic) residents represent the largest proportion of residents
experiencing homelessness and account for 44 percent of the homeless population, while making up 45 percent
of the overall population. Figure B-42 shows the racial group share of the homeless population.
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Figure B-42 Racial Group Share of General and Homeless Populations, Santa Clara County
SOURCE: U.S. Department of Housing and Urban Development (HUD), Continuum of Care (CoC) Homeless Populations and Subpopulations
Reports (2019); U.S. Census Bureau, American Community Survey 5‐Year Data (2015‐2019), Table B01001(A‐I). Data from ABAG/MTC
Housing Needs Data Packet Workbook, Table HOMELS‐02.
NOTES: Universe: Population experiencing homelessness. This data is based on Point‐in‐Time (PIT) information provided to HUD by CoCs in the application
for CoC Homeless Assistance Programs. The PIT Count provides a count of sheltered and unsheltered homeless persons on a single night during the last
ten days in January. Each Bay Area county is its own CoC, and so the data for this table is provided at the county‐level. Per HCD’s requirements,
jurisdictions will need to supplement this county‐level data with local estimates of people experiencing homelessness. HUD does not disaggregate racial
demographic data by Hispanic/Latinx ethnicity for people experiencing homelessness. Instead, HUD reports data on Hispanic/Latinx ethnicity for people
experiencing homelessness in a separate table. Accordingly, the racial group data listed here includes both Hispanic/Latinx and non‐Hispanic/Latinx
individuals.
In Santa Clara County, Latinx residents represent 42.7 percent of the population experiencing homelessness,
while Latinx residents comprise 25.8 percent of the general population. Figure B-43 shows the Latinx share of the
homeless population in Santa Clara County.
Appendix B. Housing Needs Assessment
March 2023October 2022 Appendix B B-1
Figure B-43 Latinx Share of General and Homeless Populations, Santa Clara County
SOURCE: U.S. Department of Housing and Urban Development (HUD), Continuum of Care (CoC) Homeless Populations and Subpopulations
Reports (2019); U.S. Census Bureau, American Community Survey 5‐Year Data (2015‐2019), Table B01001(A‐I). Data from ABAG/MTC Housing Needs Data
Packet Workbook, Table HOMELS‐03.
NOTES: Universe: Population experiencing homelessness. This data is based on Point‐in‐Time (PIT) information provided to HUD by CoCs in the application
for CoC Homeless Assistance Programs. The PIT Count provides a count of sheltered and unsheltered homeless persons on a single night during the last
ten days in January. Each Bay Area county is its own CoC, and so the data for this table is provided at the county‐level. Per HCD’s requirements,
jurisdictions will need to supplement this county‐level data with local estimates of people experiencing homelessness. The data from HUD on
Hispanic/Latinx ethnicity for individuals experiencing homelessness does not specify racial group identity. Accordingly, individuals in either ethnic group
identity category (Hispanic/Latinx or non‐Hispanic/Latinx) could be of any racial background.
Many of those experiencing homelessness are dealing with severe issues, including mental illness, substance
abuse, and domestic violence, which are potentially life threatening and require additional assistance.
In Santa Clara County, homeless individuals are commonly challenged by severe mental illness, with 2,659
reporting this condition. Of those, some 87.6 percent are unsheltered, further adding to the challenge of handling
the issue. Figure B-44 shows selected characteristics of the homeless population in Santa Clara County.
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Figure B-44 Characteristics for the Population Experiencing Homelessness, Santa Clara County
SOURCE: U.S. Department of Housing and Urban Development (HUD), Continuum of Care (CoC) Homeless Populations and Subpopulations
Reports (2019). Data from ABAG/MTC Housing Needs Data Packet Workbook, Table HOMELS‐04.
NOTES: Universe: Population experiencing homelessness. This data is based on Point‐in‐Time (PIT) information provided to HUD by CoCs in the application
for CoC Homeless Assistance Programs. The PIT Count provides a count of sheltered and unsheltered homeless persons on a single night during the last
ten days in January. Each Bay Area county is its own CoC, and so the data for this table is provided at the county‐level. Per HCD’s requirements,
jurisdictions will need to supplement this county‐level data with local estimates of people experiencing homelessness. These challenges/characteristics
are counted separately and are not mutually exclusive, as an individual may report more than one challenge/characteristic. These counts should not be
summed.
In the Town of Los Gatos, there were no reported students experiencing homeless in the 2019-20 school year.
By comparison, Santa Clara County has seen a 3.5 percent increase in the population of students experiencing
homelessness since the 2016-17 school year, and the Bay Area population of students experiencing
homelessness decreased by 8.5 percent. During the 2019-2020 school year, there were still some 13,718
students experiencing homelessness throughout the region, adding undue burdens on learning and thriving, with
the potential for longer term negative effects. Table B-6 summarizes students in public schools experiencing
homelessness.
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March 2023October 2022 Appendix B B-1
Table B-6 Students in Local Public Schools Experiencing Homelessness
Academic Year Los Gatos Santa Clara
County Bay Area
2016‐17 0 2,219 14,990
2017‐18 0 2,189 15,142
2018‐19 0 2,405 15,427
2019‐20 0 2,297 13,718
SOURCE: California Department of Education, California Longitudinal Pupil Achievement Data System (CALPADS), Cumulative Enrollment
Data (Academic Years 2016‐2017, 2017‐2018, 2018‐2019, 2019‐2020). This table is included in the Data Packet Workbook as Table
HOMELS‐05.
NOTE: Universe: Total number of unduplicated primary and short‐term enrollments within the academic year (July 1 to June 30), public schools. The
California Department of Education considers students to be homeless if they are unsheltered, living in temporary shelters for people experiencing
homelessness, living in hotels/motels, or temporarily doubled up and sharing the housing of other persons due to the loss of housing or economic
hardship. The data used for this table was obtained at the school site level, matched to a file containing school locations, geocoded and assigned to
jurisdiction, and finally summarized by geography.
Farmworkers
Across the State, housing for farmworkers has been recognized as an important and unique concern.
Farmworkers generally receive wages that are considerably lower than other jobs and may have temporary
housing needs. Finding affordable housing can be challenging, particularly in the current housing market.
In the Town of Los Gatos, there were no reported students of migrant workers in the 2019-20 school year. The
trend for the region for the past few years has been a decline of 2 percent in the number of migrant worker
students since the 2016-17 school year. The change at the county level is a 50 percent decrease in the number
of migrant worker students since the 2016-17 school year. Table B-7 summarizes migrant worker student
population in the Town of Los Gatos, Santa Clara County, and the Bay Area as a whole.
Table B-7 Migrant Worker Student Population
Academic Year Los Gatos Santa Clara
County Bay Area
2016‐17 0 978 4,630
2017‐18 0 732 4,607
2018‐19 0 645 4,075
2019‐20 0 492 3,976
SOURCE: California Department of Education, California Longitudinal Pupil Achievement Data System (CALPADS), Cumulative Enrollment Data (Academic
Years 2016‐2017, 2017‐2018, 2018‐2019, 2019‐2020). This table is included in the Data Packet Workbook as Table FARM 01.
NOTES: Universe: Total number of unduplicated primary and short‐term enrollments within the academic year (July 1 to June 30), public schools. The data
used for this table was obtained at the school site level, matched to a file containing school locations, geocoded and assigned to jurisdiction, and finally
summarized by geography.
According to the U.S. Department of Agriculture Census of Farmworkers, the number of permanent farm workers
in Santa Clara County has increased since 2002, totaling 2,418 in 2017, while the number of seasonal farm
workers has decreased, totaling 1,757 in 2017. Figure B-45 shows farm operation and labor in Santa Clara
County.
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Figure B-45 Farm Operations and Farm Labor by County, Santa Clara County
SOURCE: U.S. Department of Agriculture, Census of Farmworkers (2002, 2007, 2012, 2017), Table 7: Hired Farm Labor. For the data table behind this
figure, please refer to the Data Packet Workbook, Table FARM‐02.
NOTES: Universe: Hired farm workers (including direct hires and agricultural service workers who are often hired through labor contractors). Farm workers
are considered seasonal if they work on a farm less than 150 days in a year, while farm workers who work on a farm more than 150 days are considered to
be permanent workers for that farm.
Appendix B. Housing Needs Assessment
March 2023October 2022 Appendix B B-1
Non-English Speakers
California has long been an immigration gateway to the United States, which means that many languages are
spoken throughout the Bay Area. Since learning a new language is universally challenging, it is not uncommon
for residents who have immigrated to the United States to have limited English proficiency. This limitation can
lead to additional disparities if there is a disruption in housing, such as an eviction, because residents might not
be aware of their rights or they might be wary to engage due to immigration status concerns.
In the Town of Los Gatos, 1.7 percent of residents five years and older identified as speaking English not well or
not at all, which was below the proportion for Santa Clara County. Throughout the region the proportion of
residents five years and older with limited English proficiency was eight percent. Figure B-46 shows population
with limited English proficiency in the Town of Los Gatos, Santa Clara County, and the Bay Area as a whole.
Figure B-46 Population with Limited English Proficiency
SOURCE: U.S. Census Bureau, American Community Survey 5‐Year Data (2015‐2019), Table B16005. Data from ABAG/MTC Housing Needs Data Packet
Workbook, Table AFFH‐03.
NOTE: Universe: Population 5 years and over.
Santa Clara County has approximately 23 emergency shelters, providing close to 800 beds year-round, with an
additional 300 beds available during the winter months (November through March). There are also over 1,100
transitional housing beds throughout the County that offer a combination of stable housing and intensive, targeted
support services for the mentally ill, those with chronic substance abuse, developmental disabilities, and other
factors that prevent the homeless from returning to permanent housing situations. Transitional housing includes
both single site and "scattered site" programs. Table B-8 below provides a summary of homeless facilities,
emergency shelters and transitional housing near the Town of Los Gatos.
1.7%
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Table B-8 Homeless Facilities Near Los Gatos
Facility Beds Target Population Location
Emergency Shelters
Asian Americans for Community
Involvement 12 Women with Children San Jose
City Team Rescue Mission 52 Single men San Jose
Hospitality House, Salvation Army 24 Single men San Jose
Our House Youth Services HomeFirst 10 Homeless and run‐away youth San Jose
San Jose Family Shelter 143 Families San Jose
Support Network for Battered
Women 18 Domestic violence shelter‐ women and
children San Jose
Emergency Shelter/Transitional Housing
InnVision 178 Working men, women & children, mentally
ill men & women San Jose
James Boccardo Reception Center 370 Families and single adults San Jose
Transitional Housing
Next Door‐ Women with Children 19 Domestic Violence Shelter ‐Women and
children San Jose
St. Josephs Cathedral 45 Worker housing‐ men, women and
children San Jose
YWCA‐ Villa Nueva 126 Women and children San Jose
SOURCE: Santa Clara County Consolidated Plan, 2010‐2015
Appendix B. Housing Needs Assessment
March 2023October 2022 Appendix B B-1
B.5 Fair Housing Compliance
Santa Clara County and the Town of Los Gatos are compliant with federal and State fair housing laws. Fair
housing laws both the Town and County remain complaint with include:
Title II of the Americans with Disabilities Act (ADA), prohibiting discrimination on the basis of disability in all
public services, programs, and activities provided by state and local governments. The Town’s Zoning
Ordinance does contain a process for requesting reasonable accommodations;
Senate Bill 2 (SB 2), requiring local governments to permit emergency shelters (in the CM zone) and
transitional housing (in the RM zone) without any discretionary action. The provision for transitional and
supportive housing in compliance with State law has been included as Implementation Program BC; and
Senate Bill 520 (SB 520), adopting written reasonable accommodation procedures in the Town of Los
Gatos’ Zoning Ordinance.
Local Housing Policies and Programs
The Town has adopted and implemented a range of local housing policies to encourage housing production and
affordable housing development. Specific to Town residents, Los Gatos has created programs to assist its
special needs populations and/or collaborated with county organizations to improve resident services. Local
policies include:
Ordinance 2307 (2020), adopting an ordinance in compliance with State law to address barriers to the
production of Accessory Dwelling Units (ADUs).and encourage ADU development by increasing the
square footage under State law and increasing the allowable floor area by 10 percent.
Local Housing Policies and Programs
The Town of Los Gatos has not been engaged in any fair housing lawsuits, findings, settlements, judgements, or
complaints in the last eight years.
B.6 Renter’s Survey Results
On November 15, 2022, the Town of Los Gatos published a Renter’s Housing Survey to gather input from
residents who are currently renting or have a history of renting in the Town. The goal of the survey was to inform
the Town on renter household’s needs and possible barriers to accessing housing. The survey was made
available in English, Russian, and Spanish, and posted online at www.EngageLosGatosHousing.com.
Additionally, the survey was distributed in print throughout the Town in collaboration with West Valley Community
Services (WVCS). The survey received a total of 62 responses. The following serves as a brief summary of
responses.
Online Survey Results
Respondent Demographics
The Town collected 42 online responses via the English version of the survey. Of the respondents, 71 percent
were between 35-74 years of age and 81 percent identified as non-Hispanic White. The annual income of
respondents was diverse with the majority earning $200,000 or more (26 percent), $100,001-$200,000 (21
percent), and $75,001-$100,000 (19 percent). Seventeen (17) percent of the survey respondents preferred not to
disclose their annual income.
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Respondent Role in the Town
Survey respondents were asked to identify their racial or ethnic group that they identify as, their annual household
income, and their role in the Los Gatos community. The majority identified themselves as Los Gatos residents
renting their homes (64 percent) compared to 17 percent owning their homes. Twelve (12) percent of respondents
identified as business owners in the Town, 31 percent identified as working in the Town, and 10 percent identified
as visitors. Zero percent of respondents identified as unhoused or lacking permanent housing.
Appendix B. Housing Needs Assessment
March 2023October 2022 Appendix B B-1
Respondent Ideas to Enhance Housing in Los Gatos
Survey respondents were asked for ideas to make Los Gatos more welcoming to potential residents who currently
cannot find housing. The most common responses include the following:
Increase affordable rental housing stock;
Encourage property owners to build ADUs/JADUs to increase affordable rental units;
Affordable workforce housing;
Add a variety of housing types for all income levels in Downtown Los Gatos and increase mixed-use
development;
Increase affordable housing stock specifically for single-person households;
Increase rental stock that is accessible for persons with disabilities and other special needs groups;
Expand Town support for cultural diversity;
Increase community-centered public spaces (i.e.: community gardens, dog parks, place making, parks,
etc.);
Increase live/workspaces; and
Repair historical past of racism and exclusionary practices.
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Appendix B. Housing Needs Assessment
March 2023October 2022 Appendix B B-1
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Respondent Housing Characteristics
Survey respondents were asked to identify what type of housing they currently reside in, of which approximately
45 percent identified as renting apartments, followed by 33 percent living in a guesthouse. When asked to rate
the physical conditions of their home, 33 percent of respondents identified there was no need for rehabilitation of
their home, while 29 percent indicated minor maintenance was needed (i.e.: peeling paint, chipped stucco, etc.).
Seventeen (17) percent indicated major repairs to their home were needed (i.e.: new plumbing, new roof, new
windows, etc.).
Survey respondents were also asked to identify what type of housing they would like to see built in Los Gatos.
Seventy-one (71) percent of respondents indicated townhome/row homes were their preferred housing type to be
built in the Town. Respondents also indicated preferences for apartment rental units (57 percent), ADUs (52
percent), and condominiums for purchase (45 percent).
Appendix B. Housing Needs Assessment
March 2023October 2022 Appendix B B-1
Housing Objectives and Goals for Los Gatos to Consider
When prompted to identify the top three most important housing objectives for Los Gatos (among a list of options
provided), the majority of respondents chose the following:
Providing more opportunities for home ownership at all income levels (79 percent);
Encouraging developments with a mix of residential, commercial, and other compatible uses (48 percent);
Encouraging development of small housing types, such as micro-units (48 percent); and
Assisting senior and/or affordable housing developers with securing State or Federal funding (45 percent).
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When respondents were asked if there are populations, they believe are underserved in Los Gatos the majority
identified low-income households or families (67 percent), moderate-income or workforce-income households (67
percent), educators (64 percent), and service or retail workers (60 percent).
Survey respondents were asked to identify the three actions that would have the most impact on promoting
housing supply, choice, and affordability and removing barriers to housing and neighborhoods of their choosing
(among a list of options provided), the majority of respondents chose the following:
Acquisition of additional affordable units in mixed income developments (64 percent);
Targeted mixed income strategies (i.e.: funding, incentives, policies and programs, density) (64 percent);
and
Modify the ownership of the BMP Program by increasing the percentage of BMP units required in new
developments or changing the income designations for greater affordability (62 percent).
Lastly, survey respondents were asked to identify which action they believed would have the most impact on
preventing displacement of existing residents from their homes and communities (among a list of options
provided). The following are the respondent’s selections:
Expansion of existing services, including dispute resolution services to tenants, mobile homeowners, and
landlords would have the greatest impact (54 percent);
Density bonus ordinances that expand on State replacement requirements (35 percent); and
Increased outreach in the existing tenant dispute resolution services to advertise the availability of multiple
languages (11 percent).
Appendix B. Housing Needs Assessment
March 2023October 2022 Appendix B B-1
Summary and Conclusion
Overall, survey respondents indicated a need for; more affordable housing for renter households and special
needs groups; increased housing types for smaller households; development of mixed-use space in the
Downtown that accommodates mixed-income households; expansion of public services; and more opportunities
for homeownership at all income levels.
In-Person Collected Survey Results
Respondent Demographics
In collaboration with West Valley Community Services (WVCS), the Town collected a total of 20 in-person
responses from individuals. The survey was available in English, Spanish, and Russian, of which 13 in-person
respondents spoke English and seven (7) spoke Russian. Forty (40) percent of respondents were between 18-34
years of age and 60 percent identified as non-Hispanic White. Seniors made up 25 percent of in-person
respondents. The majority of respondents indicated earning an annual income between $0-$25,000 (56 percent).
Respondent Role in the Town
In-person survey respondents were asked to identify their racial or ethnic group that they identify as, their annual
household income, and their role in the Los Gatos community. The majority of respondents chose not to identify
their role in the Los Gatos community. Of those that did respond, 31 percent identified visiting the Town, 25
percent identified living in Los Gatos and renting their home, and 6 percent identified as being unhoused or
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having no permanent housing. None of the in-person respondents identified as homeowners, business owners, or
representing an advocacy group/organization.
Appendix B. Housing Needs Assessment
March 2023October 2022 Appendix B B-1
Respondent Ideas to Enhance Housing in Los Gatos
In-person survey respondents were asked for ideas to make Los Gatos more welcoming to potential residents
who currently cannot find housing. The most common responses include the following:
Increase affordable housing stock specifically for single-person households;
Develop shared housing programs;
Advertise affordable housing on social media sites like Facebook Marketplace; and
Develop a waiting list so potential residents may be notified when affordable housing is available.
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Respondent Housing Characteristics
In-person survey respondents were asked to identify what type of housing they currently reside in, of which 60
percent identified as renting apartments, followed by 27 percent not identifying. When asked to rate the physical
conditions of their home, 35 percent of respondents chose not applicable, 24 percent indicated rehabilitation is not
needed, and 18 percent indicated minor maintenance is needed (i.e.: peeling paint, chipped stucco, etc.). Six (6)
percent indicated major repairs to their home are needed (i.e.: new plumbing, new roof, new windows, etc.).
In-person survey respondents were also asked to identify what type of housing they would like to see built in Los
Gatos. Forty-two (42) percent of respondents indicated rental apartments were their preferred housing type to be
built in the Town. Respondents also indicated preferences for single-family homes (26 percent), condominiums
for purchase (21 percent), emergency housing (21 percent), duplexes (16 percent), townhome/row homes (16
percent), and ADUs (11 percent).
Appendix B. Housing Needs Assessment
March 2023October 2022 Appendix B B-1
Housing Objectives and Goals for Los Gatos to Consider
When prompted to identify the top three most important housing objectives for Los Gatos (among a list of options
provided), the majority of in-person respondents chose the following:
Providing more opportunities for home ownership at all income levels (50 percent);
Encouraging development of small housing types, such as micro-units (50 percent);
Encouraging developments with a mix of residential, commercial, and other compatible uses (39 percent);
and
Assisting permanent supportive housing, transition housing, and/or emergency shelter projects with
securing State or Federal funding (33 percent).
When respondents were asked if there are populations, they believe are underserved in Los Gatos the majority
identified low-income households or families (44 percent), moderate-income or workforce-income households (28
percent), students (28 percent), and all of the above (28 percent).
HCD Revised Draft Initial Review 2023-2031 Housing Element
B-2 Appendix B March 2023October 2022
In-person survey respondents were asked to identify the three actions that would have the most impact on
promoting housing supply, choice, and affordability and removing barriers to housing and neighborhoods of their
choosing (among a list of options provided), the majority of respondents chose the following two actions:
Acquisition of additional affordable units in mixed income developments (53 percent); and
Increase accessible number of units above State law through incentives, policies, funding, and other
similar measures (35 percent).
Lastly, survey respondents were asked to identify which action they believed would have the most impact on
preventing displacement of existing residents from their homes and communities (among a list of options
provided). The following are the respondent’s selections:
Expansion of existing services, including dispute resolution services to tenants, mobile homeowners, and
landlords would have the greatest impact (44 percent);
Density bonus ordinances that expand on State replacement requirements (28 percent); and
Increased outreach in the existing tenant dispute resolution services to advertise the availability of multiple
languages (28 percent).
Appendix B. Housing Needs Assessment
March 2023October 2022 Appendix B B-1
Summary and Conclusion
Overall, in-person survey respondents indicated a need for more affordable housing for renter households and
special needs groups, specifically seniors and persons with disabilities; emergency and transitional housing;
expansion of public and supportive services; and more opportunities for homeownership at all income levels.
Governmental and Non-Governmental Constraints C
APPENDIX
Appendix C. Governmental and Non-Governmental Constraints
October 2022March 2023 Appendix C C-1
C.1 Governmental Constraints
Potential governmental constraints that impact housing development in Los Gatos include land use and zoning
regulations, building code standards and code compliance, Town design and development standards,
governmental fees and exactions, processing and permitting time, and local housing programs.
This appendix provides a full discussion of both governmental and non-governmental constraints that affect
housing in Los Gatos. Governmental constraints are policies, requirements, or other actions imposed by various
levels of government on land and housing ownership and development. Federal and State agency regulations
that may constrain development are beyond the control of the Town and are therefore not addressed in this
document. Non-governmental constraints are other conditions that impact housing development such as market
factors, environmental setting, and construction costs.
Land Use
On June 30, 2022, the Town Council adopted the 2040 General Plan and accompanying Environmental Impact
Report (EIR). As of September 27, 2022, The Land Use and Community Design Elements of the 2040 General
Plan are suspended pending the results of a referendum. In the interim, the Town’s 2020 General Plan Land Use
and Community Design Elements will govern during the suspension period.
Residential Designations
HR, Hillside Residential. The purpose of this designation very low density single-family residential and
accessory dwelling unit development on large lots or as part of a cluster development. This designation
allows for development that is compatible with the unique mountainous terrain and rural nature of the
hillside areas. Up to one dwelling unit per acre and maximum height of 25 feet.
LDR, Low Density Residential. The purpose of this designation is to provide for accessory dwelling units
and single-family residential purposes. It encourages single-family residential development in either the
standard development established by standard zoning or by innovative forms obtained through a planned
development. Densities range from 0 to five dwelling units per acre, a maximum height of 30 feet and up
to 40 percent lot coverage.
MDR, Medium Density Residential. The purpose of this designation is to provide for accessory dwelling
units, multi-family residential, duplexes, and/or small lot single-family homes. Mixed-use developments are
not permitted in this designation. Densities range from five to 12 units per acre, maximum height up to 30
feet or 35 feet when the building has below grade parking and lot coverage up to 40 percent.
HDR, High Density Residential. The purpose of this designation is to provide for accessory dwelling units,
and more dense multi-family residential development. Its objective is to provide quality housing in
proximity to transit and/or commercial and business areas. Mixed-use developments are not permitted in
this designation. Densities range from 12 to 20 units per acre, maximum height up to 30 feet or 35 feet
when the building has below grade parking and lot coverage up to 40 percent.
Commercial Designations
MU, Mixed-Use. The purpose of this designation is to provide a mixture of commercial uses (including
retail, office, hotel/lodging) and residential, along with allowing stand-alone commercial uses (including
retail, office, hotel/lodging, service uses, recreational uses, and restaurants). Residential is only allowed
when developed in a mixed-use format with retail, office, or hotel/lodging components on the site. Projects
developed under this designation shall maintain primary orientation to arterial street frontages and proper
transitions and buffers to adjacent residential properties. Densities range up to 20 units per acre, with a
maximum height up to 35 feet, and lot coverage up to 50 percent.
NC, Neighborhood Commercial. The purpose of this designation is to provide for necessary day-to-day
commercial goods and services required by the residents of the adjacent neighborhoods. This designation
encourages concentrated and coordinated commercial development at easily accessible locations.
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C-2 Appendix C March 2023October 2022
Residential uses, developed using a mixed-use format, are allowed in the designation. Densities range up
to 20 units per acre, with a maximum height up to 35 feet, and lot coverage up to 50 percent.
CDB, Central Business District. The purpose of this designation is to encourage a mixture of community-
orientated commercial goods and services within the Downtown CBD. This designation applies exclusively
to the Downtown CBD, with the goal to accommodate and retain local merchants and preserve the Town’s
character. New development in the CBD shall integrate with existing structures of architectural and
historical significance. Residential uses, developed using a mixed-use format, are allowed in the
designation. Densities range up to 20 units per acre, maximum height up to 45 feet and a FAR up to 2.0.
Employment Center Designations
OP, Office Professional. The purpose of this designation is to provide for professional and general
business offices, incubator spaces, and innovation centers. This designation applies to various locations
throughout the Town, often in proximity to neighborhood- or community-oriented commercial facilities, or
as a buffer between commercial and residential uses. The intent of this designation is to satisfy the
community’s need for general business and professional services, and local employment. Residential
uses, developed using a mixed-use format, are allowed in the designation. Densities range up to 20 units
per acre, with a maximum height up to 35 feet and lot coverage up to 50 percent.
Specific Plan Designations
NF-SP, North Forty Specific Plan. The purpose of this designation is to provide land for the North 40
Specific Plan, which includes the designation of mixed-use development (residential and commercial, open
space amenities, and space for a hotel).
Town Code
The Town of Los Gatos Municipal Code provides zoning regulations that are more specific than the General Plan
Land Use designations. This section describes residential development standards, including accessory dwelling
units, overlay zones, and density bonuses. This section also analyzes constraints on housing for persons with
disabilities.
Residential Development Standards
There are six seven residential and five commercial zoning districts in Los Gatos that allow residential uses.
Table C-1 provides the regulations for each zone.
Resource Conservation (RC)
Hillside Residential (HR)
Single-Family Residential (R-1)
Single-Family Residential Downtown (R-1 D)
Duplex Residential (RD)
Multi-family Residential (RM)
Residential Mobile Home Park (RMH)
Neighborhood Commercial (C-1)
Central Business District (C-2)
Highway Commercial (CH)
Office (O)
Commercial Industrial Zone (LM)
As shown in Table C-1, development standards for each residential district could impede a project’s ability to
develop housing at a density of at least 35 dwelling units per acre on a site. The 30-foot height limit for the
majority of residential designations allows for up to three building stories and the maximum density of 20 dwelling
units per acre in the RM zone limits development.
Appendix C. Governmental and Non-Governmental Constraints
October 2022March 2023 Appendix C C-1
Table C-1 also provides the parking requirements for residential development in Los Gatos, by zoning district.
Parking is often a significant component of the cost of residential development and can be viewed as a constraint
to the provision of housing. The Town has provided some flexibility in its parking requirements, particularly for
Planned Developments and for some developments providing affordable units for elderly and disabled persons,
generally easing the constraint of parking requirements on the development of higher density and affordable units.
As part of the Housing Element Update, programs to amend the Zoning Code and General Plan to ensure
adequate sites are available to accommodate the identified sites in the Sites Inventory are proposed and include
Amending the Zoning Code to include a Housing Element Overlay Zone (HEOZ) to apply to the sites
included in the Site Inventory to modify the development standards (i.e., density, lot coverage, floor area
ratio, height) on those sites;
Amending the Affordable Housing Overlay Zone to increase the maximum allowable density from 20
dwelling units per acre to 30 40 dwelling units per acre;
Amending the North Forty Specific Plan to increase the maximum allowable density from 20 dwelling units
per acre to more than 3040 dwelling units per acre and increase the total number of dwelling units allowed
in the Specific Plan;
Amending the General Plan to modify the designation of Parcel 529-07-086 from Low Density to
Neighborhood Commercial;
Clarifying the text of the non-residential zones that the housing sites contained in the inventory sites table
that are in these zones must include housing;
Rezoning the Caltrans ROW (Site E3) to allow for residential developmentfrom R-1:8 to R-M:5-12;
Amend the General Plan to modify the designation from Low Density Residential to Medium Density
Residential; and
Allowing for housing developments that are 100 percent affordable are allowed by-right in the Mixed-Use
General Plan designation.
HCD Revised Draft Initial Review 2023-2031 Housing Element C-4 Appendix C October 2022March 2023 Table C‐1 Residential and Commercial Development Standards by Zoning District Notes: a Single‐family, residential condominiums, and two‐family dwellings must provide two parking spaces for each living unit and one additional visitor space for each residential unit is required. See discussion below for information regarding required visitor spaces. b The Town requires 1.5 parking spaces per unit for multiple‐unit dwellings in all zones and two‐family dwellings in the R‐1D zone. One visitor parking space for each residential unit other than a detached single‐family or two‐family dwelling shall be required, unless the Planning Commission makes a finding that more or less visitor parking is necessary due to the size or type of housing unit(s). c Setbacks vary depending on adjacent uses and streets for commercial designations Zoning District Density Minimum Lot Area Maximum Height (Feet) Front Yard Setback (Feet) Side Yard Setback (Feet) Rear Yard Setback (Feet) Parking Per Unit (No. of Spaces) Other RC 1 unit per lot 20 acres 25 30 20 25 2 HR HR‐1: 1‐5 acres per unit HR‐2.5: 2.5‐10 acres per unit HR‐5: 5‐40 acres per unit HR‐20: 20‐160 acres per unit 40,000 sq. ft. 25 30 20 25 2 Density ranges are dependent on hillside slope calculations. R‐1 R‐1:8 8,000 sq. ft. 30 25 8 20 2 R‐1:10 10,000 sq. ft. 30 25 10 20 2 R‐1:12 12,000 sq. ft. 30 25 10 20 2 R‐1:15 15,000 sq. ft. 30 25 12 25 2 R‐1:20 20,000 sq. ft. 30 30 15 25 2 R‐1:30 30,000 sq. ft. 30 30 16 25 2 R‐1D 5,000 sq. ft. for single‐family 8,000 sq. ft. for duplex 30 15 5 20 2 for single‐family and two‐family dwellings Architecture & Site is required for all new primary buildings R‐D 8,000 sq. ft. 30 25 8 20 2 R‐M 8,000 sq. ft. 30 25 8‐10 20 Resident: 1.5 per unit a Visitor: 1 per unit b Maximum height is 30 feet, except when the building has below grade parking the maximum is 35 feet. C‐1 Up to20 units per acre N/A 35 15 0 0 c Dependent on unit size Residential allowed with CUP C‐2 Up to 20 units per acre N/A 45 15 c 0 c 0 c Residential allowed with CUP. CH Up to 20 units per acre N/A 35 25 c 15 c 20 c Residential allowed with CUP O Up to 20 units per acre 8,000 sq. ft. 35 25 10 20 Residential allowed with CUP LM Up to 20 units per acre 8,000 sq. ft. 35 15 c 0 c 0 c Live/work allowed with CUP
Appendix C. Governmental and Non-Governmental Constraints
October 2022January 2023 Appendix C C-6
The Town regulates the type, permitting requirements, and standards for development, which implements the
General Plan and its land use designations, through the Town’s Zoning Ordinance, Chapter 29 of the Municipal
Code. This code section identifies residential zoning districts and allowable housing types as summarized in
Table C-2 below.
Table C‐2 Housing Types Allowed by Zoning District
Zoning District
Residential Permitted Uses Residential Uses Allowed with a
Conditional Use Permit
Resource
Conservation Zone
(RC)
Single‐family dwelling, provided that there
is not more than one (1) principal
residential structure on a lot
Accessory dwelling units
Junior accessory dwelling units
Residential care facility, small family home
Residential care facility‐large family home
Residential care facility‐group home
Caretaker residence
Hillside
Residential (HR)
Single‐family dwelling, provided that there
is not more than one (1) principal
residential structure on a lot
Accessory dwelling units
Junior accessory dwelling units
Residential care facility, small family home
Residential care facility‐large family home
Residential care facility‐group home
Caretaker residence
Single‐Family
Residential Zone
(R‐1)
Single‐family dwelling, provided that there
is not more than one (1) principal
residential structure on a lot
Accessory dwelling units
Junior accessory dwelling units
Residential care facility, small family home
Residential care facility‐large family home
Residential care facility‐group home
Single‐Family
Residential
Downtown Zone
(R‐1D)
Single‐family dwelling, provided that there
is not more than one (1) principal
residential structure on a lot
Two‐family dwelling, provided that there is
not more than one (1) principal residential
structure on a lot
Residential care facility, small family home
Accessory dwelling units
Junior accessory dwelling units
Residential care facility‐large family home
Residential care facility‐group home
Duplex Residential
Zone
(R‐D)
Single‐family dwelling
Two‐family dwelling
Residential care facility, small family home
Accessory dwelling units
Junior accessory dwelling units
Residential care facility‐large family home
Residential care facility‐group home
Multiple ‐Family
Residential Zone
(R‐M)
Single‐family dwelling
Two‐family dwelling
Residential care facility, small family home
Multi‐family dwelling
Transitional Housing facility as defined by
Health and Safety Code section 50675.2
Accessory dwelling units
Junior accessory dwelling units
Residential care facility‐large family home
Residential care facility‐group home
Mobile home park
Conversion of a mobile park to any other
use
HCD Revised Draft Initial Review 2023-2031 Housing Element
C-5 Appendix C October 2022March 2023
Source: Town of Los Gatos Comprehensive Fee Schedule Fiscal Year 2022/23
The Town Code will be modified to add by-right housing required by State law. Implementation Program BC,
Zoning for a Variety of Housing Types, will modify the Town Code to allow Transitional and Supportive Housing
development by right in all zoning districts that permit residential uses. The program will also permit by-right
Permanent Supportive Housing in zones where multi-family and mixed uses are permitted, including
nonresidential zones permitting multi-family uses. The CUP requirement for residential care facilities for seven or
Zoning District
Residential Permitted Uses Residential Uses Allowed with a
Conditional Use Permit
Mobile Home
Residential Zone
(RMH)
Mobile home parks for single‐family
dwelling uses
Residential quarters for use by manager or
other park employees
Conversion of a mobile park to any other
use
Neighborhood
Commercial Zone
(C‐1)
Residential care facility‐small family home
Residential care facility‐large family home
Residential care facility‐group home
One‐family dwelling (in a mixed‐use
project)
Two‐family dwelling (in a mixed‐use
project)
Multiple‐family dwelling (in a mixed‐use
project)
Live/work units
Central Business
District
Commercial Zone
(C‐2)
Single‐family and two‐family uses, in
conjunction with the other uses permitted
in this section
Residential care facility‐small family home
Residential care facility‐large family home
Residential care facility‐group home
Multiple‐family dwelling (in a mixed‐use
project)
Live/work units
Restricted
Highway
Commercial Zone
(CH)
Residential care facility‐small family home
Residential care facility‐large family home
Residential care facility‐group home
One‐family dwelling (in a mixed‐use
project)
Two‐family dwelling (in a mixed‐use
project)
Multiple‐family dwelling (in a mixed‐use
project)
Live/work units
Office
(O)
Residential care facility‐small family home
Residential care facility‐large family home
Residential care facility‐group home
One‐family dwelling (in a mixed‐use
project)
Two‐family dwelling (in a mixed‐use
project)
Multiple‐family dwelling (in a mixed‐use
project)
Live/work units
Commercial‐
Industrial Zone
(LM)
Live/work units
Appendix C. Governmental and Non-Governmental Constraints
October 2022March 2023 Appendix C C-1
more is a constraint to housing. Implementation Program BC, Zoning Text Amendments for Special Needs
Housing, includes a zoning amendment allow group homes of seven or more by right in all residential zones
conforming with HCD’s Group Home Technical Advisory (Dec 2022), no longer requiring a CUP. Implementation
Program BC, has added a zoning amendment to allow Employee Housing consisting of up to 36 beds or 12 units
in zones that allow agricultural uses (per Health and Safety Code Section 17000, et seq.).
Overlay Zones
Four overlay zones in the Town Code, the Planned Development (PD) zone, the Landmark and Historic
Preservation (LHP) zone, the Affordable Housing Overlay Zone (AHOZ), and the Public School Zone (PS) that
apply to housing development in Los Gatos.
Planned Development (PD)
The PD overlay zone was updated in 2018 and is intended to preserve, enhance, and/or promote development
that highlights the Town’s characteristics. This includes natural and historic resources, production of affordable
housing, maximization of open space, and projects that provide a public benefit to the Town’s citizens. As an
incentive to housing development, the PD overlay provides alternative standards for housing developments with a
minimum of 40 percent of the units affordable to households of very low, low, or moderate income.
Landmark and Historic Preservation (LHP)
The LHP overlay zone designation is applied to individual sites, structures, or areas deemed as architecturally or
historically significant. There are five designated LHP overlay zones within the Town, including the Almond
Grove, Downtown Commercial, Fairview Plaza, and University-Edelen districts. Existing and proposed
structure(s) within these LHP overlay zones are subject to a special design standard and review process
regarding their appearance, use, and maintenance before the Historic Preservation Committee.
Affordable Housing Overlay Zone (AHOZ)
The AHOZ is intended to increase the supply and variety of housing types to promote tenure and affordability.
The AHOZ promotes densities, development standards and incentives that will encourage the production of
housing affordable to all income levels of the Town's RHNA allocation. The properties can be developed
consistent with the AHOZ development standards, densities and incentives or under the existing zoning
requirements, but not both. The 2023-2031 Housing Element lists the one property, the Southbay Development
located on Knowles Drive, east of Winchester Boulevard as a key housing opportunity site for a mixed income
affordable housing project. The designation of this site will assist the Town in meeting its fair share of the regions
housing needs required by the State.
The AHOZ permits development at a density of 20 units per acre by-right, with an Architecture and Site approval,
for projects in which at least half of the units are affordable to lower or moderate-income households. The AHOZ
provides a 30-foot building height with an automatic allowance for 35 feet for integrated (first floor) garage or
podium parking. Additional height can be granted through the Architecture and Site Plan review process. The 40
percent lot coverage and parking reduction is consistent with the State Density Bonus maximum parking
requirements. Further parking reductions are allowed for properties within a quarter mile of the planned Vasona
Light Rail Station, for senior-only housing and housing for persons with disabilities. All other property
development standards are consistent with the Town's R-M Standards.
The AHOZ also allows up to four automatic concessions. The concessions include reductions in:
Parking: one space for studio and one-bedroom units, two spaces for three-to-four-bedroom units, 2.5
spaces for four or more-bedroom units, one space for units reserved for seniors or persons with
disabilities, reduction to one space per unit for developments within one-quarter mile to the proposed
Vasona Light Rail Station.
Setbacks: Any two property setbacks may be reduced by up to 50 percent.
Increase in lot coverage: The lot coverage may be increased up to 50 percent from 40 percent.
Processing fees: The Town shall waive or defer planning, engineering, and building processing fees,
except those that are paid directly to Town consultants or for technical studies.
The developer can select one of the following types of fees to be waived as one of the four available
concessions:
a. Planning and engineering application fees (but not Town consultant fees).
HCD Revised Draft Initial Review 2023-2031 Housing Element
C-5 Appendix C October 2022March 2023
b. Building plan check and inspection fees.
c. Construction mitigation fees.
Priority processing: The Town gives projects the highest processing priority for planning entitlements,
building plan check and building inspections.
The Valley Transportation Authority has deferred the development of the Vasona Light Rail Station indefinitely.
Given this recent development, the Town will initiate a Code amendment to reduce parking within a quarter mile
of transit stops as a further development incentive in the AHOZ.
Public School Zone (PS)
The PS Overlay Zone is intended to all school buildings to be used for community and educational purposes,
such as museums, community centers, and nurseries, without extensive exterior modifications. Any land owned
by a public school district may be designated as a PS overlay zone.
Multi-family Housing
Multi-family housing is permitted in a residential zone, including the R-M zone and is permitted in a mixed-use
development with a Conditional Use Permit (CUP) in the following commercial zoning districts, C-1, C-2, and CH
zones. One of the intents of these districts is to direct and facilitate housing of various density ranges. A
permitting process that is more onerous or uncertain for multi-family units than for single-family presents a
concern and could be considered a constraint on multi-family housing. In the R-M zone, the Town requires
apartments include one and a half parking spaces per unit, regardless of the number of bedrooms in the unit, plus
one visitor parking space for each apartment unit, unless the Planning Commission makes a finding that more or
fewer visitor parking is necessary due to the size or type of housing unit(s).
A CUP can increase risk and costs associate with the planning entitlement process act as a deterrent to housing
developers. Long permit processing times or permit processes that have a high degree of uncertainty (i.e.,
discretionary reviews or processes with multiple public meetings) increase the cost of housing for developers,
either by increasing their carrying costs as they wait for permits, or by increasing the chance that a project will be
rejected after a long wait. In either case, a developer working in a jurisdiction with an onerous permitting process
will demand higher profits to account for the increased risk, thereby increasing the overall development costs. In
order to remove this regulatory constraint, the Housing Element includes an Implementation Program to remove
the requirement for a CUP for residential development in zoning districts that current allow multi-family uses with
a CUP.
In Los Gatos, the predominant housing type in the Town is single family development which are allowed by right
in the R-M zone. When single family residences are allowed in higher density residential zoning districts, the
likelihood and ability of a developer constructing higher density residential units is diminished. Housing
developers face higher risk, including neighborhood opposition, when single-family homes are present in multi-
family zoning districts.
Manufactured Housing
Manufactured, otherwise known as prefabricated or factory-built, housing is constructed off-site and then
transported to the property. It is allowed in all residential districts in Los Gatos subject to its compliance with
Town regulations.
Transitional and Supportive Housing
Transitional housing refers to a housing facility with buildings configured as rental housing developments, but
operated under program requirements that call for the termination of assistance and recirculation of the assisted
unit to another eligible program recipient at some predetermined future point in time, which shall be no less than
six (6) months as defined by Health and Safety Code section 50675.2(h). Currently transitional housing is
allowed by right in the Town’s Multiple-Family Residential zone (R-M). According to California Health and Safety
Code Section 50675.14, supportive housing is housing that is linked to on- or off-site services and is occupied by
low-income persons with mental disabilities, chronic health issues or substance abuse issues, or persons with
disabilities that were developed before age 18. Supportive housing has no limit on the length of stay for tenants.
Supportive housing in Los Gatos consists of small family home residential care facilities, which are permitted in all
residential zoning districts except Mobile Home Residential (RMH). In Los Gatos, licensed residential care
Appendix C. Governmental and Non-Governmental Constraints
October 2022March 2023 Appendix C C-1
facilities for six or less persons are allowed by right in all residential districts consistent with California Health and
Safety Code Section 1267.8.
As part of the Housing Element Update the Town has included Implementation Program BC, Zoning Text
Amendment for Special Needs Housing, that will update the zoning code to allow transitional housing and
supportive housing developments by-right in all zoning districts that permit residential (per SB 2). The program will
update the Municipal Code to accommodate the by-right, streamlined, ministerial review of supportive and
transitional housing developments as mandated by Assembly Bill (AB) 2162 (2019). AB 2162 requires local
jurisdictions to permit the development of transitional/supportive housing by-right in any zoning district that
permits multi-family and mixed uses. Additionally, jurisdictions must provide a ministerial review of transitional
and supportive housing developments that only reviews these developments against standards for residential
uses in that same district. As part of this streamlined, ministerial review, the Town will be required to notify
applicants of their eligibility for streamlining within 30 days of application submittal. Proposed developments of up
to 50 supportive housing units must be reviewed completely within sixty (60) days while developments proposing
more than 50 units must be reviewed within one hundred and twenty (120) days.
According to California Health and Safety Code Section 50675.2, transitional housing is rental housing with, at
most, a six-month limit on the length of stay for tenants. Transitional housing would be available to homeless
individuals and/or families in need of temporary housing until they can secure more permanent housing. The
Town of Los Gatos Zoning Code uses the State’s definitions for transitional housing. Transitional housing is
permitted as a residential use consistent with State law.
Accessory Dwelling Unit (ADU)
Accessory dwelling units are complete independent housing units that can be either detached or attached from an
existing single-family residence. Based on their relatively small size, and because they do not require paying for
land or major new infrastructure, ADUs are considered affordable by design. ADUs can provide affordable
housing options for family members, seniors, students, in-home health care providers, and other small household
types. ADUs can also be useful to generate additional rental income for the homeowner, making homeownership
more financially feasible.
In 2020 the Town adopted Ordinance 2307, amending the Town Code to further address barriers to the
development of ADUs and to conform with a series of State bills aimed at encouraging single-family homeowners
to add ADUs to their property. Permitted zones allowing the ADUs include the R-1, R-D, R-M, R-1D, RMH, HR
and RC zones. The Town’s ADU Ordinance allows a 10 percent increase in the floor area ratio standards for an
ADU. All detached units must comply with lot coverage maximum of their designated zone. ADUs are not to
exceed 1,200 square feet. One parking space is required per unit or bedroom, unless the ADU is located within
half a mile of a transit stop.
A Prior to January 2023, new ADU’s requires required the submittal of an Accessory Dwelling Unit Application to
the Community Development Department. As of January 2023, new ADU’s require only a building permit from
the Building Department. Over the past three years (2020-2023), the Town has averaged 50 32 issued ADU
building permitss per year. In order to further incentivize production, a program to eliminate Building fees if the
unit is deed restricted for very low- and low-income households is included in the Housing Element.
Building and Code Compliance
In addition to the General Plan land use designations and Town Code, Los Gatos has recently adopted updated
building codes that enforce Town regulations with the purpose of protecting the lives, health, property, and public
welfare of Los Gatos residents. Each Code is an enforcement of State and local standards and is not considered
a constraint on housing production in Los Gatos. The following 2019 2022 California Building Standards Codes
have been adopted, as amended by the Town:
Part 1 California Administrative Code.
Part 2 California Building Code, Volumes 1 and 2, including Appendices B, I, and J (local amendments).
Part 2.5 California Residential Code including Appendices AH, AK, AO, AQ, SAX, V, and XAZ (local
amendments).
Part 3 California Electrical Code.
HCD Revised Draft Initial Review 2023-2031 Housing Element
C-5 Appendix C October 2022March 2023
Part 4 California Mechanical Code.
Part 5 California Plumbing Code including Appendices A, B, D, G, I, K, and L (local amendments).
Part 6 California Energy Code.
Part 8 California Historical Building Code including Appendices A.
Part 9 California Fire Code (local amendments).
Part 10 California Existing Building Code including 202120118 International Existing Building Code
Chapters 9 and 14, as well as Appendices A2, A3, A4, and A5.
Part 11 California Green Building Standards Code (CALGreen) Chapters 1 through 8 only (local
amendments).
Part 12 California Referenced Standards Code.
2018 2022 International Property Maintenance Code.
The Town also has a Code Compliance Officer that enforces the Town’s zoning regulations and building and
safety codes. The program reviews and responds to code complaints. The Town has adopted the 2018 2021
International Code for Property Maintenance and the 2019 2022 California Existing Building Code, including 2021
2018 International Existing Building Code Chapters 9, 14, and Appendices A2, A3, A4, and A5. Affordable units
developed under the Below Market Price (BMP) Program must undergo an annual compliance audit.
On- and Off-Site Improvements
The Town requires standard on- and off-site improvements for development, which are intended to meet health
and safety requirements of the community. Required improvements may include the dedication and construction
of public streets, alleys, utility infrastructure, or other facilities required to maintain public safety and convenience.
The Town’s standards and requirements for streets, sidewalks, and other site improvements are found in the
Municipal Code. These standard improvements are not considered a constraint on development because the
Town does not include improvements beyond what is required to meet health and safety requirements. While on
or off-site improvements may increase the costs of developing housing, such improvements are necessary to
adequately provide the infrastructure and public facilities needed to support housing development. This
infrastructure and these facilities are critical to balancing the health and safety of the public, with the development
needs of the Town, without hindering housing development. Subdivision design standards for the Town,
described in the Town Code starting at Section 29.10.06701, include the following on- and off-site improvements:
Parking bays may be required on narrow streets where parking may be prohibited on either or both sides
of the street.
Roadways must be paved with asphalt concrete.
Sidewalks are required on all streets in a subdivision unless the lots will be 20,000 feet in size or more.
Curbs and gutters must be constructed on all streets.
Culverts, storm drains, and drainage structures will be required in a subdivision.
Sanitary sewers with house service laterals are required to serve each lot, with some exceptions in hillside
areas.
Underground utilities with connections are required for each lot.
Street lighting shall be installed in accordance with Town standards
Design Guidelines and Objective Design Standards
The Town has adopted Residential Design Guidelines for single-family and two-family dwelling units, which
incorporate the Town’s previous Residential Pre-1941 Design Guidelines for historically significant structures,
sites, and historic districts in Los Gatos. The Town has also adopted Hillside Development Standards and
Guidelines. These sets of development standards and design guidelines are used in the development and design
review process for Los Gatos and complement the Town’s zoning regulations. The Hillside Development
Standards and Guidelines were adopted in January 2004 and modified in 2020. The Residential Design
Guidelines were updated and adopted in 2008.
Appendix C. Governmental and Non-Governmental Constraints
October 2022March 2023 Appendix C C-1
The Town of Los Gatos is developing Objective Design Standards for the review of multi-family housing and
mixed-use development applications. This effort is in response to State legislation requiring jurisdictions to adopt
objective standards and to implement them in a streamlined review of qualifying housing projects. Objective
standards are defined under State law as “standards that involve no personal or subjective judgement by a public
official and are uniformly verifiable by reference to an external and uniform benchmark or criterion available and
knowable by both the development applicant or proponent and the public official prior to submittal” (California
Government Code, Section 65913.4).
On September 14, 2022, the Planning Commission reviewed and recommended approval of the Draft Objective
Design Standards with modifications. The Town Council is expected to consider the Draft Objective Design
Standards in mid-November 2022.
Residential Design Guidelines
Residential Design Guidelines in Los Gatos address the following design characteristics for single-family and two-
family dwelling units in all zoning districts except for the RC and HR zones:
Historic Designations. When necessitated by the designating ordinance, Historic Preservation
Committee review of a development is required for developments that affect a historically designated
property or are located in a historic district.
Site Development. This section focuses on the design and layout of the housing development in relation
to its site. Site planning issues addressed include site design, solar orientation, shadow effect, and
easements and dedications. This section provides information on landscaping requirements, sensitivity to
adjacent neighbors, and conformity to neighborhood street and sidewalk edges.
Building Design. This section focuses on the design and layout of development in relation to the
surrounding neighborhood. Issues addressed include harmony and compatibility with the streetscape and
surrounding structures; the scale and mass of the development including second-story additions,
significant remodels, demolitions and replacement structures, exterior material and colors, building
components, energy conservation, and privacy. Neighborhood compatibility for replacement structures
shall be based on the following criteria:
Existing architectural style of surrounding neighborhood.
Size of the lot on which the development is located.
Size of homes adjacent to the development and along the street on which the development is
located.
Transitioning neighborhood.
Impacts on the site and surrounding property.
Landscaping/Open Space. This section addresses tree preservation in accordance with Division 2 of the
Town Code for adherence to the Town’s Tree Protection Ordinance.
The Los Gatos Residential Design Guidelines promote safe, compatible, and well-designed housing in Los Gatos.
These standards are not a constraint on single-family and two-family housing development.
Hillside Development Standards and Guidelines
The Hillside Development Standards and Guidelines are consistent with the Town’s policies and complement and
coordinate with the Town’s Hillside Specific Plan. These standards and guidelines apply to all areas zoned HR,
RC, and some lots zoned R-1 as noted on the Town’s Hillside Area Map. The goal of these standards and
guidelines is to encourage high-quality design that incorporates sustainable development and open space
preservation.
The following summarizes the Hillside Development Standards and Guidelines for Los Gatos:
Constraints Analysis and Site Selection. Developers must conduct a constraints analysis as deemed
necessary by the Town, consult with neighbors, meet with Town staff to discuss the development site, and
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C-5 Appendix C October 2022March 2023
conduct a view analysis for the development site. The constraints analysis, as required by the Town,
requires that developers of hillside property identify the Least Restrictive Development Area (LRDA), or
areas deemed most feasible for development on hillsides. For the view analysis, developers must analyze
aesthetic impacts; preserve hillside and ridgeline views; and preserve natural features, riparian corridors,
and wildlife.
Site Planning. This section describes site planning standards and guidelines that minimize physical and
aesthetic impacts to the site topography. Standards and guidelines discuss grading, drainage, driveways
and parking, and safety regarding geologic and fire hazards.
Development Intensity. This section outlines the maximum allowable floor area of development based
on lot size.
Architectural Design. The following architectural design characteristics are addressed in this section:
Neighbor-friendliness.
Sustainability.
Fire safety.
Building height.
Bulk and mass.
Roofs.
Architectural features and detailing.
Materials and colors.
Site Elements. The specific elements of a hillside development site are addressed:
Fences and walls.
Driveway entries.
Retaining walls.
Outdoor lighting.
Accessory buildings, swimming pools, and sport courts.
Impervious surfaces.
Landscape Design. Because hillside sites are more prone to erosion, landslides, mudslides, and fire and
water hazards than flatter sites in Los Gatos, the following concepts are addressed in the landscaping
standards and guidelines for hillside development:
Fire safety.
Garden and turf locations and plant selection.
Irrigation.
Impervious surfaces.
Plant materials.
Tree preservation.
Planned Development Projects. This section describes standards and guidelines that relate specifically
to hillside Planned Developments (PDs) in Los Gatos. Additional restrictions are placed on the LRDA for
PDs. This section includes standards and guidelines focusing on site preparation, drainage, lot
configuration and building locations, street layout and driveways, and trail design.
Draft Objective Design Standards
On November 15, 2022, the Town Council adopted the Objective Design Standards. The Town of Los Gatos
developed Objective Design Standards for the review of multi-family housing and mixed-use development
Appendix C. Governmental and Non-Governmental Constraints
October 2022March 2023 Appendix C C-1
applications. This effort was in response to State legislation requiring jurisdictions to adopt objective standards
and to implement them in a streamlined review of qualifying housing projects. Objective standards are defined
under State law as “standards that involve no personal or subjective judgement by a public official and are
uniformly verifiable by reference to an external and uniform benchmark or criterion available and knowable by
both the development applicant or proponent and the public official prior to submittal” (California Government
Code, Section 65913.4).
The purpose of the Objective Design Standards is to ensure that new qualifying multi-family and mixed-use
projects in Los Gatos provide high-quality architecture, integrate with surrounding development, and include well-
designed amenities and open spaces. The Objective Design Standards will:
Comply with recent State housing legislation.
Implement streamlined and ministerial review processes for qualifying projects.
Ensure that qualifying projects align with the Town’s expectations and vision to maintain and support the
character of the Town.
Provide a set of clear criteria to guide development.
Establish an objective framework by which a qualifying project will be evaluated.
The Draft Objective Design Standards are organized into two primary sections: Site Standards and Building
Design. The Site Standards section includes objective standards for site layout and building placement, vehicular
access and parking, and outdoor spaces and amenities. The Building Design section includes objective
standards for building form and massing, façade articulation, materials, and roof design.
The Draft Objective Design Standards are intended to promote predictable, safe, and well-designed multi-family
housing in Los Gatos. On September 14, 2022, the Planning Commission reviewed and recommended approval
of the Draft Objective Design Standards with modifications. The Town Council is expected to consider the Draft
Objective Design Standards in mid-November 2022.
Governmental Fees and Exactions
Government policy at both the State and jurisdictional levels play a major role in determining the costs of building
new housing. Regulations and permitting processes that result in lengthy or uncertain development carry higher
risk and increased financing. Additionally, frequent delays in the entitlement and approval process directly
increase costs, such as additional architectural work, inspections, and community meetings.
Streamlining permitting processes, applying permit application processes consistently, increasing
interdepartmental cooperation, having adequately funded and staffed planning departments, and increasing by-
right housing are all actions jurisdictions can take to reduce the constraints represented by fees and permit
processing times.
Governmental fees can be a significant portion of the cost of housing development and can therefore be
considered a constraint to housing development. Table C-2 and Table C3 below provides all of the planning and
development fees that may apply to residential development projects in Los Gatos. Fees are due at the time an
application is accepted by the Town, except for projects in the Affordable Housing Overlay Zone, which can waive
or defer their fees as a development incentive.
Development fees are a standard component of new construction. Although these fees can add to the cost of
residential development, they are necessary for new development to pay its fair share of municipal services and
infrastructure for new development. Without adequate development fees, the Town would be unable to serve
future growth with adequate municipal services.
According to the Town of Los Gatos’ Community Development Department Planning Division, developing a new
single-family home (non-hillside) in Los Gatos typically costs about $11,863.28 in planning fee plus an additional
deposit of $2,750 for review by the Town’s consulting architect and a deposit of $2,200 for a review by the Town’s
consulting arborist. The fee for a new two-family unit is $15,789.16. Multi-family units, three or more units
typically cost $16,281.92 in planning fees and the same consulting architect and arborist fees are applicable.
These fees include Planning Commission or Design Review Committee approval, fees associated with a Planned
HCD Revised Draft Initial Review 2023-2031 Housing Element
C-5 Appendix C October 2022March 2023
Development that does not require a General Plan or Specific Plan amendment, and fees related to finalizing the
map and Certificate of Compliance.
Table C-32 Community Development Department Fees Effective July 1, 2022
Application
Fee
4% Permit
Tracking
Fee
10%
General
Plan
Update
10%
Advance
Planning
Special
Project
Engineering
Dev Review
Services
Fee
Total Fee
1 ZONING APPROVALS
A Architecture and Site Applications
1 Development Review Committee (DRC) Approval
a. New single‐family
detached (HR & RC
zone)
$9,508.00 $380.32 N/A $950.80 $4,396.00 $15,235.12
b. New single‐family
detached (HR & RC
zones) per unit, as
part of a Planned
Development
$6,603.00 $264.12 N/A $660.30 $4,393.00 $11,920.42
c. New single‐family
or two‐family units $6,552.00 $262.08 N/A $655.20 $4,394.00 $11,863.28
d. New single‐family
or two‐family (any
other zone) per
unit, as part of a
Planned
Development
$4,682.00 $187.28 N/A $468.20 $4,398.00 $9,735.48
e. Minor projects (a
development
proposal that does
not significantly
change the size,
mass, appearance
or neighborhood
impact of a
structure, property
or parking lot)
$2,375.00 $95.00 N/A $237.50 $3,374.00 $6,081.50
2 Planning Commission Approval
a. Supplemental
fee for DRC
applications as
determined in
Section 1.A.(1) or
minor residential
development
applications that
require Planning
Commission
approval
$3,355.00 $134.20 N/A $335.50 $1,225.00 $5,049.70
b. New two‐family
unit $9,994.00 $399.76 N/A $999.40 $4,396.00 $15,789.16
c. New
nonresidential $11,471.00 $458.84 N/A $1,147.10 $4,396.00 $17,472.94
Appendix C. Governmental and Non-Governmental Constraints
October 2022March 2023 Appendix C C-1
Application
Fee
4% Permit
Tracking
Fee
10%
General
Plan
Update
10%
Advance
Planning
Special
Project
Engineering
Dev Review
Services
Fee
Total Fee
d. New multi‐family $10,428.00 $417.12 N/A $1,042.80 $4,394.00 $16,281.92
e. All other $5,815.00 $232.60 N/A $581.50 $4,396.00 $11,025.10
B Conditional Use Permits
1 Conditional Use
Permit $6,726.00 $296.04 N/A $672.60 $1,431.00 $9,098.64
2
Conditional Use
Permit (when
consolidated with
another application
for new
development)
$1,118.00 $44.72 N/A $111.80 $820.00 $2,094.52
3 Conditional Use Permit for Restaurants
Minor Restaurant
(DRC Approval) $4,093.00 $163.72 N/A $409.30 $1,128.00 $5,794.02
Major Restaurant (PC Approval)
Tier 1 $6,726.00 $269.04 N/A $672.60 $1,838.00 $9,505.64
Tier 2 includes
alcohol and/or
entertainment
(must pay #4 below
with this
application)
$7,949.00 $317.96 N/A $794.90 $1,837.00 $10,898.86
4
Applications that
require TC Approval
(this fee
supplements the
above established
fees)
$3,190.00 $127.60 N/A $319.00 $1,226.00 $4,862.60
a. Transcription Fee
of PC Minutes
Actual Cost
($500 Deposit) N/A N/A N/A N/A Varies
C Variance $4,947.00 $197.88 N/A $494.70 $1,431.00 $7,070.58
D Rezoning (other than Planned Development)
1
Without General
Plan or Specific Plan
Amendment
Actual Cost
($5,000 min.) $200 (min.) $500
(min.) $500 (min.) N/A $6,200.00
2
With General Plan
or Specific Plan
Amendment
Actual Cost
($7,000 min.) $280 (min.) $700
(min.) $700 (min.) N/A $8,680.00
E Planned Development
1
Without General
Plan or Specific Plan
Amendment
Actual Cost YES YES YES N/A Varies
2
Without General
Plan or specific Plan
Amendment (HR or
RC Underlying Zone)
Actual Cost YES YES YES N/A Varies
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C-5 Appendix C October 2022March 2023
Application
Fee
4% Permit
Tracking
Fee
10%
General
Plan
Update
10%
Advance
Planning
Special
Project
Engineering
Dev Review
Services
Fee
Total Fee
3
With General Plan
or Specific Plan
Amendment
Actual Cost YES YES YES N/A Varies
4
With General Plan
or Specific Plan
Amendment (HR or
RC Underlying Zone)
Actual Cost YES YES YES N/A Varies
5
Town Council
Modification to a
Planned
Development
Actual Cost
($5,000 min.) $200 (min.) $500
(min.) $500 (min.) N/A $6,200.00
6
DRC Modification to
a Planned
Development Zone
Actual Cost
($3,000 min.) $120 (min.) $300
(min.) $300 (min.) N/A $3,720.00
7 Publication costs for the Planned Development Ordinance shall be paid by the applicant.
8 Transcription Fee of
PC Minutes
Actual Cost
($500 Deposit) N/A N/A N/A N/A Varies
F Minor Residential
Development $2,375.00 $95.00 N/A $237.50 N/A $2,707.50
G
Agricultural
Preserve
Withdrawal
$4,035.00 $161.40 N/A $403.50 N/A $4,599.90
H Planning Division Certificates of Use and Occupancy
1 Change of Use $244.00 $9.76 N/A $24.40 N/A $278.16
2
Change of
occupancy
(excluding change
of proprietor of a
continuing business
enterprise)
$164.00 $6.56 N/A $16.40 N/A $186.96
3
Use/occupancy
clearance if
Conditional Use
Permit is required
or occupancy of a
new secondary
dwelling unit
No fee No fee No fee No fee No fee No fee
I
Hazardous
Materials Storage
Facility Application
Actual Cost
($1,000
Deposit)
N/A N/A N/A N/A Varies
J Home Occupation
Permit $164.00 $6.56 N/A N/A N/A $170.56
K Sign Application
L Accessory Dwelling Unit
1 New Permanent
Sign $328.00 $13.12 N/A $32.80 N/A $373.92
2 Temporary
Nonresidential $105.00 $4.20 N/A $10.50 N/A $119.70
Appendix C. Governmental and Non-Governmental Constraints
October 2022March 2023 Appendix C C-1
Application
Fee
4% Permit
Tracking
Fee
10%
General
Plan
Update
10%
Advance
Planning
Special
Project
Engineering
Dev Review
Services
Fee
Total Fee
3 Change of Face Only $164.00 $6.56 N/A $16.40 N/A $186.96
4 Sign Program $2,197.00 $87.88 N/A $219.70 N/A $2,504.58
1 New or existing unit $1,419.00 $56.76 N/A $141.90 N/A $1,617.66
M Mobile Home Park
Conversion Permit
Actual Cost
($5,000
deposit)
Varies Varies Varies N/A Varies
N General Plan/Town
Code Amendments
Actual Cost
($5,000
deposit)
N/A N/A N/A N/A Varies
O Administrative Land Use Permit
1
Minor
telecommunications
facility (i.e.
microcell, 8021 lb or
equivalent)
$1,626.00 $65.04 N/A $162.60 N/A $1,853.64
2
Major
telecommunications
facility which do not
require a
Conditional Use
Permit
$3,898.00 $155.92 N/A $389.80 N/A $4,443.72
P Two‐Unit Housing
Development $1,340.00 $53.60 N/A $134.00 N/A $1,527.60
Q Urban Lot Split $1,340.00 $53.60 N/A $134.00 N/A $1,527.60
2 SUBDIVISIONS
A Lot Line Adjustment
(DRC Approval) $2,254.00 $90.16 N/A $225.40 $3,782.00 $6,351.56
B 4 Lots or Less (DRC
Approval) $9,081.00 $363.24 $908.10 $908.10 $4,194.00 $15,454.44
C
4 Lots or Less (as
part of a Planned
Development) (DRC
Approval)
$3,750.00 $150.00 $375.00 $375.00 $4,398.00 $9,048.00
D 5 Lots or More $10,230.00 $409.20 $1,023.00 $1,023.00 $5,420.00 $18,105.20
E
5 Lots or More (as
part of a Planned
Development) (DRC
Approval)
$4,397.00 $175.88 $439.70 $439.70 $5,420.00 $10,872.28
F Vesting Tentative
Map
Actual Cost
($500 deposit) N/A N/A N/A N/A Varies
G
Lot Merger and
Reversion to
Acreage (DRC
Approval)
$1,117.00 $44.68 $ N/A $111.70 $3,781.00 $5,054.38
H Condominium $7,884.00 $315.36 $788.40 $788.40 N/A $9,776.16
I
Condominium (as
part of a Planned
Development)
$3,750.00 $150.00 $375.00 $375.00 N/A $4,650.00
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C-5 Appendix C October 2022March 2023
Application
Fee
4% Permit
Tracking
Fee
10%
General
Plan
Update
10%
Advance
Planning
Special
Project
Engineering
Dev Review
Services
Fee
Total Fee
J
Certificate of
Compliance (DRC
Approval)
$3,257.00 $130.28 N/A $325.70 $2,350.00 $6,062.98
K
VTM applications
that require Town
Council
approval and/or
DRC applications
that
require Planning
Commission
approval. This
fee supplements
the above
established
fees.
$2,824991.00 $112.96119.64 N/A $282.40299.10 N/A $3,219.36,409.74
3 MISCELLANEOUS APPLICATION FEES
A
Time Extensions to
Approved
Applications
(excluding fees
based on actual
cost)
50% of Current
Fee Varies Varies Varies Varies Varies
B
Modification of
Approved
Application
(excluding fees
based on actual
cost)
75% of Current
Fee Varies N/A Varies Varies Varies
C
Restaurant CUP
Modification (50%
of $1,500)
$750.00 N/A N/A N/A N/A $750.00
C D
Conceptual
Development
Advisory Committee
Review
$2,966.00 $118.64 N/A $296.60 N/A $3,381.24
1 CDAC Special
Noticing
Actual Cost
($500 Deposit) N/A N/A N/A N/A Varies
E Push Cart Permit $521.00 $20.84 N/A $52.10 N/A $593.94
F Auto Dealer Events
1 Small promotional
events $87.00 $3.48 N/A $8.70 N/A $99.18
2 Large promotional
events $425.00 $17.00 N/A $42.50 N/A $484.50
G Newsrack Permit $413.00 $16.52 N/A $41.30 N/A $470.82
H
Firearms Dealer
Permit ($766.00 of
fee to Police)
Actual Cost
($2,000
Deposit)
N/A N/A N/A N/A Varies
4 ENVIRONMENTAL ASSESSMENT FEES
Appendix C. Governmental and Non-Governmental Constraints
October 2022March 2023 Appendix C C-1
Application
Fee
4% Permit
Tracking
Fee
10%
General
Plan
Update
10%
Advance
Planning
Special
Project
Engineering
Dev Review
Services
Fee
Total Fee
A Categorical
Exemption No Fee N/A N/A N/A N/A No Fee
B Initial Study
(Deposit)* $5,000.00 N/A N/A N/A Yes Varies
C
Draft Initial Study
Review Fee (or
actual
cost if part of a
Planned
Development,
General Plan and/or
Town Code
Amendment)
$2,950.00 N/A N/A N/A $2,045.00 $4,995.00
D Environmental
Impact Report (EIR)
Consultant’s
Fee N/A N/A N/A N/A Varies
E Draft EIR Review
Fee
$12,184 Plus
10% EIR Cost N/A N/A N/A Varies Varies
F Impact Monitoring
Program (AB3180)
Actual Cost on
an hourly basis
plus cost of
Consultant (if
necessary)
N/A N/A N/A N/A Varies
5 OTHER
A Pre‐application
Conference Fee No fee Varies Varies Varies N/A Varies
B
Fence Height
Exceptions
$292.00 N/A N/A N/A N/A $292.00
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C-5 Appendix C October 2022March 2023
Application
Fee
4% Permit
Tracking
Fee
10%
General
Plan
Update
10%
Advance
Planning
Special
Project
Engineering
Dev Review
Services
Fee
Total Fee
C
Peer/Technical
Review
Actual Cost
($2,000
deposit)
N/A N/A N/A N/A Varies
D
Fees for Additional
Tech Review and/or
DRC Review DRC
beyond 3 meetings,
Planning
Commission hearing
beyond 2
meetings, Town
Council hearing
beyond 1
meeting
Actual Cost N/A N/A N/A N/A Varies
E
Request for Service
Not Covered by Any
Other Fee
Actual Cost N/A N/A N/A N/A Varies
F Laserfiching Files $1.25 per Sheet N/A N/A N/A N/A Varies
F G Building Permit Plan
Check Fee
20% of Building
Fee N/A N/A N/A N/A Varies
GH Surcharges
1
Permit Tracking
Maintenance and
Update Surcharge
4% of
Development
Application Fee
N/A N/A N/A N/A Varies
2 General Plan
Update Surcharge
.5% of Bldg. Valuation for new
construction and additions or
10% of zone change &
subdivision fee
N/A N/A N/A Varies
3 Advanced Planning
Projects
10% of
Development
Application Fee
N/A N/A N/A N/A Varies
4 Administrative Fee
10% of
Consultant
Deposit
N/A N/A N/A N/A Varies
4 Route 85 Study Plan
Surcharge **
10% of Development
Application Fee for property in
Route 85 Study Area Plan
N/A N/A N/A Varies
I
Applications for
Work Unlawfully
Completed
Double Current
Application Fee N/A N/A N/A N/A Varies
Appendix C. Governmental and Non-Governmental Constraints
October 2022March 2023 Appendix C C-1
Application
Fee
4% Permit
Tracking
Fee
10%
General
Plan
Update
10%
Advance
Planning
Special
Project
Engineering
Dev Review
Services
Fee
Total Fee
J Consultation Actual Cost on
an hourly basis
N/A N/A N/A N/A Varies
K Outdoor Seating
Actual Cost
($1,000
deposit)
N/A N/A N/A N/A
Varies
L Valet Parking
Actual Cost
($1,000
deposit)
N/A N/A N/A N/A
Varies
M Parklet Program
Actual Cost
($1,000
deposit)
N/A N/A N/A N/A
Varies
MN Appeals
1
Fee to Appeal
Planning
Commission
Decision to Town
Council
$464 per
residential
$1,867 per
commercial,
multi‐family or
tentative
map
N/A N/A N/A N/A Varies
2
Fee to remand
applications from
Town Council to
Planning
Commission where
no error was made
by Planning
Commission
Actual Cost N/A N/A N/A N/A Varies
3
Fee to Appeal
Director of
Community
Development or
Development
Review Committee
decision to Planning
Commission
$234 per
residential
$934 per
commercial
N/A N/A N/A N/A Varies
4 Tree Appeals $95.00 N/A N/A N/A N/A $95.00
5
Appeal
Transcription fee of
Planning
Commission
minutes
Actual Cost
min.( $500
depositDeposit)
N/A N/A N/A N/A Varies
L.O Research Services
Minimum Charge
Actual Cost
($200
Deposit)Actual
Cost min. $100
deposit
N/A N/A N/A N/A Varies
P Zoning Research
1 Basic zoning letter $164.00 N/A N/A N/A N/A $164.00
HCD Revised Draft Initial Review 2023-2031 Housing Element
C-5 Appendix C October 2022March 2023
Application
Fee
4% Permit
Tracking
Fee
10%
General
Plan
Update
10%
Advance
Planning
Special
Project
Engineering
Dev Review
Services
Fee
Total Fee
2
Legal non‐
conforming
verification
$688.00 N/A N/A N/A N/A $688.00
3
Reconstruction of
legal non‐
conforming
structures
(Burndown Letter)
$292.00 N/A N/A N/A N/A $292.00
Q Annexations
1 One Lot $3,188.00 $127.52 N/A N/A N/A $3,315.52
2 Two Lots $3,188.00 $63.76 N/A N/A N/A $1,657.76
3 Three Lots $3,188.00 $42.56 N/A N/A N/A $1,106.56
4 Four Lots $3,188.00 $32.00 N/A N/A N/A $832.00
5 Five Lots or more $3,188.00 $25.40 N/A N/A N/A $660.40
R Special Noticing Actual Cost
($500 deposit) N/A N/A N/A N/A Varies
Source: Town of Los Gatos Comprehensive Fee Schedule Fiscal Year 2022/23
The following table provides a comprehensive list of residential Town development fees.
Table C-4 Additional Development Fees Effective July 1, 2022
Building Permit Fees Fee
Fee for issuing/reinstating a Building Permit $58.00
Additional Building Permit Fee $32.00
Demolition Permit Residential: $281.00
Commercial: $492.00
$1.00 to $500.00 $35.00
$501.00 to $2,000.00 $35.00 for the first $500.00 plus $4.53 for
each additional $100.00 or fraction
thereof, to and including $2,000.00
$2,001.00 to $25,000.00 $103.00 for the first $2,000.00 plus $20.82
for each additional $1,000.00 or fraction
thereof, to and including $25,000.00
$25,001.00 to $50,000.00 $582.00 for the first $25,000.00 plus
$15.02 for each additional $1,000.00 or
fraction thereof, to and including
$50,000.00
$50,001.00 to $100,000.00 $957.00 for the first $50,000.00 plus
$10.41 for each additional $1,000.00 or
fraction thereof, to and including
$100,000.00
$100,001.00 to $500,000.00 $1,478.00 for the first $100,000.00 plus
$8.32 for each additional $1,000.00 or
fraction thereof, to and including
$500,000.00
Appendix C. Governmental and Non-Governmental Constraints
October 2022March 2023 Appendix C C-1
Building Permit Fees Fee
$500,001.00 to $1,000,000.00 $4,808.00 for the first $500,000.00 plus
$7.06 for each additional $1,000.00 or
fraction thereof, to and including
$1,000,000.00
$1,000,001.00 and over $8,339.00 for the first $1,000,000.00 plus
$4.68 for each additional $1,000.00 or
fraction thereof
Special Services & Inspections
Inspection outside normal business hours (4 hr. minimum) $203.00/hr.
Re‐inspection fees $169.00/hr.
Inspections for which no fee is specifically indicated (2 hr. minimum) $169.00/hr.
Additional plan review required by changes, additions or revisions to
plans (1 hr. minimum)
$161.00/hr
For use of outside consultants for plan checking and/or inspections
Actual Cost
Services for which no fee is specifically indicated (1/2 hr. minimum) $169.00/hr.
Permit/Plan check time extension (per permit) (applies to permits
that have not expired)
$83.00
Express plan review or initial review (1 hr. minimum) $169.00/hr.
Application for the Appeals Building Board Review $289.00
Temporary Certificate of Occupancy $1,160.00
Other Miscellaneous Factors to Determine Construction Valuation
Convert Garage to habitable space $124.00/sq.ft.
Convert unfinished basement or attic to habitable $134.00/sq.ft.
Pools/Spas (gunite) $80.00/sq.ft.
Siding ‐ aluminum/vinyl/wood $34.00/sq.ft.
Antennas & Towers Const.Value As Applied under valuation
schedule on page 6
Fence or Freestanding Wall (over 6" high) Wood or metal $52.00/sq.ft.
Masonry $90.00/sq.ft.
Decks/Balcony $50.00/sq.ft.
Wood Deck $21.00/sq.ft.
Re‐roofs $3.00/sq.ft.
Retaining Walls $113.00/sq.ft.
Special Systems Fees
Emergency generation, wind power, special HVAC systems, etc. Plan Review (1 hr. minimum) $161.00/hr.
Field Inspection (2 hr. minimum)
$169.00/hr.
Photovoltaic ‐ Roof & Ground Mounted – Residential Plan Review (1/4 hr. minimum) $161.00/hr.
Field Inspection (1 hr. minimum)
$169.00/hr.
Photovoltaic ‐ Roof & Ground Mounted ‐ Commercial Plan Review (1 hr. minimum) $161.00/hr.
Field Inspection (2 hr. minimum)
$169.00/hr.
Electrical Permit Fees
Fee for issuing/reinstating an Electrical Permit $58.00
Additional Electrical Permit Fee $26.00
HCD Revised Draft Initial Review 2023-2031 Housing Element
C-5 Appendix C October 2022March 2023
Building Permit Fees Fee
New Residential Construction (new buildings only, including garages) $.11 sq. ft
Commercial Construction $.08 sq. ft
Plan Review & Re‐inspection Fees
Plan review fee 25% of Electrical Permit Fee
Additional plan review $161.00/hr.
Re‐inspection fee $169.00/hr.
System Fee Schedule
Private swimming pools $67.00
Temporary power poles $83.00
Temporary distribution system & temporary lighting $40.00
Unit Fee Schedule
Receptacle, switch and lights $2.00
Residential appliances/new circuits (cook top, oven, range, disposals,
clothes dryers, or other motor operated appliances not exceeding one
horsepower)
$6.00
Nonresidential appliances/new circuits (medical & dental devices,
food, beverage, drinking fountains, laundry machines, or other similar
equipment) NOTE: for other types of air conditioners and other
motor‐driven appliances having larger electrical ratings, see
Generators/Motors
$8.00
Photovoltaic system (residential) $90.00
Solar systems (including controls) $90.00
Power apparatus (generators, transformers, A/C, heat pumps, baking
equipment)
Up to 10 KV, each $17.00
Over 10 KV not over 50 KV, each $34.00
Over 50 KV and not over 100 KV, each
$67.00
Over 100 KV, each $89.00
Motors Up to 10 hp $17.00
Up to 25 hp $34.00
Up to 55 hp $67.00
Over 55 hp $97.00
Transformers Up to 5 KVA $17.00
Up to 10 KVA $34.00
Up to 50 KVA $56.00
Over 50 KVA $82.00
Busways/conduits (per 100 ft) $8.00
Service equipment 200 amps or less $83.00
201 to 999 amps $114.00
Sub‐panels $40.00
Installation of spas or saunas $40.00
Other Electrical Fees
Duplicate job card $26.00
Permit extension (applies to permits that have not expired) $83.00
Mechanical Permit Fees
Fee for issuing/reinstating a Mechanical Permit $58.00
Additional Mechanical Permit Fee $26.00
New Residential Construction (new buildings only, including garages) $.11 sq. ft
Commercial Construction $.08 sq. ft
Appendix C. Governmental and Non-Governmental Constraints
October 2022March 2023 Appendix C C-1
Building Permit Fees Fee
Plan Review & Re‐inspection Fees
Plan review fee 25% of Mechanical Permit Fee
Additional plan review $161.00/hr.
Re‐inspection fee $169.00/hr.
Unit Fee Schedule
Installation, of each heating system, A/C, boiler, compressor or air
handler
$40.00
Each duct repair or alteration $12.00
Each fireplace appliance $34.00
Each ventilating fan $12.00
Installation of separate flue or vents not included with the installation
of an appliance
$12.00
Installation of each hood with mechanical exhaust Residential $34.00
Commercial $121.00
Each new or repair of gas piping system $74.00
Each additional gas outlet $24.00
Installation of evaporative cooler $34.00
Other Mechanical Fees
Duplicate job card $26.00
Permit extension (applies to permits that have not expired) $83.00
Plumbing Permit Fees
Fee for issuing/reinstating a Plumbing Permit $58.00
Additional Plumbing Permit Fee $26.00
New Residential Construction (new buildings only, including garages) $.11 sq. ft
Commercial Construction $.08 sq. ft
Plan Review & Re‐inspection Fees
Plan review fee 25% of Plumbing Permit Fee
Additional plan review $161.00/hr.
Re‐inspection fee $169.00/hr.
System Fee Schedule
Private swimming pools (including heater, water piping, gas piping) $97.00
Lawn sprinkler system on one meter $40.00
Each new or repair of gas piping system $74.00
Each drainage, sewer system $40.00
Radiant floor heating system $121.00
Unit Fee Schedule
Each plumbing fixture or trap or set of fixtures on one trap $12.00
Each sewer cleanout, backflow device $12.00
Each septic system abatement $121.00
Rainwater systems ‐ per drain (inside building) $12.00
Each water heater, water softener $34.00
Each grease interceptor (750 gallon capacity) $83.00
Each grease trap (1‐4 fixtures) $47.00
Residential water re‐piping $121.00
Each ejector/sump pump $40.00
Each vacuum breaker/hose bib $12.00
Each water piping system repair or replacement $25.00
HCD Revised Draft Initial Review 2023-2031 Housing Element
C-5 Appendix C October 2022March 2023
Building Permit Fees Fee
Each additional gas outlet $25.00
Other Plumbing Fees
Duplicate job card $26.00
Permit extension (applies to permits that have not expired) $83.00
Other Fees
Duplicate Inspection Card $32.00
NPDES Inspection Fee (Charged on all building permits with the
potential to generate non‐point source storm water runoff during
construction)
$74.00
Engineering Plan Check Fee
Application Fee $519.00
Under $20,000.00 15.5% of valuation
$20,000.00 to $80,000.00 $3,283.00 plus 9% of valuation
Greater than $80,000 $9,002.00 plus 8.5% valuation
Each additional plan check beyond three reviews Fully allocated hourly rate for all personnel
Inspection Fee
Under $20,000.00 7.5% of valuation
$20,000.00 to $80,000.00 $1,589.00 plus 6.5% of valuation
Greater than $80,000.00 $5,719.00 plus 4.0% of valuation
Work In or Use of Public Right of Way
Encroachment Permit ‐ Residential Work up to $4,000.00 ‐ $323.00
Each additional $2,000.00 ‐ $169.00
Encroachment Permit ‐ Collector/Arterial Streets** Work up to $4,000.00 ‐ $1,673.00
Each additional $2,000.00 ‐ $365.00
Outside contractor underground utility locating surcharge (actual cost
for outside contractor inspection fee may change)
$95.00
Temporary Encroachment Permit $159.00
Dumpster Permit $159.00
Storage Permit $159.00***
* Work done at night or on weekends shall be charged the actual costs of staff
** Single‐family residences located along collector and arterial streets to be charged the residential fees above
NPDES
Inspection Fee ‐ Grading Permits Single Family Residential $773.00
Commercial or Multi Family Residential
$1,202.00
Inspection Fee ‐ Encroachment Permits and Some Storage Permits Single Family Residential $212.00
Commercial or Multi Family Residential
$344.00
Plus $514.00 per LID facility
Inspection of Storm Water Treatment Measures $530.00 per facility
Annual Stormwater/Limited Impact Development (LID) Permit Per Visit and 1st facility inspection $514.00
Every additional facility inspection $169.00
C‐3 Permit Hydrologic Calculation Fully allocated hourly rate for all personnel
plus any outside cost and initial deposit of
$3,750.00
Engineering Subdivision Map Checking
1‐4 lots $3,023.00*
Appendix C. Governmental and Non-Governmental Constraints
October 2022March 2023 Appendix C C-1
Building Permit Fees Fee
5 or more lots $4,231.00*
*Plus, initial $3,000 surveyor deposit. Additional deposit(s) of actual surveyor costs may be required for larger
projects than 5 or more lots, additional map check review(s), or overall complexity of the map.
Traffic Impact Analysis or Parking Study
Development Review (staff traffic impact analysis or Parking Study) Actual Cost
Consultant Report ‐ Consultant Fee
Staff Review Fee $703.00 plus 10% of the traffic consultant
report cost
Site Distance Analysis $189.00 per review not to exceed two
hours. Actual cost for staff time when
analysis exceeds two hours.
Traffic Impact Mitigation Fee $1,015.00 per new average daily trip
generated
Storm Drainage Fees
Development Projects Single family lots Section 24.60.035(b) (3):
For subdivision whose lots exceed one
acre, the fee shall not exceed that of one
acre per lot $4,477.00/ac.
Multiple family dwelling units ‐ initial unit
$4,477.00/ac.
Multiple family dwelling units ‐ each unit
after initial (not to exceed $4,622.00/ac.)
$168.00
Commercial, industrial, hospitals, churches,
schools, and others $5,598.00/ac.
Building/Grading Permits (Building, Structures, & impervious areas) New impervious surface area, per sq. ft.
$1.00/sq. ft.
Street Improvement in‐lieu fee
Sidewalks $20.00/sq.ft.
Curb and Gutter $100.00/lf.
Other in‐lieu fee
Trail Improvements $16.00/per sq. ft. or determined by
Director
Construction Activities Mitigation Fee
New Buildings and Additions Residential (per square foot added)
$1.26/sq.ft.*
Non‐residential (per square foot added)
$1.26/sq.ft.*
*These two fees are adjusted based on the Building Cost Index
Other Engineering Fees
Engineering Reversion to Acreage $2,536.00 plus initial deposit of $2,500 for
surveyor
Engineering Lot Merger $3,685.00 plus surveyor deposit
Engineering Lot Line Adjustments $3,685.00 plus surveyor deposit
Certificate of Compliance $3,685.00 plus surveyor deposit
Abandon Excess Public Right‐of‐Way & Public Easement $4,601.00 plus surveyor and valuation
consultant and planning services
HCD Revised Draft Initial Review 2023-2031 Housing Element
C-5 Appendix C October 2022March 2023
Building Permit Fees Fee
Geotechnical Peer Review Fees Fully allocated hourly rate of all personnel
plus any outside costs and initial $2,500
deposit. Larger projects require an initial
deposit of $4,500 to allow for a site visit by
the geotechnical peer review consultant.
Separate Instrument Dedication Fee (for dedication via grant deeds
and not maps)
$762.00 plus initial deposit of $2,500 for
surveyor
Slurry Seal Fee $2.50 per sq.ft.
Flood Review Fee Consultant Cost plus 25% Admin Fee
Miscellaneous Review Fee* Actual Cost
Tree Related Fees
Tree removal (one tree) $250
Tree Removal (Each additional tree on same application) $125
Illegal Tree Removal Administrative Fee $300
15 gallon and each 24” Box Replacement Tree In‐Lieu Fee $250
36” Box Replacement Tree In‐Lieu Fee $500
Source: Town of Los Gatos Comprehensive Fee Schedule Fiscal Year 2022/23
The following table provides fee comparisons of jurisdictions located in Santa Clara County.
Table C-3 5 Total Fees per Unit
Jurisdiction Single-Family Small Multi-family Large Multi-family
Campbell $72,556 $20,599 $18,541
Cupertino $136,596 $77,770 $73,959
Gilroy $69,219 $40,195 $39,135
Los Altos Hills $146,631 N/A N/A
Los Gatos $11,202 $15,375 $15,375
Milpitas $77,198 $74,326 $59,740
Monte Sereno $33,445 $4,815 $4,156
Morgan Hill $55,903 $41,374 $36,396
Mountain View $90,423 $69,497 $82,591
San Jose $9,919 $23,410 $23,410
Santa Clara $72,034 $7,299 $3,048
Saratoga $64,272 $17,063 $15,391
Sunnyvale $133,389 $126,673 $98,292
Note: Inclusive of impact, building and entitlement fees. Source: SCCPC, 2022 citiesassociation.org/documents/constraints-survey-data-
summary-2022 and Los Gatos staff.
The following table provides a comparison as a percentage of total development costs of jurisdictions located in
Santa Clara County.
Appendix C. Governmental and Non-Governmental Constraints
October 2022March 2023 Appendix C C-1
Table C-4 6 Fees as a Percentage of Total Development Costs
Jurisdiction Single-Family Small Multi-family Large Multi-family
Campbell 2.6% 2.7% 2.6%
Cupertino 2.9% 10.3% 10.5%
Gilroy 1.5% 5.3% 5.6%
Los Altos Hills 3.1% N/A N/A
Los Gatos 1.2% 0.8% 0.5%
Milpitas 2.8% 9.8% 8.5%
Monte Sereno 0.7% 0.6% 0.6%
Morgan Hill 2.0% 5.5% 5.2%
Mountain View 3.3% 9.2% 11.8%
San Jose 0.4% 3.1% 3.3%
Santa Clara 2.6% 1.0% 0.4%
Saratoga 1.4% 2.3% 2.2%
Sunnyvale 4.8% 16.8% 14.0%
Unincorporated County 0.9% N/A NA
Note: Calculation uses a county‐wide average total development cost. Source: SCCPC, 2022 citiesassociation.org/documents/constraints‐survey‐data‐
summary‐2022
On May 4, 2021, the Town Council adopted Ordinance 2318 amending Chapter 25 of the Town Code to establish
a public art requirement for private developments. The requirement for public art will apply to the following types
of development:
(a) New commercial developments (including mixed-use projects), including new construction, and additions
and remodels that add more than 50% square footage; and
(b) New residential projects of three or more units, including new construction, and additions and remodels
that add more than 50% square footage.
(c) Notwithstanding subsections (a) and (b) above, this Chapter shall not apply to:
(i) Affordable housing developments, or, if affordable housing is a part of the development, the affordable
housing units shall be subtracted from the valuation of the project as in subsection (d) below;
(ii) Historic renovations;
(iii) Repair or reconstruction of structures damaged by flood, fire, wind, earthquake, or other disaster;
(iv) Seismic retrofit projects;
(v) Single family and two-family residential units;
(vi) Accessory dwelling units or junior accessory dwelling units;
(vii) Any project exempted by federal or state law;
(viii) Municipal facilities; and
(ix) Buildings or structures primarily used for religious worship.
A developer may satisfy the requirements of Chapter 25 of the Town Code by constructing or installing on-site
public art valued at one percent of the building permit valuation.
Permit fees and processing times are not significant constraints to housing production in Los Gatos. In the Spring
of 2022, the Santa Clara County Planning Collaborative conducted a survey of fees and permit processing times
in Santa Clara County. Fourteen of fifteen jurisdictions completed the survey, an excellent response rate. The
HCD Revised Draft Initial Review 2023-2031 Housing Element
C-5 Appendix C October 2022March 2023
results indicate that Los Gatos has overall permit fees that are within the average range of Santa Clara County
jurisdictions.
The Town’s fees also represent a relatively low percentage of the overall cost to develop housing in Los Gatos.
Based on the Santa Clara County Planning Collaborative survey results and an analysis on housing development
costs performed by Century Urban, a San Francisco based real estate consulting firm, the fees represent
approximately 1.2 percent of total development costs for a single-family home, 0.8 percent for a 10-unit multi-
family development, and 0.5 percent for a 100-unit multi-family development. The fee structure does not
disproportionally burden multi-family housing.
Processing and Permitting Time
Government policy at both the State and jurisdictional levels play a major role in determining the costs of building
new housing. Regulations and permitting processes that result in lengthy or uncertain development carry higher
risk and increased financing. Additionally, frequent delays in the entitlement and approval process directly
increase costs, such as additional architectural work, inspections, and community meetings. Streamlining
permitting processes, applying permit application processes consistently, increasing interdepartmental
cooperation, having adequately funded and staffed planning departments, and increasing by-right housing are all
actions jurisdictions can take to reduce the constraints represented by fees and permit processing times.
Each stage of the residential development process must go through some form of Town approval. Table C-7
summarizes the approximate processing time for development applications in the Town of Los Gatos.
Table C-57 Local Development Processing Time Frame
Application Type Development Time Frame
Architecture and Site Application for a
single- or multi-family residential project
Three to six months *
Architecture and Site Application for a
hillside residential
Four to six months *
Architecture and Site Application for a
mixed-use project
Four to eight months *
Conditional Use Permit Application Two to four months
Subdivision Application Two to four months
Variance Application Two to four months
* Note: With environmental review, the process generally takes six to 18 months, depending
on the size and complexity of the project.
On average, a single- or multi-family infill residential application typically processes in approximately three to six
months, unless environmental review is required. Hillside residential applications on average take four to six
months to process. Mixed-use projects are processed in approximately four to eight months, unless
environmental review is required. With environmental review, the process generally takes six to 18 months,
depending on the size and complexity of the project.
Processing of a typical, market rate single- or multi-family housing application includes the following steps:
Submission of an Architecture and Site Application.
Distribution of the application to Planning, Building, Engineering, and the Santa Clara County Fire District
departments.
Staff review of application and staff conference with the applicant to resolve any concerns or plan
deficiencies, including design issues.
If deemed complete, staff continues processing the application and begins environmental review, if
necessary.
Completion of environmental review and traffic impact analysis, as appropriate. Arborist review,
architectural review, and/or geotechnical review may be conducted during this time through the
Architecture and Site application. A deposit for review by the Town’s Consulting Architect and Consulting
Arborist is requested during the application review. A peer review deposit for geotechnical and traffic
impact analysis is requested by the Parks and Public Works Department during the application review.
Appendix C. Governmental and Non-Governmental Constraints
October 2022March 2023 Appendix C C-1
Staff will then provide instructions on next steps, including the requirement for Story Poles.
Once the Story Poles have been installed and certified by a licensed surveyor or civil engineer to
accurately represent the height and location of the proposed structure(s), public notice will be sent, and
advertisement in the local newspaper approximately three weeks prior to making a decision on the project
will be completed.
Pursuant to the Town Code, any interested person as defined in Section 29.10.020 may appeal to the
Council any decision of the Planning Commission within 10 calendar days of the decision accompanied by
the required filing fee.
Once the appeal period has passed, the applicant can remove the Story Poles.
Approval is required by the following bodies:
Development Review Committee (with appeal to the Planning Commission and further appeal to the Town
Council) for projects that require no change in the General Plan or Zoning Code.
For hillside development applications, Planning Commission approval may be required depending on the
scope of the project.
Town Council for projects that require a change in the General Plan or Zoning Code, and for Planned
Developments.
Processing for a typical mixed-use housing project includes the following steps:
Submission of application, including application for a Conditional Use Permit (CUP), and an Architecture
and Site Application.
Distribution of the application to Planning, Building Engineering, and the Santa Clara County Fire District
departments.
Staff review of application and staff conference with applicant to resolve any concerns or plan deficiencies,
including design issues.
If deemed complete, staff continues processing the application and begins environmental review, if
necessary.
Completion of environmental review and traffic impact analysis, as appropriate. Arborist review,
architectural review, and/or geotechnical review may be conducted during this time through the
Architecture and Site application.
Staff will then provide instructions on next steps, including the requirement for Story Poles.
Once the Story Poles have been installed and certified by a licensed surveyor or civil engineer to
accurately represent the height and location of the proposed structure(s), public notice will be sent, and
advertisement in the local newspaper approximately three weeks prior to making a decision on the project
will be completed.
Pursuant to the Town Code, any interested person as defined in Section 29.10.020 may appeal to the
Council any decision of the Planning Commission within 10 calendar days of the decision accompanied by
the required filing fee.
Once the appeal period has passed, the applicant can remove the Story Poles.
Approval is required by one or both of the following bodies:
Planning Commission (with appeal to the Town Council) for projects that require no change in the
General Plan or Zoning Code, and for a CUP and Architecture and Site Application.
Town Council for projects that require a change in the General Plan or Zoning Code, and for
Planned Developments.
Design and neighborhood compatibility issues also often lengthen the permitting and processing time. To
address this problem, the Town contracts out to an architectural consultant to review plans and provide
recommendations on development applications compliance with the Residential Design Guidelines or Hillside
Development Standards and Guidelines.
HCD Revised Draft Initial Review 2023-2031 Housing Element
C-5 Appendix C October 2022March 2023
Architectural, geotechnical, and arborist reviews are conducted early in the development application process.
These reviews are conducted during the review of the Planned Development or Architecture and Site applications
and do not lengthen the processing time. These reviews also streamline the public hearing process, allowing the
Planning Commission to rely on the recommendations of Town staff and the Town’s consultants to receive
qualified input from an architect, arborist, and geotechnical consultant, leading to a more efficient approval
process.
Table C-5 68 Processing Times (in months)
Jurisdiction ADU
Process
Ministerial
By-Right
Discretionary
By-Right
Discretionary
(Development
Review
Commitee)
Discretionary
(Planning
Commission)
Discretionary
(Town
Council)
Campbell 1 1 3 N/A 5 8
Cupertino 1 to 3 1 to 6 2 to 4 2 to 4 3 to 6 6 to 12
Gilroy 1 to 2 1 to 2 2 to 4 N/A 4 to 5 5 to 6
Los Altos Hills 1 to 2 0.5 to 2 2 to 3 3 to 4 4 to 6 5 to 8
Los Gatos 1 to 2 1 to 2 1 to 2 2 to 4 4 to 6 6 to 12
Milpitas 1 to 3 1 to 3 2 to 4 3 to 4 4 to 6 6 to 12
Monte Sereno 0.75 0.75 1 1 to 2 1 to 2 1 to 2
Morgan Hill 1 to 2 1 to 3 *2 to 3 2 to 3 4 to 6 4 to 6
Mountain View 3 to 5 4 to 6 2 to 3 *6 to 18 N/A 12 to 24
San Jose 2 1 to 3 7 7 7 to 11 5 to 12
Santa Clara 0 to 1 0 to 1 0 to 3 4 to 9 6 to 9 6 to 12
Saratoga 1 1 to 2 2 to 3 N/A 4 to 6 6 to 12
Sunnyvale 1 to 3 1 to 3 3 to 6 6 to 9 9 to 18 9 to 18
Unincorporated
County 4 to 6 6 to 8 9 to 12 12 to 15 15 to 18 15 to 18
Entitlements Only. Source: SCCPC, 2022 citiesassociation.org/documents/constraints‐survey‐data‐summary‐2022
Following the creation of Table C-9, in response to changes in State law as of January 1, 2023, and as part of the
Town’s ongoing efforts to increase efficiency for permit reviews, the Town’s Planning and Building Divisions have
developed a new Building permit application form and process. Residents who wish to build a new ADU or JADU
can now submit a single application form and proceed through a single plan review process in order to obtain their
Building Permit.
Jurisdictional permit processing procedures that are lengthy or uncertain can dissuade developers from building
new housing or result in housing that is more expensive. Within Los Gatos, the permit processing times are
within the average range for jurisdictions within Santa Clara County. The Town’s permit process also does not
disproportionally burden ADU applications or applications for multi-family housing.
Story Poles
The Town requires installation of height story poles and netting for all new residential (excluding single-story
accessory structures) and non-residential buildings; residential second story additions; and nonresidential
additions exceeding 100 square feet. This requirement, which is intended to demonstrate the planned rooflines
and heights and massing of the proposed structure (s) and provide visual notice to the community of a
forthcoming land use public hearing. However, the cost of story pole and netting installation, maintenance
throughout the public hearing process, and additional time added to the process for installation can be viewed as
a constraint for development. Implementation Program BM will review the Town’s Story Pole and Netting Policy
Appendix C. Governmental and Non-Governmental Constraints
October 2022March 2023 Appendix C C-1
and explore options for residential or mixed-use projects with affordable housing to reduce the associated costs of
installing story poles.
SB 35 Streamlining
(Government Code section 65913.4) allows qualifying development projects with a specified proportion of
affordable housing units to move more quickly through the local government review process and restricts the
ability of local governments to reject these proposals. The bill creates a streamlined approval process for
qualifying infill developments in localities that have failed to meet their RHNA, requiring a ministerial approval
process, removing the requirement for CEQA analysis, and removing the requirement for discretionary
entitlements granted by the Planning Commission.
Since the adoption of this section of the Government Code, the Town has received one application under these
provisions. The Town has included Program AM in the Housing Element to prepare an SB35 checklist and
written procedures for processing SB35 applications.
SB9 California Housing Opportunity and More Efficiency (HOME) Act
SB9, also known as the California Housing Opportunity and More Efficiency (HOME) Act, is a state bill that
requires cities to allow one additional residential unit on parcels zoned for single-dwelling units. Since the
adoption of this section of the Government Code, the Town has adopted an interim SB9 ordinance and is in the
process of developing a permanent ordinance for adoption by the end of 2022.
Requests to Develop at Densities Below Those Permitted
New State Housing Element law now requires the non-governmental constraints analysis to evaluate developer
requests to build at densities below the density identified in the Housing Element sites inventory. In Los Gatos,
properties generally develop around the mid to high range of allowable densities. Requests to develop at
densities below those permitted are not an issue in Los Gatos.
Length of time between Application Approval and Building Permit Issuance
New Housing Element law now also requires an examination of the length of time between receiving approval for
a housing development and submittal of an application for building permits. The time between application
approval and building permit issuance is influenced by a number of factors, none of which are directly impacted
by the Town. Factors that may impact the timing of building permit issuance include: required technical or
engineering studies; completion of construction drawings and detailed site and landscape design; securing
construction and permanent financing; and retention of a building contractor and subcontractors.
The majority of residential permits in Los Gatos are for single-family homes, with building permit issuance
generally taking eight to 14 months after Planning approvals. Hillside properties may take a few months longer
due to the need for technical and engineering studies. Among the Town’s recent multi-family developments, the
time between approvals and permit issuance has averaged 12 to18 months. In Los Gatos, most approved
projects are constructed in a reasonable time period
Infrastructure Constraints
To support growth under the Housing Element, it is critical that public infrastructure can accommodate new
development. The Town of Los Gatos does not anticipate that the provision of public services, such as water,
sewer, and storm drains is a constraint to the production of new housing.
Water
Water supply demand and infrastructure was analyzed under the 2040 General Plan Environmental Impact
Report (EIR), which considered a larger population growth than proposed under the Housing Element Update.
The San Jose Water Company provides water service to the Town. San Jose Water Company’s 2015 Urban
Water Management Plan (UWMP) outlines the availability of water supplies for the service area which includes
the City of San Jose, the City of Cupertino, the City of Campbell, City of Monte Sereno, the City of Saratoga, the
Town of Los Gatos, and parts of unincorporated Santa Clara County.
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Pursuant to the 2015 UWMP, San Jose Water Company has enough water to supply capacity to meet current
demands. The plan projects usage out to 2040, the same year as the General Plan horizon. From 2020 to 2040,
the plan predicts that there would be adequate supply to meet water demand in a normal year. Projected water
demand in a normal year for the San Jose Water Company service area in 2040 is 55,213 acre-feet per year
(AFY) and future water storage is predicted to be 55,213 AFY. Approximately half of San Jose Water Company’s
long-term water supply is provided by the Santa Clara Valley Water District (SCVWD) each year, while
approximately one-third is generally provided through groundwater. Water supply for the Town of Los Gatos is
comprised primarily of imported water which serves the eastern Los Gatos area and approximately half is local
surface water.
Sewer
The Town’s wastewater is collected and treated by the West Valley Sanitation District (WVSD), which then
transports wastewater to the San Jose-Santa Clara Regional Wastewater Facility (wastewater treatment plant).
According to the 2040 General Plan EIR (Section 4.16, Utilities and Service Systems), the wastewater treatment
plant treats an average of 110 million gallons per day (mgs), with a design capacity of up to 167 mgd.
The 2040 General Plan considered a larger population increase (approximately 8,971 residents) than considered
by the Housing Element Update. According to the 2040 General Plan EIR, the West Valley Sanitation District’s
Capital Improvement Plan has ongoing plans for replacement and upgrade of old sewer lines and lift equipment.
The general maintenance and correction of deficiencies are funded by user fees; therefore, new development
would be required to pay impact fees for system expansion that would accommodate the increased growth of the
Town. Impact fees on new development would ensure that the wastewater collection system receives necessary
upgrades to accommodate the additional population.
C.2 Local Housing Programs
State Housing Element law requires that an analysis of governmental constraints on housing production include
local government programs that regulate housing development in any way, including imposing housing cost
limitations or encouraging changes in density. Los Gatos has six local housing programs that are potential
constraints on market-rate housing production in the Town. The Below Market Price Program, Affordable Housing
Fund, Rental Dispute Resolution Program, Density Bonus Program, State Density Bonus Program, and the
Affordable Housing Overlay are discussed below.
Below Market Price (BMP) Program
The BMP Program implements the Town of Los Gatos’s inclusionary zoning ordinance, which requires that a
portion of new residential construction in Los Gatos be dedicated to affordable housing. Los Gatos’s inclusionary
zoning ordinance was adopted in 1979 as one of the first of such programs in California.
The BMP Program promotes the development of affordable housing units by providing standards and guidelines
that require the development of a certain number of quality affordable units per rental or owner development
project, based on the proposed size of the projectnumber of market rate units. The BMP Program requires the
development of affordable housing where sales and rents cannot be more than 80 percent of the current HUD
Fair Market Rents (FMR) as determined by the Santa Clara County Housing Authority. The BMP Program allows
low- and moderate-income households the opportunity to purchase low- and moderate-income housing in Los
Gatos.
The BMP Program requirements apply to all residential development projects that include five or more residential
units or parcels which involve:
New construction of ownership or rental housing units, including mixed-use developments and addition of
units to existing projects.
Subdivision of property for single family or duplex housing development.
Conversion of rental apartments to condominiums or other common interest ownership.
Conversion of non-residential use to residential use.
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October 2022March 2023 Appendix C C-1
The intent of the BMP Program is to provide a supply of affordable housing for households who work or currently
reside in Los Gatos. However, there may be circumstances when the construction of a BMP unit is impractical.
The Town, in limited circumstances, at its sole discretion, may consider an in-lieu payment alternative to the
required BMP for a project with an underlying zone of HR or a residential project, mixed-use project, multiple-
family dwelling project, residential condominium project, condominium conversions, and all residential planned
development projects with five to nine units with an underlying zone of HR.The Town will consider, at its
discretion, a fee payment in-lieu of constructing BMP units for Planned Unit Developments with an underlying HR
zone or for residential developments with five to nine units. The required in-lieu fee shall be paid prior to or at
time of final occupancy as follows:
1. Multi-Family Projects: Prior to occupancy of each phase, a proportional amount of fees shall be paid, as
determined during the Planning approval process; and
2. Single-Family Projects: At time of final occupancy for each unit. of six percent of the building permit valuation
for the entire project must be paid to the Town prior to issuance of the certificate of occupancy for the market-
rate units.
Additionally, the Town Council, in limited circumstances, at its sole discretion, The Town Council, in limited
circumstances, at its sole discretion, may consider off-site construction of BMP units for continuum care facilities
and for residential projects, mixed-use projects, multiple-family dwelling projects, residential condominium
projects, condominium conversions, and residential planned development projects with five (5) to nine (9) units
with an underlying zone of HR that have provided sufficient justification to the Town that an on-site BMP unit is
not viable.may consider off-site construction of BMP units for continuum of care facilities, residential
developments in the HR zone, or residential developments with five to nine units provided that developers provide
sufficient justification that an on-site BMP is infeasible.
The developer of “for sale” BMP units shall enter into an affordability agreement with the Town. The agreement
will ensure that the BMP units are sold to qualified buyers and will be released by the Town through the escrow
process once the BMP is sold to a qualified buyer. Because the BMP Program regulates the number of
affordable units required as part of new residential construction in Los Gatos, the program could be considered a
constraint on market-rate housing development. However, because the BMP Program requires the construction
of affordable units with every new qualifying development, the Town sees this program as an not as a constraint,
but as an opportunity to create and preserve affordable housing for the community. Based on a track record of
successful development and preservation of affordable housing through the BMP Program, Los Gatos does not
consider the program to be a constraint on affordable housing development; nevertheless, the Town proposes to
an implementation program N to study the BMP Program and implement recommendations to augment and
improve it in order to facilitate the construction of more units.
Affordable Housing In-Lieu Fee Fund
In-lieu fees are paid into the Town’s Affordable Housing Fund and are calculated as six percent of building permit
valuation as determined by the Building Official. As previously noted, these fees may be paid by developers of
new residential construction with five or more units but less than 10 units or new residential construction in a
Planned Unit Development with an underlying zone of HR, instead of building an affordable housing unit(s) under
the BMP Program, in limited circumstances and at the sole discretion of the Town. All residential construction
over 10 units must build affordable units. Payment of in-lieu fees is required for the approval of Hillside Planned
Developments with five or more residential sites. Use of the Below Market Price Housing In-lieu FeesAffordable
Housing Fund includes, but is not limited to:
Providing financial assistance for home repairs for lower income households, low-income seniors and low-
income mobile home owners (Implementation Programs J and AU).Subsidizing the cost of owner-occupied
units to make them affordable to low and/or moderate-income households.
Conducting a survey of the housing conditions in Town to identify units in need of rehabilitation or
replacement (Implementation Program AK).
Purchasing rental housing units to make them affordable to low and/or moderate-income households
(Implementation Program T).
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Contributing funding to support countywide programs that provide home repair and accessibility
improvements for lower income households (Implementation Program AS). Purchasing land for the future
development of affordable housing.
Fee deferrals or reductions for affordable housing (Implementation Program S). Developing affordable
housing.
Allocating a percentage of the funding to subsidize housing for extremely low-income households
(Implementation Program P).
Supplementing affordable housing projects developed through the Los Gatos Redevelopment Agency.
Funding administration of the program, as approved by the Town Council in its annual budget process.
Waiving building fees when an ADU is deed restricted for very low- and low-income households
(Implementation Program U).
The Town has not received negative feedback from developers on the Town’s inclusionary ordinance
requirements in terms of affecting project viability. The BMP Program is similar to surrounding cities with a sliding
scale for the required number of affordable units, and is generally accepted by the regional development
community, as shown in Table C-7. Developments that fall under the BMP Program requirement would be
eligible for State density bonus provisions (Government Code § 65915) that help support the financial viability of
providing affordable units. This additional fee levied on developers may be considered a constraint on housing
development; however, the fees are paid into a fund that will be used to develop more affordable housing in Los
Gatos. Given the low rate of construction of affordable units, the Town proposes to study the BMP ProgramIn-
Lieu Fund Program and implement recommendations to augment and improve it in order to facilitate the
construction of more units.
Table C-9 Inclusionary Requirements
Rental Dispute Resolution Program
The Los Gatos Rental Dispute Resolution Program provides conciliation, mediation and arbitration services for
both renters and landlords in Los Gatos. The program is administered by Project Sentinel, a local non-profit
Reorganization contracted by the Town. This program is not considered a constraint on housing development in
Los Gatos. Los Gatos renters may also contact Neighborhood Housing Services Silicon Valley for assistance.
The Town helps preserve affordable rental housing costs through the Rental Mediation and Dispute Resolution
Ordinance which applies to rental complexes of three or more units. The ordinance sets an annual limit on rent
increased to five percent unless the landlord is able to demonstrate capital or financing costs to justify a greater
increase. The Town has similar rent controls for mobile home units.
Mobile homes are an affordable housing resource in the Town of Los Gatos. They are often owned by seniors,
households on fixed incomes, and households within the lower and moderate-income categories. Mobile home
tenants are in the unique position of having made a substantial investment in a housing unit for which ground
space is rented. The Mobile Home Ordinance establishes rent increase control within mobile home parks to
Jurisdiction Inclusionary Requirement
Campbell 15%
San Jose 15% (20% for off‐site)
Los Gatos 10‐20%
Cupertino 15‐20%
Appendix C. Governmental and Non-Governmental Constraints
October 2022March 2023 Appendix C C-1
ensure that a variety of housing types, including mobile homes, remain viable options to lower and moderate-
income households in the community. Rents in mobile home parks cannot be increased by more than five
percent annually unless operations and maintenance expenses significantly increased within the most recent year
in comparison to the previous year.
Density Bonus Program
The Density Bonus Program allows qualified projects to add up to 100 percent of the units provided by the
General Plan land use designation as long as these additional units are restricted to seniors, disabled persons,
very low and/or low-income households.
Over the last Housing Element cycle, the Town approved the North 40 Phase One development which included
49 very-low income and one moderate-income manager unit as density bonus units.
The Density Bonus Program has the potential to provide additional opportunities to build more, affordable units in
Los Gatos. The Town is including an Implementation Program to study the existing Density Bonus Ordinance and
recommend changes to increase the number of units constructed. The study will include an evaluation of the
implementation of the ordinance to date and actual construction of affordable housing units that utilized the
Density Bonus Program.
State Mandated Density Bonus ProgramOrdinance
The Density Bonus Program allows qualified projects to add up to 100 percent of the units provided by the
General Plan land use designation as long as these additional units are restricted to seniors, disabled persons,
very low and/or low-income households.
Over the last Housing Element cycle, the Town approved the North 40 Phase One development which included
49 very-low income and one moderate-income manager unit as density bonus units.
The Town adopted the State Density Bonus Program Ordinance in June 2012. The program allows densities,
incentives, concessions and maximum parking standards consistent with State law. In addition, the Town
modified the program to apply to senior and physically handicap populations. The State Density Bonus Program
provides opportunities to build additional, affordable units in Los Gatos; consequently, this program is not
considered a constraint on housing development. The Town is including an implementation Program to amend
the Density Bonus Ordinance to comply with new requirements of State law since the 2012 ordinance was
adopted.
The Town has not processed a request for a State Density Bonus since the ordinance was adopted in June 2012
because the Town’s BMP Program and General Plan policies exempt affordable housing units from the calculated
density in a project. The State Density Bonus Program provides opportunities to build additional, affordable units
in Los Gatos; consequently, this program is not considered a constraint on housing development.
Affordable Housing Overlay Zone
The Town adopted the AHOZ, and it applies to one property in the Housing Sites Inventory (see Table 6-2). The
AHOZ allows densities (up to 20 units per acre on designated sites), development standards, and concessions
that will encourage affordable housing. The Housing Element includes an implementation program to increase
the maximum allowable density from 20 dwelling units per acre to 40 dwelling units per acremodify the
affordabilityrequirements in the Town Code to require a minimum of 40 percent affordable units on the Southbay
AHOZ site instead of the currently prescribed affordability levels. Affordability would be for low and very low-
income households.
Constraints on Housing for Persons with Disabilities
State law requires that the Housing Element analyze governmental constraints to housing for persons with
disabilities. How a jurisdiction defines “family” in its zoning regulations can be a potential constraint to facilitating
housing for persons with disabilities. The existing definition of “family” in the Town Code is “one or more persons
who comprise a single housekeeping unit” or “households of six or fewer persons living in a residential care
facilities small family home as defined by the California Community Care Facilities Act.”
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In Los Gatos, group homes are defined by the Town Code as synonymous with small family home residential care
facilities, which are defined by the Town Code as “a residential care facility in the dwelling of a licensee in which
care or supervision is provided for six or fewer persons. Whether or not unrelated persons are living together, a
residential facility that serves six or fewer persons shall be considered a residential use of property for the
purposes of this article. In addition, the residents and operators of such a facility shall be considered a family for
the purposes of any law or zoning ordinance which relates to the residential use of property.” Group homes are
permitted by right in all residential districts, consistent with State law, and are permitted with a CUP in the Office
(O), Neighborhood Commercial (C-1), Central Business District (C-2), and Restricted Highway Commercial (CH)
zones. The Town imposes no spacing or concentration requirements on any of the allowed residential care
facilities. Large family home residential care facilities, which have a capacity for seven to 12 children or seven to
15 adults are allowed in all districts with a CUP, except where large family homes are prohibited in the RMH, LM,
and CM districts.
The CUP requirement for residential care facilities for seven or more is a housing constraint. Implementation
Program BC, Zoning Text Amendments for Special Needs Housing, has been added to allow group homes of
seven and more residents by-right in all residential zones conforming with HCD’s Group Home Technical Advisory
(Dec 2022).
Generally, the Town facilitates housing for persons with disabilities by following the accessibility requirements of
the California Title 24 Multi-family Accessibility Regulations for multi-family housing of three or more units.
Housing rehabilitation assistance and accessibility improvements are provided through the Town’s Community
Services and Community Development departments.
The Town encourages accessibility improvements by requiring that specific design features be incorporated into
all new residential home projects as a condition of approval. These requirements include:
A wooden backing that is no smaller than 2 inches by 8 inches in all bathroom walls, at water closets,
showers, and bathtubs. It will be located 34 inches from the floor to the center of the backing, suitable for
the installation of grab bars.
All passage doors of at least 32 inches wide on the accessible floor.
A primary entrance that is a 36-inch-wide door, including a five-foot by five-foot level landing, no more than
one inch out of plane with the immediate interior floor level, with an 18-inch clearance.
In 2013, the Town adopted a procedure for requesting reasonable accommodation for persons with disabilities
seeking equal housing access under the Federal Fair Housing Act and the California Fair Employment and
Housing Act and in accordance with State housing law. A request for reasonable accommodation may include a
modification or exception to the standards and practices for the siting, development, and use of housing or
housing-related facilities that would eliminate regulatory barriers to accessible housing. Requests for reasonable
accommodation shall be reviewed by the Planning Director within 45 days of the request. However, if the request
is concurrent with a discretionary land use application, then the body overseeing the discretionary land use
application will also make a determination on the reasonable accommodation request. There are seven
mandatory criteria for granting a reasonable accommodation request:
The housing will be used by an individual disabled under the Federal Fair Housing Act and the California
Fair Employment and Housing Act.
The request is necessary to make specific housing available to an individual with a disability.
The request would not impose an undue financial or administrative burden on the Town.
The request would not require a fundamental alteration in the nature of a Town program or law, including
but not limited to land use and zoning.
There would be no impact on surrounding uses.
Due to physical attributes of the property or structures the request is necessary.
There is no alternative reasonable accommodation which may provide an equivalent level of benefit.
By adopting a formal procedure, the Town has provided an objective process with clear directions for both the
applicant and the decision makers. This is a benefit to persons with disabilities however, one of the mandatory
criteria could be considered a constraint for granting a reasonable accommodation request, Implementation
Appendix C. Governmental and Non-Governmental Constraints
October 2022March 2023 Appendix C C-1
Program BC, Zoning Text Amendments for Special Needs Housing, has been added modifying Municipal Town
Code Section 29.10.530(5) text to read, “There would be no minimal impact on surrounding uses.” Removing the
criteria of no impact on surrounding uses to minimal impact on surrounding uses. This will reduce the constraint.
and is not a constraint on housing.
Low Barrier Navigation Centers
AB 101, adopted in 2019, requires approval 'by right' of low barrier navigation centers that meet the requirements
of State law. A “Low Barrier Navigation Center” means a Housing First, low barrier, service-enriched shelter
focused on moving people into permanent housing that provides temporary living facilities while case managers
connect individuals experiencing homelessness to income, public benefits, health services, shelter, and housing.
If the City receives applications for these uses, it will process them as required by State law. A programProgram
BC, Zoning Text Amendments for Special Needs Housing, has been included in the Housing Element to develop
by right procedures for processing low barrier navigation centers.
Employee Housing
California Health and Safety Code Section 17021.5 (Employee Housing Act) requires jurisdictions to permit
employee housing for six or fewer employees as a single-family use. Employee housing shall not be included
within the zoning definition of a boarding house, rooming house, hotel, dormitory, or other similar term that
implies that the employee housing is a business run for profit or differs in any other way from a family dwelling.
Jurisdictions cannot impose a CUP, variance, or other zoning clearance of employee housing that serves six or
fewer employees that is not required of a family dwelling of the same type in the same zone. The Town’s
Zoning Code allows residential care facility, small family home by right in all residential zones. y.
Any zone in the Town that allow agriculture uses, must comply with California Health and Safety Code Section
17021.6. Section 17021.6 which requires employee housing consisting of no more than 12 units or 36 beds to
be permitted in the same manner as other agricultural uses in the same zone. Implementation BC has been
added to address this requirement.
Employee Housing Farmworkers
The Town of Los Gatos does not currently have any identified farmworkers. Given the lack of farmworkers in
the community, the Town has not identified a need for specialized farmworker housing beyond overall
programs for housing affordability.
C.3 Non-Governmental Constraints to Housing
Development
Market constraints to housing development in Los Gatos are the primary non-governmental impediment to
housing production. The Town is located near Silicon Valley jobs and offers residents desirable amenities such
as an historic downtown and a school district in which student performance ranks in the top four percent of the
State.
Development Costs
In January 2022, the Santa Clara County Planning Collaborative distributed a survey to Santa Clara County
jurisdictions to better understand the fees and processing times involved in the development of single-family and
multi-family housing. Fourteen out of sixteen jurisdictions responded with locally collected data, which
Collaborative staff used to identify major trends and produce data tables1. Additionally, the real estate economics
1 Santa Clara County Planning Collaborative, 2022. Summary of Constraints Survey Data. citiesassociation.org/documents/constraints-
survey-data-summary-2022
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C-5 Appendix C October 2022March 2023
consulting firm Century Urban conducted independent research on land and development costs2. Data and
preliminary reports can be found on the Collaborative website: citiesassociation.org/constraints.
The cost of development is generally high in Santa Clara County and represents a significant constraint on the
production of both single-family and multi-family housing. According to analysis by Century Urban, average
development costs for single-family homes in the county range from $1,667,000 to $5,910,000. The cost of land
and the size of the units are the two factors causing the most variance. Multi-family development costs are also
quite high, though lower on a per unit basis compared to single family homes. Based on a survey of local
development costs, Century Urban estimates the average cost per unit for a 10-unit prototype at $726,000 to
$846,000. The average cost per unit to develop a 100-unit building ranges from $672,000 to $792,000.
Jurisdictions were asked to estimate development fees based on the following hypothetical housing types and
related detailed assumptions:
Single-Family: A new single-family house on an empty lot, 2,600 square feet or 5,000 square feet, in an
existing neighborhood with no significant grading or other complicating factors.
Small Multi-family: A project that includes 10 units in one building on one acre, where no zoning changes
are required and permitting is by-right with medium complexity.
Large Multi-family: A project that is comprised of 100 units on two acres, 80,000 total square feet, with
construction type V over a concrete podium.
Century | Urban was engaged by Baird + Driskell, hired by Association of Bay Area Governments (ABAG)
Planning Collaborative to perform research on the development costs of certain residential prototypes in Santa
Clara County. The estimates shown below are based on data and sources including but not limited to: similar
projects Century | Urban has underwritten and/or priced; specific project economics Century | Urban has
reviewed; direct conversations with developers and cost estimators; database research including CoStar, MLS,
Redfin, and title databases; online research sources including municipality and project websites; market reports
compiled by real estate sales and research organizations; and, Century | Urban’s general experience assessing
residential project feasibility in the San Francisco Bay Area.
Land Costs
The price of land also varies across the county based on site conditions and location, but land costs in Santa
Clara County are notably higher than costs in neighboring counties. Century Urban estimates the average land
price in Santa Clara County for single-family homes (based on sales within the last three years) at $1,320,000.
Land costs are lower for multi-family developments, estimated at $600,000 for small developments and
$6,000,000 for large developments, or $60,000 per unit. The data does not include properties with existing
homes or infrastructure that were redeveloped as new single-family homes, and the data for some cities is limited.
As the data collected is not comprehensive, summaries and averages may be valuable for reaching overall
conclusions about the range of land prices in the counties, but they may or may not be representative of a given
city’s average or median land price or the land price for a given parcel. The information should therefore be
reviewed noting the limited number of data points for certain cities, including Los Gatos where only 15 data points
were available. Land prices vary substantially by location, topography, site conditions, shape of the parcel,
neighboring uses, access, noise, and many other factors. In addition, completed sales are necessarily past
transactions and may not represent the current state of the market and expected future land sale prices.
There are very few vacant parcels zoned for multi-family development, and such parcels demand premium prices
because of the high demand to live in Los Gatos. Additionally, most parcels have existing improvements that
increase acquisition costs. Countywide, the land costs for multi-family development sites cost approximately
$60,000 per unit.
2 Century Urban, 2022. San Mateo and Santa Clara Counties Development Cost & San Mateo County Unit Mix Research.
citiesassociation.org/documents/development-cost-data.
Appendix C. Governmental and Non-Governmental Constraints
October 2022March 2023 Appendix C C-1
Hard and Soft Costs
Soft costs for housing development include the cost of architectural, engineering, accounting, legal and other
professional services, as well as the cost of obtaining permits and paying government-imposed fees. Carrying
costs and the cost of construction financing can also be considered soft costs. Century Urban’s analysis finds
that soft costs (such as impact fees and costs accumulated through permitting delays) are hard costs. Hard costs
include the costs of labor and materials.
Hard costs are very high in Santa Clara County, and both the high cost of labor and the high cost of materials
could be considered constraints on housing development. According to analysis by Century Urban, residential
hard and soft costs do not vary significantly across Santa Clara County.
Hard and soft costs contribute significantly to the overall cost of developing new housing. Hard costs comprise
over half of development costs for multi-family housing. Although hard costs are significant for single-family
production as well, they comprise a lower percentage of overall costs because of the larger role of land costs in
single-family construction. High hard costs are difficult for individual jurisdiction to mitigate.
Single-family detached ~2,660 square feet: $81 to $965 per square foot.
Single-family detached ~5,000 square feet: $714 to $1,174 per square foot.
Multi-family apartments/condominiums less than 10 units on one acre: $726,500 to $846,500 per unit.
Three- to four-story 100-unit multi-family apartment/condominiums with type V construction over a
concrete podium parking: $672,500 to $792,500 per unit.
Availability of Financing
The residential real estate market is strong in the Town of Los Gatos. Local realtors and developers have noted
that Los Gatos was affected by the home mortgage foreclosure crisis that plagued many communities in the last
fifteen years. Adjustable-rate mortgages, jumbo loans (those above $417,000), and Government-insured Federal
Housing Administration home purchase loans, in addition to all-cash offers, are common in Los Gatos. Adequate
financing through local banks is available to the Los Gatos community.
The Housing Trust of Santa Clara County offer three low-interest, down payment or closing cost loan programs
for income qualified buyers in Los Gatos. Participation in this program includes homebuyer education classes.
The County of Santa Clara Office of Affordable Housing administers three homebuyer assistance programs. The
Home Investment Partnerships Program offers down payment assistance for first-time buyers. The Mortgage
Credit Certificate Program reduces the federal income taxes of qualified borrowers purchasing qualified homes,
thus acting like a mortgage subsidy. The Down payment Assistance Program for First-time Buyers offers a
subsidy for borrowers meeting a maximum income limit and maximum purchase price limit.
The Home Mortgage Disclosure Act (HMDA) requires the reporting of data on residential loan applications, which
provides insight into the availability of financing in the community. Table C-6 summarizes HMDA data for the San
Jose, Sunnyvale, Santa Clara MSA. As shown in the table below, approximately 25 percent of all loan
applications for the lowest income group are denied.
Table C-6 810 Home Purchase and Improvement Loans
Income Group Loan
Applications
Loans Approved (Originated) Loans Denied
# % # %
>50% of MSA AMI 9,757 4,518 46.3% 2,550 26.1%
50‐79% of MSA AMI 19,780 12,673 64.1% 2,683 13.6%
80‐99% of MSA AMI 8,535 5,775 67.7% 852 10.0%
100‐119% of MSA AMI 28,507 20,122 70.6% 2,361 8.3%
≥120 of MSA AMI 87,715 59,930 68.3% 6,951 7.9%
HCD Revised Draft Initial Review 2023-2031 Housing Element
C-5 Appendix C October 2022March 2023
TOTAL 154,294 103,018 66.8% 15,397 10.0%
SOURCE: Home Mortgage Disclosure Act (HMDA), 2020
MSA – Metropolitan Statistical Area
AMI – Area Median Income
Environmental Constraints
The environmental setting affects the feasibility and cost of residential development. These areas contain
environmental constraints on development, such as steep slopes, landslide hazards, fire hazards, or flood
hazards, and therefore, much of the undeveloped land has been set aside as open space. The Town is adjacent
to other built out communities and nestled against the Santa Cruz Mountains, limiting opportunities for expansion.
The following are environmental constraints and hazards that affect, in varying degrees, existing and future
residential developments.
Urban and Wildland Fire Hazards
Wildfires are becoming an all too regular event in California, and both urban and wildland fires are a threat to the
Town of Los Gatos. Wildfires that burn exclusively in uninhabited natural areas generally pose little risk to lives or
property, although the smoke from such fires may cause respiratory problems for people nearby. Fires that occur
along the wildland-urban interface (WUI) are much more of a hazard, as they can spread into urbanized areas.
Wildfire risk is dependent on several factors, including the amount and type of vegetation in the area, weather,
and local topography. Factors such as narrow, winding roads and vegetation also slow response to fires,
increasing the risk of spread.
Based on the increased potential for devasting wildfires in Santa Clara County and the Town of Los Gatos, CAL
FIRE developed and adopted “Fire Hazard Severity Zone” maps. These maps highlight that most of the County is
located within the “high” fire severity zone, with smaller portions of the County within the “moderate” and “very
high” fire severity zones. More than half of the southern portion of the Town is in the Very High Fire Hazard
Severity Zone, with most of the areas to the south in the High or Moderate zones. The Town must therefore
strongly incorporate fire hazard mitigation into its land use decisions and requirements to protect residents and
property. Potential impacts are mitigated by policies in the 2040 General Plan Hazards and Safety Element
including the following:
Require new development, including additions to existing structures, located in or adjacent to fire hazard
areas to minimize hazards to life and property, by using fire preventive site design, access, fire-safe
landscaping, building materials, and incorporating defensible space and other fire suppression techniques.
Minimize exposure to wildland and urban fire hazards through proactive code enforcement, public
education programs, use of modern fire prevention measures, quick and safe access for emergency
equipment and evacuation, and emergency management preparation.
Restrict development in areas with inadequate water flow or emergency access.
Monitor and remove excessive buildup of flammable vegetative materials on Town properties and along
critical ingress/egress routes in the WUI.
Geological and Seismic Hazards
The San Francisco Bay Area is in one of the most active seismic regions in the United States. Los Gatos is near
several active faults including the San Andreas, Hayward, and Calaveras Faults. Ground shaking is the primary
risk in an earthquake and can set off a chain reaction of secondary landslides and liquefaction, or loss of soil
strength. The region around the Lexington Reservoir also has higher risk of ground shaking should an earthquake
occur. Implementation of applicable building codes and geotechnical investigations will minimize potential loss of
life and damage to property from primary and secondary seismic hazards and siting essential structures and
services outside high-risk areas will enable faster emergency response after an earthquake.
Seismic activity within or near the Santa Clara County region has historically caused significant damage to
buildings and infrastructure in the Town of Los Gatos due to ground shaking and landslides. Five earthquakes
have affected Los Gatos in the 20th century, with the 1906 San Francisco and 1989 Loma Prieta earthquakes
having the highest magnitude. Potential impacts are mitigated by policies in the Draft 2040 General Plan Hazards
and Safety including the following:
Appendix C. Governmental and Non-Governmental Constraints
October 2022March 2023 Appendix C C-1
Require new development to be sited away from high risk geologic and seismic hazard zones or, if located
in a high-risk zone, incorporate construction techniques or specialized technologies to reduce risk.
Restrict new development and redevelopment based on the levels of risk and potential severity of geologic
hazards.
Require geotechnical reports analyzing seismic hazards, grading, and construction methods.
Require that a licensed geologic/geotechnical engineer complete the Town Geologic Hazards Checklist for
all new proposed development to demonstrate that potential hazards have been identified and that
proposed structures, including grading cuts and fills, will be designed to resist potential earthquake effects.
Implement the Hillside Development Standards and Guidelines.
Flood and Inundation Hazards
Flooding can threaten life, safety, and property and can occur in a number of ways. The level in a body of water,
such as a lake or creek, can rise higher than the water body’s banks, causing it to overflow into nearby areas.
Heavy precipitation can overwhelm the ability of soil to absorb water or storm drains to carry it away, causing
water to build up on the surface. Localized flooding may also occur as a result of infrastructure failure, such as a
burst water tank or pipe. In Los Gatos, the floods that are of most concern are from heavy rainfall causing local
flooding or flash floods. Flooding puts various populations in Town at risk. A 500-year flood could affect upwards
of 28,000 people and cause $10 billion of structural damage.
Beyond localized flooding, Los Gatos faces a flood threat from dam inundation. While less common, dam
inundation is recognized in both the Town Emergency Operations Plan and Santa Clara County OAHMP. The
Lexington Reservoir as contained by the James J. Lenihan Dam is the largest concern for dam inundation.
Lexington Reservoir is the third largest reservoir in Santa Clara County storing 19,044 acre-feet of water. The
potential inundation zone in the event of failure is significant, with the potential to affect over 3,000 people and
damage over 1,000 structures. As future climate change-related impacts increase, localized flooding will become
more common due to more extreme storms increasing the potential for more frequent and severe riverine
flooding. Potential impacts are mitigated by policies in the Draft 2040 General Plan Hazards and Safety including
the following:
Require site planning and building design to mitigate identified flood and inundation hazards.
Require that new development and substantial improvements to existing structures meet Federal and
State standards when located within FEMA Flood Insurance Rate Maps (FIRMs) designated 100-year
flood zones, as designated by current FEMA mapping.
Cooperate with the Santa Clara Valley Water District to develop and maintain additional stormwater
retention facilities in areas where they are needed or where the design capacity of existing retention
facilities cannot be restored.
Hazards and Hazardous Materials
The use, manufacture, production, transportation, storage, treatment, disposal, and clean-up of hazardous
materials and hazardous wastes present a potential threat to the health and safety of those who are using the
materials and those who could be affected by improper or accidental release or disposal. Hazardous materials
include all toxic, flammable, combustible, corrosive, poisonous, and radioactive substances that possess the
potential to bring harm to the public or the environment. The Town maintains a comprehensive list of Hazardous
Waste and Substance sites where hazardous materials are present and cleanup activities are or may be
necessary. Potential impacts are mitigated by policies in the 2040 General Plan Hazards and Safety Element.
Noise and Air Quality
Noise and air quality impacts associated with Highways 17 and 85, other high-volume arterial roadways, and the
Union Pacific Railroad line parallel to and south of Highway 85 could potentially impact housing. The California
Building Code and the Noise Element of the Los Gatos General Plan contain policies and standards that mitigate
noise impacts, and the regulations of the Bay Area Air Quality Management District require careful study and
mitigation of health risks from poor air quality. Potential impacts are mitigated by policies in the Draft 2040
General Plan Environment and Sustainability Element.
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C-5 Appendix C October 2022March 2023
Environmental constraints to housing development are mitigated where public health, safety, and welfare can be
protected.
Sites Inventory Analysis D
APPENDIX
Appendix D. Sites Inventory Analysis
March 2023October 2022 Appendix D D-1
D.1 Vacant and Available Sites
The Plan Bay Area 2050 Final Blueprint1 forecasts that the nine-county Bay Area will add 1.4 million new
households between 2015 and 2050. For the eight-year time frame covered by this Housing Element Update, the
Department of Housing and Community Development (HCD) has identified the region’s housing need as 441,176
units. The total number of housing units assigned by HCD is separated into four income categories that cover
housing types for all income levels, from very low-income households to market rate housing. This calculation,
known as the Regional Housing Needs Allocation (RHNA), is based on population projections produced by the
California Department of Finance as well as adjustments that incorporate the region’s existing housing need. The
adjustments result from recent legislation requiring HCD to apply additional adjustment factors to the baseline
growth projection from California Department of Finance, in order for the regions to get closer to healthy housing
markets. The adjustments focus on the region’s vacancy rate, level of overcrowding, and the share of cost
burdened households and seek to bring the region more in line with comparable areas. The new laws governing
the methodology for how HCD calculates the RHNA resulted in a significantly higher number of housing units for
which the Bay Area must plan compared to previous cycles.
D.2 Regional Housing Needs Allocation
In December 2021, ABAG adopted a Final Regional Housing Needs Allocation (RHNA) Methodology. For Los
Gatos, the RHNA required to be planned for the 6th cycle Housing Element Update is 1,993 units, an increase of
322 percent from the last cycle.
RHNA Summary
Los Gatos’ share of the regional housing need for the eight-year period from 2023 to 2031 is 1,993 units, which is
a 322 percent increase over the 619 units required by the 2015 to 2023 RHNA. The housing need is divided into
the four income categories of housing affordability. Table D-1 shows Los Gatos’ RHNA for the planning period
2023 through 2031 in comparison to the RHNA distributions for Santa Clara County and the Bay Area region.
With an update required every eight years by the State of California, this Housing Element covers a planning
period from January 31, 2023, to January 31, 2031 (also referred to as the “6th cycle”).
Table D-1 Los Gatos’ Regional Housing Needs Allocation: 2023–2031
Income Group
Los
Gatos
Units
Percent
Santa
Clara
County
Units
Percent
Bay
Area
Units
Percent
Very Low Income (<50% of AMI) 537 26.9% 32,316 24.9% 114,442 25.9%
Low Income (50%-80% of AMI) 310 15.6% 18,607 14.4% 65,892 14.9%
Moderate Income (80%-120% of AMI) 320 16.1% 21,926 16.9% 72,712 16.5%
Above Moderate Income (>120% of AMI) 826 41.4% 56,728 43.8% 188,130 42.6%
Total 1,993 100.0% 129,577 100.0% 441,176 100.0%
Source: ABAG 2021
1 Plan Bay Area 2050 is a long‐range plan charting the course for the future of the nine‐county San Francisco Bay Area. It covers four key issues: the
economy, the environment, housing and transportation
HCD Revised Draft Initial Review 2023-2031 Housing Element
D-2 Appendix D October 2022March 2023
D.3 Sites Inventory
The purpose of the sites inventory is to identify and analyze specific sites that are available and suitable for
residential development during the planning period between 2023-2031 in order to accommodate Los Gatos’
assigned 1,993 housing units. The Town does not build the housing but rather creates the implementation
programs and policies to plan for where the housing can be located and how many units could be built on
potential sites.
In 2017, Senate Bill (SB) 166 was signed into law and included new “no net loss” provisions that require
communities to provide an ongoing, adequate supply of land resources for housing development during the
entirety of the housing element update planning period. These provisions mean communities face risks of non-
compliance should a housing site be developed with non-residential uses, lower residential densities, or
residential uses at affordability levels higher than anticipated by the Housing Element. To avoid noncompliance,
HCD advises communities to “buffer” their assigned RHNA numbers. The Site Inventory includes 48 50 sites in
order to have enough capacity for the RHNA and recommended buffer of at least 15 percent. These sites, in
addition to Accessory Dwelling Unit (ADU) Projections, Senate Bill (SB) 9 Projections, and Pipeline Projects have
a total capacity of 2,3122,494 units (1,993 units plus a 16 25 percent buffer).
Overview of Selected Sites
This section provides information on the current list of potential sites that show how the Town will accommodate
the State’s required minimum of 1,993 housing units. Please note that the site numbers listed here are added
only as a way to reference the site and label it on a map. The site number is not an indication of preference or
priority. Figure D-1 shows an overview of the potential sites inventory map developed for Los Gatos’ 6th cycle
Housing Element Update. The following sites make up the Site Inventory, which is available as Appendix H.
Appendix D. Sites Inventory Analysis
March 2023October 2022 Appendix D D-1
Figure D-1 Overall Area Parcel Locations
Sites Details
This section provides information on each of the sites selected for inclusion in the site inventory of vacant and
available sites.
HCD Revised Draft Initial Review 2023-2031 Housing Element
D-2 Appendix D October 2022March 2023
Figure D-1 Overall Area Parcel Locations
Sites Details
This section provides information on each of the sites selected for inclusion in the site inventory of vacant and
available sites.
Appendix D. Sites Inventory Analysis
March 2023October 2022 Appendix D D-1
Figure D-2 Downtown Area
HCD Revised Draft Initial Review 2023-2031 Housing Element
D-2 Appendix D October 2022March 2023
Figure D-3 Downtown Area Asset Map
Appendix D. Sites Inventory Analysis
March 2023October 2022 Appendix D D-1
Site A-1 Park Avenue
Addresses: 50 Park Avenue and 61 Montebello Way
Number of Housing Units: 95
“By Right” + 20% Affordable: Not Required – Not used in previous cycle.
Description: The Park Avenue Site (A-1) is located in the Downtown Area on the southwest end
of Town on a wooded parcel that is currently identified as Very High Fire Risk. The site is
triangular in shape with parking lots and South Santa Cruz Avenue on one side, Highway 17 on a
second side, and Downtown Los Gatos forming the third side. Proximity to Downtown Los Gatos
ensures that this site provides pedestrian access to urban services. This site currently is
developed with residential units and is designated Medium Density Residential. The site is zoned
R-1D and would allow nine five housing units developed at a minimum typical density of 10 five
du/ac.
Amenities: The closest public school is Louise Van Meter ElementaryLos Gatos High School and
is approximately 1.60.5 miles away. The closest public transit line is a Valley Transporation
Authority bus stop located at West Main Street and South Santa Cruz Avenue and is
approximately 0.2 miles away.
Property Owner Interest Form Submitted: Yes.
Constraints: Very high fire hazard; existing residential dwelling units would require demolition.
Figure D-34 Park Avenue (Site A-1)
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D-2 Appendix D October 2022March 2023
Site A-2 South Santa Cruz Avenue
Address: 101 South Santa Cruz Avenue
Number of Housing Units: 2116
“By Right” + 20% Affordable: Not Required – Not used in previous cycle.
Description: The South Santa Cruz Avenue Site (A-2) is located in the Downtown Area on the
southwest end of Town along South Santa Cruz Avenue on an occupied commercial parcel in
Downtown Los Gatos. The site is currently identified as Medium Density Residential. Proximity
To Downtown Los Gatos ensures that this site provides pedestrian access to urban services. This
site is designated as Central Business District and zoned C-2, which would allow 21 16 housing
units developed at a typical minimum density of 26 20 du/ac.
Amenities:The closest public school is Los Gatos High School and is approximately 0.5 miles
away. The closest public transit line is a Valley Transporation Authority bus stop located at West
Main Street and South Santa Cruz Avenue and is approximately 300 feet away.
Property Owner Interest Form Submitted: Yes.
Constraints: Very high fire hazard; the existing commercial use would require demolition.
Figure D-45 South Santa Cruz Avenue (Site A-2)
Appendix D. Sites Inventory Analysis
March 2023October 2022 Appendix D D-1
Site A-3 University Avenue
Address: 165 Los Gatos-Saratoga Road
Number of Housing Units: 107
“By Right” + 20% Affordable: Not Required – Not used in previous cycle.
Description: The University Avenue Site (A-3) is located in the Downtown Area at the corner of
Los Gatos-Saratoga Road and University Avenue on an occupied commercial site. Proximity to
Downtown Los Gatos ensures that this site would provide pedestrian access to urban services.
This site is designated as Central Business District and zoned C-2, which would allow 10 seven
housing units developed at a minimum typical density of 26 20 du/ac.
Amenities: The closest public school is Los Gatos High School and is approximately 0.8 miles
away. The closest public transit line is a Valley Transporation Authority bus stop located at
Saratoga-Los Gatos Road and University Avenue and is approximately 360 feet away.
Property Owner Interest Form Submitted: Yes.
Constraints: Existing commercial building would require demolition.
Figure D-56 University Avenue (Site A-3)
HCD Revised Draft Initial Review 2023-2031 Housing Element
D-2 Appendix D October 2022March 2023
Figure D-76 Los Gatos Lodge Area
Appendix D. Sites Inventory Analysis
March 2023October 2022 Appendix D D-1
Figure D-8 Los Gatos Lodge Area Asset Map
HCD Revised Draft Initial Review 2023-2031 Housing Element
D-2 Appendix D October 2022March 2023
Site B-1 Los Gatos Lodge
Address: 50 Los Gatos-Saratoga Road
Number of Housing Units: 317264
“By Right” + 20% Affordable: Not Required – Not used in previous cycle.
Description: The Los Gatos Lodge Site (B-1) is located in the Los Gatos Lodge Area
immediately adjacent to the interchange of Highway 9 and Highway 17, east of Downtown Los
Gatos. The site is the current location of the Los Gatos Lodge, with the Los Gatos High School
sports fields to the south, lower-density residential uses across Bella Vista Avenue to the east,
and Best Western Inn across Highway 9 on the north. This site is designated as Mixed-Use
Commercial and zoned CH:PD, which would allow 317 264 housing units developed at a
minimum typical density of 36 30 du/ac.
Amenities: The closest public school is Louise Van Meter Elementary School and is
approximately 0.9 miles away. The closest public transit line is a Valley Transporation Authority
bus stop located at Los Gatos Boulevard and Stacia Street and is approximately 0.4 miles away.
Property Owner Interest Form Submitted: Yes.
Constraints: Existing commercial buildings would require demolition and removal or modification
of the existing Planned Development Overlay to accommodate residential.
Figure D-79 Los Gatos Lodge (Site B-1)
Appendix D. Sites Inventory Analysis
March 2023October 2022 Appendix D D-1
Figure D-8 Los Gatos Boulevard Area
HCD Revised Draft Initial Review 2023-2031 Housing Element
D-2 Appendix D October 2022March 2023
Figure D-10 Los Gatos Boulevard Area
Appendix D. Sites Inventory Analysis
March 2023October 2022 Appendix D D-1
Figure D-11 Los Gatos Boulevard Area Asset Map
HCD Revised Draft Initial Review 2023-2031 Housing Element
D-2 Appendix D October 2022March 2023
Site C-1 Ace Hardware
Address: 15300 Los Gatos Boulevard
Number of Housing Units: 5848
“By Right” + 20% Affordable: Not Required – Not used in previous cycle.
Description: The Ace Hardware Site (C-1) is located in the Los Gatos Boulevard Area on the
east side of Los Gatos Boulevard and north of Gateway Drive. The site is the current location of
Ace Hardware, with commercial uses to the north, south, and west, and lower-density residential
uses to the east. The site is designated as Mixed-Use Commercial and zoned C-1, which would
accommodate 58 48 housing units developed at a minimum typical density of 36 30 du/ac.
Amenities: The closest public school is Raymond J. Fisher Middle School and is approximately
1.7 miles away. The closest public transit line is a Valley Transporation Authority bus stop
located at Los Gatos Boulevard and Lark Avenue and is approximately 443 feet away.
Property Owner Interest Form Submitted: Yes.
Constraints: Existing commercial building would require demolition.
Figure D-912 Ace Hardware (Site C-1)
Appendix D. Sites Inventory Analysis
March 2023October 2022 Appendix D D-1
Site C-2 Los Gatos Boulevard
Address: 15349, 15367, and 15405 Los Gatos Boulevard
Number of Housing Units: 10386
“By Right” + 20% Affordable: Required – Not used in previous cycle.
Description: The Los Gatos Boulevard Site (C-2) is located in the Los Gatos Boulevard Area on
the west side of Los Gatos Boulevard, and south of Garden Lane. The site is the current location
of multiple commercial uses, with commercial uses to the north, south, and east, and lower-
density residential uses to the west. The site is designated as Mixed-Use Commercial and zoned
CH, which would accommodate 103 86 housing units developed at a minimum typical density of
36 30 du/ac.
Amenities: The closest public school is Raymond J. Fisher Middle School and is approximately
1.1 miles away. The closest public transit line is a Valley Transporation Authority bus stop
located at Los Gatos Boulevard and Garden Lane and is approximately 80 feet away.
Property Owner Interest Form Submitted: Yes.
Constraints: Existing commercial building would require demolition.
Figure D-1013 Los Gatos Boulevard (Site C-2)
HCD Revised Draft Initial Review 2023-2031 Housing Element
D-2 Appendix D October 2022March 2023
Site C-3 Los Gatos Boulevard
Address: 15425 Los Gatos Boulevard
Number of Housing Units: 3933
“By Right” + 20% Affordable: Not Required – Not used in previous cycle.
Description: The Los Gatos Boulevard Site (C-3) is located in the Los Gatos Boulevard Area on
the west side of Los Gatos Boulevard and east of Garden Lane. The site is the current location of
office and commerical uses, with commercial uses located on all sides. The site is designated as
Mixed-Use Commercial and zoned CH, which would accommodate 39 33 housing units
developed at a minimum typical density of 36 30 du/ac.
Amenities: The closest public school is Raymond J. Fisher Middle School and is approximately
one mile away. The closest public transit line is a Valley Transporation Authority bus stop located
at Los Gatos Boulevard and Village Square and is approximately 395 feet away.
Property Owner Interest Form Submitted: Yes.
Constraints: Existing commercial building would require demolition.
Figure D-1114 Los Gatos Boulevard (Site C-3)
Appendix D. Sites Inventory Analysis
March 2023October 2022 Appendix D D-1
Site C-4 Affordable Treasures
Address: 15795 Los Gatos Boulevard
Number of Housing Units: 2319
“By Right” + 20% Affordable: Not Required – Not used in previous cycle.
Description: The Affordable Treasures Site (C-4) is located in the Los Gatos Boulevard Area at
the northwest corner of Los Gatos Boulevard and Farley Lane. The site is the current location of
Affordable Treasures Party Store with commercial uses located to the north, south, and east and
lower-density residential uses located to the west. The site is designated as Mixed-Use
Commercial and zoned CH, which would accommodate 23 19 housing units developed at a
minimum typical density of 36 30 du/ac.
Amenities: The closest public school is Raymond J. Fisher Middle School and is approximately
0.6 miles away. The closest public transit line is a Valley Transporation Authority bus stop
located at Los Gatos Bouelvard and Farley Road and is approximately 167 feet away.
Property Owner Interest Form Submitted: Yes.
Constraints: Existing commercial building would require demolition.
Figure D-1215 Affordable Treasures (Site C-4)
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D-2 Appendix D October 2022March 2023
Site C-5 Los Gatos Boulevard
Address: 16203 Los Gatos Boulevard
Number of Housing Units: 2824
“By Right” + 20% Affordable: Not Required – Not used in previous cycle.
Description: The Los Gatos Boulevard Site (C-5) is located in the Los Gatos Boulevard Area at
the northwest corner of Los Gatos Boulevard and Roberts Road. The site is the current location
of NC Boardshop skateboard shop and Autobahn Los Gatos, with commercial uses located to the
north, east, and west and medium-density residential uses located to the south. The site is
designated as Mixed-Use Commercial and zoned CH, which would accommodate 28 24 housing
units developed at a minimum typical density of 36 30 du/ac.
Amenities: The closest public school is Raymond J. Fisher Middle School and is approximately
0.2 miles away. The closest public transit line is a Valley Transporation Authority bus stop
located at Los Gatos Bouelvard and Roberts Road and is approximately 400 feet away.
Property Owner Interest Form Submitted: No; however, a Conceptual Development Advisory
Committee application for a mixed-use development was submitted on November 17, 2020
pending an anticipated density increase as part of the General Plan and Housing Element
Updates.
Constraints: Existing commercial buildings would require demolition.
Figure D-1316 Los Gatos Boulevard (Site C-5)
Appendix D. Sites Inventory Analysis
March 2023October 2022 Appendix D D-1
Site C-6 Los Gatos Boulevard
Address: 16492 Los Gatos Boulevard and Assessor Parcel Number 537-02-86
Number of Housing Units: 116
“By Right” + 20% Affordable: Not Required – Not used in previous cycle.
Description: The Los Gatos Boulevard Site (C-6) is located in the Los Gatos Boulevard Area on
the east side of Los Gatos Boulevard, north of Spencer Avenue. The site is the current location
of LG Wines and Liquors and Happy Cleaners, with commercial uses located to the north, south,
and west and low-density residential uses located to the east. The site is designated as Low
Density Residential but zoned C-1, which would accommodate 11 6 housing units developed at a
minimum typical density of 18 10 du/ac.
Amenities: The closest public school is Louise Van Meter Elementary School and is
approximately 0.3 miles away. The closest public transit line is a Valley Transporation Authority
bus stop located at Los Gatos Bouelvard and Nino Avenue and is approximately 0.1 miles away.
Property Owner Interest Form Submitted: Yes, and the owner has submitted written interest in
changing the land use designation to Neighborhood Commercial.
Constraints: Existing commercial use building would require demolition.
Figure D-1417 Los Gatos Boulevard (Site C-6)
HCD Revised Draft Initial Review 2023-2031 Housing Element
D-2 Appendix D October 2022March 2023
Site C-7 Los Gatos Boulevard
Address: 15495 Los Gatos Boulevard
Number of Housing Units: 116
“By Right” + 20% Affordable: Not Required – Not used in previous cycle.
Description: The Los Gatos Boulevard Site (C-7) is located in the Los Gatos Boulevard Area on
the west side of Los Gatos Boulevard and east of Garden Lane. The site is comprised of three
separate commercial buildings, with commercial uses located to the north, south, and east. Low-
density residential uses are located to the west. The site is designated as Mixed- Use
Commercial but zoned CH, which would accommodate 116 housing units developed at a
minimum density of 30 du/ac.
Property Owner Interest Form Submitted: No; however, a property owner has contacted staff
with an inquiry for residential development of the site.
Constraints: Existing commercial buildings would require demolition.
Figure D-15 Los Gatos Boulevard (Site C-7)
Appendix D. Sites Inventory Analysis
March 2023October 2022 Appendix D D-1
Site C-8 Los Gatos Boulevard
Address: 15445 Los Gatos Boulevard
Number of Housing Units: 46
“By Right” + 20% Affordable: Not Required – Not used in previous cycle.
Description: The Los Gatos Boulevard Site (C-8) is located in the Los Gatos Boulevard Area on
the west side of Los Gatos Boulevard and east of Garden Lane. The site is the current location of
Virtus Perf.ormance Club, with commercial uses located to the east and south. Low-density
residential uses are located to the north and west. The site is designated as Mixed-Use
Commercial but zoned CH, which would accommodate 46 housing units developed at a minimum
density of 30 du/ac.
Property Owner Interest Form Submitted: No; however, the site is adjacent to other sites
within the Site Inventory.
Constraints: Existing commercial building would require demolition.
Figure D-16 Los Gatos Boulevard (Site C-8)
HCD Revised Draft Initial Review 2023-2031 Housing Element
D-2 Appendix D October 2022March 2023
Site C-7 Los Gatos Boulevard
Address: 16151 Los Gatos Boulevard
Number of Housing Units: 106
“By Right” + 20% Affordable: Not Required – Not used in previous cycle.
Description: The Los Gatos Boulevard Site (C-7) is located in the Los Gatos Boulevard Area on
the west side of Los Gatos Boulevard, south of Blossom Hill Road. The site currently serves as a
car dealership with multiple on-site structures and commercial uses located to the north, south,
and east. Low-density residential uses are located to the east and further south. The site is
designated as Mixed-Use Commercial, but zoned CH, which would accommodate 106 housing
units developed at a minimum density of 30 du/ac.
Amenities: The closest public school is Raymond J. Fisher Middle School and is approximately
half a mile away. The closest public transit line is a Valley Transporation Authority bus stop
located at Los Gatos Boulevard and Magneson Loop and is approximately 0.2 miles away.
Property Owner Interest Form Submitted: Yes.
Constraints: Existing commercial buildings would require demolition.
Figure D-18 Los Gatos Boulevard (Site C-7)
Appendix D. Sites Inventory Analysis
March 2023October 2022 Appendix D D-1
Site C-8 Blossom Hill Road
Address: 620 Blossom Hill Road
Number of Housing Units: 79
“By Right” + 20% Affordable: Not Required – Not used in previous cycle.
Description: The Blossom Hill Road Site (C-8) is located in the Los Gatos Boulevard Area on the
south side of Blossom Hill Road, west of the Blossom Hill Road and Los Gatos Boulevard
intersection. The site currently serves as a car dealership with multiple on-site structures and
commercial uses located to the north and east. Residential uses are located to the north, south,
and west. The site is designated as Mixed-Use Commercial, but zoned CH, which would
accommodate 79 housing units developed at a minimum density of 30 du/ac.
Amenities: The closest public school is Raymond J. Fisher Middle School and is approximately
one mile away. The closest public transit line is a Valley Transporation Authority
bus stop located at Los Gatos Bouelvard and Blossom Hill Road and is approximately half a mile
away.
Property Owner Interest Form Submitted: Yes.
Constraints: Existing commercial buildings would require demolition.
Figure D-19 Los Gatos Boulevard (Site C-8)
HCD Revised Draft Initial Review 2023-2031 Housing Element
D-2 Appendix D October 2022March 2023
Site C-9 Los Gatos Boulevard
Address: 15480 Los Gatos Boulevard and 15500 Los Gatos Boulevard
Number of Housing Units: 134
“By Right” + 20% Affordable: Not Required – Not used in previous cycle.
Description: The Los Gatos Boulevard Site (C-9) is located in the Los Gatos Boulevard Area on
the west side of Los Gatos Boulevard, north of Los Gatos Almaden Road. The site currently
serves as a car dealership with multiple on-site structures and commercial uses located to the
north, south, and west. Residential uses are located to the east and further south. The site is
designated as Mixed-Use Commercial but zoned CH, which would accommodate 134 housing
units developed at a minimum density of 30 du/ac.
Amenities: The closest public school is Raymond J. Fisher Middle School and is approximately
one mile away. The closest public transit line is a Valley Transporation Authority bus stop located
at Los Gatos and Garden opp Moore and is approximately 0.2 miles away.
Property Owner Interest Form Submitted: Yes.
Constraints: Existing commercial buildings would require demolition.
Figure D-20 Los Gatos Boulevard (Site C-9)
Appendix D. Sites Inventory Analysis
March 2023October 2022 Appendix D D-1
Figure D-2117 North Forty Area
HCD Revised Draft Initial Review 2023-2031 Housing Element
D-2 Appendix D October 2022March 2023
Figure D-22 North Forty Area Asset Map
Appendix D. Sites Inventory Analysis
March 2023October 2022 Appendix D D-1
Site D-1 North Forty Phase II
Address: 14859 Los Gatos Boulevard, et. al.
Number of Housing Units: 461
“By Right” + 20% Affordable: Required – Used in previous cycle.
Description: The North Forty Phase II Site (D-1) is located in the North Forty Area on the west
side of Los Gatos Boulevard, south of Burton Road. The site contains existing single-family
residences and agriculture uses. Commercial uses are located to the south and west and arterial
highways located to the north and east. The site is designated and zoned as North Forty Specific
Plan, which would accommodate 461 units at a minimum density of 30 du/ac.
Amenities: The closest public school is Farnham Elementary School and is approximately 0.8
miles away. The closest public transit line is a Valley Transporation Authority bus stop located at
Los Gatos Bouelvard and Burton Road and is approximately 115 feet away.
Property Owner Interest Form Submitted: No; however, the property owner has been involved
in attending Housing Element Advisory Board (HEAB) meetings and submitted written public
comments regarding intent and interest in residential development on the site.
Constraints: Existing buildings would require demolition.
Figure D-1823 North Forty Phase II (Site D-1)
HCD Revised Draft Initial Review 2023-2031 Housing Element
D-2 Appendix D October 2022March 2023
Site D-2 North Forty Phase II
Address: 16245 Burton Road
Number of Housing Units: 38
“By Right” + 20% Affordable: Required – Used in previous cycle.
Description: The North Forty Phase II Site (D-2) is located in the North Forty Area at the
terminus of Burton Road, on the west side of Los Gatos Boulevard. The site is underutilized with
a single-family residence. Commercial uses are located to the east and arterial highways located
to the north and west. The site is designated and zoned as North Forty Specific Plan, which
would accommodate 38 housing units developed at a minimum density of 30 du/ac.
Amenities: The closest public school is Farnham Elementary School and is approximately 0.8
miles away. The closest public transit line is a Valley Transporation Authority bus stop located at
Los Gatos Bouelvard and Burton Road and is approximately 0.1 miles away.
Property Owner Interest Form Submitted: No; however, the parcel is located within Phase II of
the North 40 Specific Plan Area where recent significant housing development is underway.
Constraints: Existing residential building would require demolition.
Figure D-1924 North Forty Phase II (Site D-2)
Appendix D. Sites Inventory Analysis
March 2023October 2022 Appendix D D-1
Site D-3 North Forty (Phase II)
Address: 16240 Burton Road
Number of Housing Units: Eight
“By Right” + 20% Affordable: Required – Used in previous cycle.
Description: The North Forty Phase II Site (D-3) is located in the North Forty Area along Burton
Road and adjacent to the Highway 17/Highway 85 interchange. The site contains a single-family
residence. Other North Forty Specific Plan properties surround the site. The site is designated
and zoned as North Forty Specific Plan, which would accommodate eight housing units
developed at a minimum density of 30 du/ac.
Amenities: The closest public school is Farnham Elementary School and is approximately 0.8
miles away. The closest public transit line is a Valley Transporation Authority bus stop located at
Los Gatos Bouelvard and Burton Road and is approximately 0.1 miles away.
Property Owner Interest Form Submitted: No; however, the parcel is located within Phase II of
the North 40 Specific Plan Area where recent significant housing development is underway.
Constraints: Existing residential building would require demolition.
Figure D-2025 North Forty Phase II (Site D-3)
HCD Revised Draft Initial Review 2023-2031 Housing Element
D-2 Appendix D October 2022March 2023
Site D-4 North Forty Phase II
Address: 16270 Burton Road
Number of Housing Units: 13
“By Right” + 20% Affordable: Required – Used in previous cycle.
Description: The North Forty Phase II Site (D-4) is located in the North Forty Area at the end of
Burton Road and immediately adjacent to the Highway 17/Highway 85 interchange. The site
contains a single-family residence. Other North Forty Specific Plan properties surround the site.
The site is designated and zoned as North Forty Specific Plan, which would accommodate 13
housing units developed at a minimum density of 30 du/ac.
Amenities: The closest public school is Farnham Elementary School and is approximately 0.8
miles away. The closest public transit line is a Valley Transporation Authority bus stop located at
Los Gatos Bouelvard and Burton Road and is approximately 0.2 miles away.
Property Owner Interest Form Submitted: No; however, the parcel is located within Phase II of
the North 40 Specific Plan Area where recent significant housing development is underway.
Constraints: Existing residential building would require demolition.
Figure D-2126 North Forty Phase II (Site D-4)
Appendix D. Sites Inventory Analysis
March 2023October 2022 Appendix D D-1
Site D-5 North Forty Phase II
Address: 16210 Burton Road
Number of Housing Units: 25
“By Right” + 20% Affordable: Required – Used in previous cycle.
Description: The North Forty Phase II Site (D-5) is located in the North Forty Area along Burton
Road and on the west side of Los Gatos Boulevard. The site contains single-family residences.
Other North Forty Specific Plan properties surround the site. The site is designated and zoned as
North Forty Specific Plan, which would accommodate 25 housing units developed at a minimum
density of 30 du/ac.
Amenities: The closest public school is Farnham Elementary School and is approximately 0.8
miles away. The closest public transit line is a Valley Transporation Authority bus stop located at
Los Gatos Bouelvard and Burton Road and is approximately 0.1 miles away.
Property Owner Interest Form Submitted: No; however, the parcel is located within Phase II of
the North 40 Specific Plan Area where recent significant housing development is underway.
Constraints: Existing residential building would require demolition.
Figure D-2227 North Forty Phase II (Site D-5)
HCD Revised Draft Initial Review 2023-2031 Housing Element
D-2 Appendix D October 2022March 2023
Site D-6 North Forty Phase II
Address: 14849 Los Gatos Boulevard
Number of Housing Units: 28
“By Right” + 20% Affordable: Required – Used in previous cycle.
Description: The North Forty Phase II Site (D-6) is located in the North Forty Area on the west
side of Los Gatos Boulevard, south of Burton Road. The site contains a single-family residence.
Other North Forty Specific Plan properties surround the site on the north, south, and west. East
of the site, across Los Gatos Boulevard there are commercial uses. The site is designated and
zoned as North Forty Specific Plan, which would accommodate 28 housing units developed at a
minimum density of 30 du/ac.
Amenities: The closest public school is Farnham Elementary School and is approximately 0.8
miles away. The closest public transit line is a Valley Transporation Authority bus stop located at
Los Gatos Bouelvard and Burton Road and is approximately 65 feet away.
Property Owner Interest Form Submitted: No; however, the parcel is located within Phase II of
the North 40 Specific Plan Area where recent significant housing development is underway.
Constraints: Existing residential building would require demolition.
Figure D-2328 North Forty Phase II (Site D-6)
Appendix D. Sites Inventory Analysis
March 2023October 2022 Appendix D D-1
Site D-7 North Forty Phase II
Address: 14823 Los Gatos Boulevard
Number of Housing Units: 11
“By Right” + 20% Affordable: Required – Used in previous cycle.
Description: The North Forty Phase II Site (D-7) is located in the North Forty Area at the
southwest corner of Burton Road and Los Gatos Boulevard. The site contains a single-family
residence. Other North Forty Specific Plan properties surround the site on the south and west.
North of the site, across Burton Road, and east of the site, across Los Gatos Boulevard, there are
commercial uses. The site is designated and zoned as North Forty Specific Plan, which would
accommodate 11 housing units developed at a minimum density of 30 du/ac.
Amenities: The closest public school is Farnham Elementary School and is approximately 0.7
miles away. The closest public transit line is a Valley Transporation Authority bus stop located at
Los Gatos Bouelvard and Burton Road and is approximately 120 feet away.
Property Owner Interest Form Submitted: No; however, the parcel is located within Phase II of
the North 40 Specific Plan Area where recent significant housing development is underway.
Constraints: Existing residential building would require demolition.
Figure D-2429 North Forty Phase II (Site D-7)
HCD Revised Draft Initial Review 2023-2031 Housing Element
D-2 Appendix D October 2022March 2023
Figure D-2530 Lark Avenue Area
Appendix D. Sites Inventory Analysis
March 2023October 2022 Appendix D D-1
Figure D-31 Lark Avenue Area Asset Map
HCD Revised Draft Initial Review 2023-2031 Housing Element
D-2 Appendix D October 2022March 2023
Site E-1 Oka Road
Address: Oka Road
Number of Housing Units: 151124
“By Right” + 20% Affordable: Required – Used in previous cycle.
Description: The Oka Road Site (E-1) is located in the Lark Avenue Area on the east side of Oka
Road, north of Lark Avenue. The site contains residential and agricultural uses. Major arterial
highways are located north and east of the site, with the Los Gatos Swim and Racquet Club
immediately north. Agricultural and commercial uses are located across Oka Road. The site is
designated as Low-Density Residential and Medium-Density Residential. Parcels within the site
are zoned R-1-8 and R-M:5-12, which would allow 151 124 housing units developed at a typical
density of four du/ac for parcels designated as Low-Density Residential and at a typical minimum
density of 18 14 du/ac for parcels designated as Medium-Density Residential.
Amenities: The closest public school is Raymond J. Fisher Middle School and is approximately
1.9 miles away. The closest public transit line is a Valley Transporation Authority bus stop
located at Los Gatos Bouelvard and Lark Avenue and is approximately 0.7 miles away.
Property Owner Interest Form Submitted: No; however the property owner has submitted a
public comment to the HEAB regarding future development of the site.
Constraints: Existing buildings would require demolition.
Figure D-2632 Lark Avenue (Site E-1)
Appendix D. Sites Inventory Analysis
March 2023October 2022 Appendix D D-1
Site E-2 Oka Lane
Address: Oka Lane
Number of Housing Units: 26
“By Right” + 20% Affordable: Required – Used in previous cycle.
Description: The Oka Lane Site (E-2) is located in the Lark Avenue Area on the west side of Oka
Road, north of Lark Avenue. The site contains agricultural uses. Major arterial highways are
located north and east of the site, with the Bonnie View mobile home park to the north.
Agricultural and commercial uses are located across Oka Road. The site is designated as Low-
Density Residential. The site is zoned R-1:8, which would allow 26 housing units developed at a
typical density of 4 du/ac.
Amenities: The closest public school is Raymond J. Fisher Middle School and is approximately
1.8 miles away. The closest public transit line is a Valley Transporation Authority bus stop
located at Winchester Bouelvard and Lark Avenue and is approximately 0.8 miles away.
Property Owner Interest Form Submitted: No; however the property owner has submitted a
public comment to the HEAB regarding future development of the site.
Constraints: Proximity to adjacent highways.
Figure D-2733 Oka Lane (Site E-2)
HCD Revised Draft Initial Review 2023-2031 Housing Element
D-2 Appendix D October 2022March 2023
Site E-3 Caltrans Right of Way
Address: Caltrans Right of Way
Number of Housing Units: 8869
“By Right” + 20% Affordable: Not Required – Not used in previous cycle.
Description: The Caltrans Right of Way Site (E-3) is located in the Lark Avenue Area south and
west of the Highway 17/Highway 85 interchange. The site is currently vacant. Major arterial
highways are located north and east of the site. Commercial uses are located west of the site
across Oka Road, and the Bonnie View mobile home park is located immediately south of the
site. Should the site be annexed by the Town, it is designated as Medium-Density Residential
and zoned as R-M:5-12, which would accommodate 88 69 housing units developed at a minimum
typical density of 18 14 du/ac.
Amenities: The closest public school is Raymond J. Fisher Middle School and is approximately
2.1 miles away. The closest public transit line is a Valley Transporation Authority bus stop
located at Los Gatos Bouelvard and Lark Avenue and is approximately 0.8 miles away.
Property Owner Interest Form Submitted: No, the Town has yet to reach out to Caltrans
regarding future development of the site.
Constraints: Consultation with Caltrans for future development.
Figure D-2834 Caltrans Right of Way (Site E-3)
Appendix D. Sites Inventory Analysis
March 2023October 2022 Appendix D D-1
Figure D-2935 Winchester Boulevard Area
HCD Revised Draft Initial Review 2023-2031 Housing Element
D-2 Appendix D October 2022March 2023
Figure D-36 Winchester Boulevard Area Asset Map
Appendix D. Sites Inventory Analysis
March 2023October 2022 Appendix D D-1
Site F-1 Knowles Drive
Address: 110 Knowles Drive
Number of Housing Units: 264220
“By Right” + 20% Affordable: Required – Used in previous cycle.
Description: The Knowles Drive Site (F-1) is located in the Winchester Boulevard Area north and
west of the Highway 17/Highway 85 interchange. The site contains industrial uses. Los Gatos
Creek is immediately south and east of the site, with low-density residential uses located beyond.
High-density residential uses are located south and west of the site. Commercial/industrial uses
are located north of the site across Knowles Drive. The site is designated as High-Density
Residential and zoned CM:AHOZ, which would accommodate 264 220 housing units developed
at a typical minimum density of 36 30 du/ac.
Amenities: The closest public school is Daves Elementary School and is approximately 2.3 miles
away. The closest public transit line is a Valley Transporation Authority bus stop located at
Knowles Drive and Capri Drive and is approximately 0.3 miles away.
Property Owner Interest Form Submitted: No; however the site is located within the Affordable
Housing Overlay Zone.
Constraints: Existing buildings would require demolition and adjacency to the Los Gatos Creek
Trail.
Figure D-3730 Knowles Drive (Site F-1)
HCD Revised Draft Initial Review 2023-2031 Housing Element
D-2 Appendix D October 2022March 2023
Site F-2 Winchester Boulevard
Address: 206 Knowles Drive
Number of Housing Units: 8772
“By Right” + 20% Affordable: Not Required – Not used in previous cycle.
Description: The Winchester Boulevard Site (F-2) is located in the Winchester Boulevard Area at
the northeast intersection of A Street and Knowles Drive. The site contains office uses. Multi-
family residential is located to the south and office uses are located to the north, south, and west
of the site. The site is designated as High-Density Residential and zoned CM, which would
accommodate 87 72 housing units developed at a minimum typical density of 36 30 du/ac.
Amenities: The closest public school is Daves Elementary School and is approximately 2.1 miles
away. The closest public transit line is a Valley Transporation Authority bus stop located at
Knowles Drive and Capri Drive and is approximately 0.1 miles away.
Property Owner Interest Form Submitted: No; however, the site is located immediately
adjacent to 110 Knowles Drive (Site F-1), which has an Affordable Housing Overlay Zone.
Constraints: Existing buildings would require demolition and adjacency to the Los Gatos Creek
Trail.
Figure D-3138 Winchester Boulevard (Site F-2)
Appendix D. Sites Inventory Analysis
March 2023October 2022 Appendix D D-1
Figure D-3239 Union Avenue Area
HCD Revised Draft Initial Review 2023-2031 Housing Element
D-2 Appendix D October 2022March 2023
Figure D-40 Union Avenue Area Asset Map
Appendix D. Sites Inventory Analysis
March 2023October 2022 Appendix D D-1
Site G-1 Los Gatos-Almaden Road
Address: 440 Los Gatos Almaden Road
Number of Housing Units: 148
“By Right” + 20% Affordable: Not Required – Not used in previous cycle.
Description: The Los Gatos-Almaden Road Site (G-1) is located in the Union Avenue Area at the
northwest corner of Leigh Avenue and Los Gatos-Almaden Road. The site contains a gas station
and commercial building. Low-density residential are located north, south, and west of the site.
Leigh High School is located east of the site across Leigh Avenue. The site is designated as
Neighborhood Commercial and zoned C-1, which would accommodate 14 8 housing units
developed at a minimum typical density of 18 10du/ac.
Amenities: The closest public school is Leigh High School and is approximately 0.2 miles away.
The closest public transit line is a Valley Transporation Authority bus stop located at Los Gatos-
Almaden Road and Leigh Avenue and is approximately 240 feet away.
Property Owner Interest Form Submitted: Yes
Constraints: Existing gas station and commercial building would require demolition.
Figure D-3341 Los Gatos-Almaden Road (Site G-1)
HCD Revised Draft Initial Review 2023-2031 Housing Element
D-2 Appendix D October 2022March 2023
Figure D-3442 Harwood Road Area
Appendix D. Sites Inventory Analysis
March 2023October 2022 Appendix D D-1
Figure D-43 Harwood Area Asset Map
HCD Revised Draft Initial Review 2023-2031 Housing Element
D-2 Appendix D October 2022March 2023
Site H-1 Valero
Address: 14000 Blossom Hill Road
Number of Housing Units: 127
“By Right” + 20% Affordable: Not Required – Not used in previous cycle
Property Owner Interest Form Submitted:
Description: The Valero Site (H-1) is located in the Harwood Road Area at the southwest corner
of Blossom Hill Road and Harwood Road. The site contains a gas station. Low-density
residential are located north, south, and east of the site. Commercial uses are located
immediately west of the site. The site is designated as Neighborhood Commercial and zoned C-
1, which would accommodate 12 7 housing units developed at a minimum typical density of 18 10
du/ac.
Amenities: The closest public school is Noddin Elementary School and is approximately 0.2
miles away. The closest public transit line is a Valley Transporation Authority bus stop located at
Blossom Hill Road and Harwood Road and is approximately 220 feet away.
Property Owner Interest Form Submitted: Yes.
Constraints: Existing gas station and commercial building would require demolition.
Figure D-3544 Valero (Site H-1)
Appendix D. Sites Inventory Analysis
March 2023October 2022 Appendix D D-1
Figure D-3645 Alberto Way Area
HCD Revised Draft Initial Review 2023-2031 Housing Element
D-2 Appendix D October 2022March 2023
Figure D-46 Alberto Way Area Asset Map
Appendix D. Sites Inventory Analysis
March 2023October 2022 Appendix D D-1
Site I-1 Alberto Way
Address: 401-409 Alberto Way
Number of Housing Units: 5460
“By Right” + 20% Affordable: Not Required – Not used in previous cycle.
Description: The Alberto Way Site (I-1) is located in the Alberto Way Area, located at the
intersection of Alberto Way and Los Gatos-Saratoga Road. The site is currently vacant. Multi-
family residential are located north and east of the site. Commercial uses are located
immediately south and east of the site with Highway 17 to the west. The site is designated as
Mixed Use Commercial and zoned CH, which would accommodate 54 60 housing units
developed at a density of 25 27 du/ac based on a development application submitted by the
properyt owner to the Town on December 6, 2022.based on a Conceptual Development Advisory
Committee application submitted by the property owner on September 21, 2022.
Amenities: The closest public school is Los Gatos High School and is approximately 0.8 miles
away. The closest public transit line is a Valley Transporation Authority bus stop located at Los
Gatos Boulevard and Caldwell Avenue and is approximately 0.4 miles away.
Property Owner Interest Form Submitted: Yes.
Constraints: Proximity to adjacent Highway 17 onramp.
Figure D-3747 Alberto Way (Site I-1)
HCD Revised Draft Initial Review 2023-2031 Housing Element
D-2 Appendix D October 2022March 2023
Accessory Dwelling Unit (ADUs and Junior ADUs) Projections
Address: Various Locations
Number of Housing Units: 200
“By Right” + 20% Affordable: Not required, instead a formula exists for projecting the next eight-year cycle,
along with assumptions of 30 percent very-low income units, 30 percent low income units, 30 percent moderate
income units, and 10 percent above moderate categories.
Description: Accessory dwelling units according to ADU Ordinance. In addition to the housing units identified in
the Town’s Sites Inventory the production of new accessory dwelling units are ulitizied in meeting the Town’s
RHNA requirements. The Town analyzed the total number of ADU buidilng permits that have been approved in
the last three years to identify the average number of ADU units that will be developed over the eight year
planning period.
Figure D-48 below includes an analysis of the Town’s issued building permits for ADU’s between the years 2020
to 2022. In 2020, the Town issued building permits for 27 new ADUs. In 2021, the Town issued 36 building
permits for new ADU’s. In 2022, the Town issued 35 building permits for new ADU’s. The last three years of data
results in an average of 32 approved ADU building permits per year, however utilizing a conservative estimate the
Town is using annual ADU projection of 25 units. This results in a total of 200 dwelling units planned to be
constructed over the eight year planning period. Program U: Accessory Dwelling Units has been included to
monitor the number of ADU applications annually.
Constraints: To have HCD consider 200 units as a reasonable expectation for construction in this eight-year
cycle, the Town is reliant upon the averaging of previous ADU permit submittals. None.
Figure D-48 ADU Building Permits Issued 2020-2022
Source: Town of Los Gatos Community Development Department.
Senate Bill 9 (SB 9) Projections
Address: Various Locations
Minimum Number of Housing Units: 96
“By Right” + 20% Affordable: Not required – Instead, formula exists for projecting the next eight-year cycle.
Appendix D. Sites Inventory Analysis
March 2023October 2022 Appendix D D-1
Description: New housing units generated from the SB 9 Ordinance.In addition to ADU’s the production of new
housing units through SB 9 are being ulitizied to meet a portion of the Town’s RHNA requirements. In compliance
with SB 9, the Town of Los Gatos has adopted a SB 9 Ordiance that allows for the by-right ministerial review of
urban lot splits and/or two-unit development requests on single-family residentially zoned parcels.
Since the adoption the Town’s SB 9 Ordiance, the Town has received a total of four Two-Unit Housing
Devleopment applications and seven Urban Lot Split applications (between January 2022 and January 2023).
The applications result in a total of 13 net new housing units a year. Based on the number of applications
received during the first year of SB 9 the Town is ulitizing an estimate of 12 net new housing units per year and
anticipating a total of 96 residential units to be developed under SB 9 during the eight year planning period.
Program BL: Senate Bill 9 Monitoring has been included to monitor the number of SB 9 applications annually.
Constraints: To have HCD consider SB 9 units as a reasonable expectation for construction in this eight-year
cycle, the Town is reliant upon the averaging of previous SB 9 permit submittals.None.
Pipeline Projects
Address: Addresses listed below:
105 Newell Avenue – net four units
20101 Foster Road – net one unit
North Forty Phase I – net 14 units
465 North Santa Cruz Avenue – net one unit
16195 George Street – net three units
144 Wood Road – net one unit
16100 Greenridge Terrace – net seven units
15215 Shannon Road – net four units
17200 Los Robles – net two units
400 Surmont Drive – net two units
14915 Shannon Road – net 10 units
16220 Hardwood – net two units
14926 Los Gatos Boulevard – net five units
15415 National Avenue – net one unit
45 Reservoir Road – net one unit
200 Happy Acres – net one unit
15343 Santella Court – net one units
15415 Santella Court – net one unit
15365 Santella Court – net one unit
15860 Winchester Boulevard – net 113 units
120 Oak Meadow Drive – net one unit
Number of Housing Units: 176
“By Right” + 20% Affordable: Not required
Description: New housing units generated from projects with Planning entitlements and Planning applications
currently under Town review.
Constraints: None
Pipeline Projects Address: See addresses listed below in Table D-2. Number of Housing Units: 176201 “By Right” = 20% Affordable: Not required. Description: The Town has residential development applications that have either been approved or are currently under review and are expected to be built during the 2023-2031 planning period are referred to as “Pipeline Projects”. Table D-2 shows these approved and planned projects. For each project, the table includes the address, accessor parcel number (APN), number of units by income category, project description, whether or not the project is subject to BMP In-Lieu Fees as part of a Hillside Planned Development (PD), and project status. Several projects included demolition or renovation of existing residences. The inventory does not count replacement units or renovated units toward RHNA; rather, only the net new capacity is counted towards RHNA. Units are categorized by income level as follows: Projects with deed-restricted affordable units are counted towards the very low-, low- or moderate income RHNA, as applicable. Projects that include non-deed restricted market-rate rental multifamily units are assumed to meet the above moderate income RHNA. Projects that include market-rate attached ownership or single-family units are assumed to meet above moderate income RHNA based on recent home sale prices that are generally only affordable to above market-income households. Projects that are residential planned development projects with five (5) to nine (9) units with an underlying zone of Hillside Residential shall pay a Below Market Price In-Lieu fee prior to issuance of the certificate of occupancy. The in-lieu fee shall be equal to the amount of six (6) percent of the building permit valuation for the entire project. As shown in Table D-2, there are 28 projects in the pipeline that will provide a total of 201 net new units. Constraints: None. Table D-2 Pipeline Projects Address APN Net Units Very Low-Income Units Low Income Units Moderate Income Units Above Moderate Income Units BMP In-Lieu Fee Hillside PD Project Description Project Status 246 Almendra Ave. 510-14-019 +1 0 0 0 1 N One new single-family residence on a vacant lot. Planning Entitlements Approved, Building Permit Under Review 16466 Bonnie Ln. 532-02-053 +1 0 0 0 1 N One new single-family residence on a vacant lot. Subdivision Approved, Planning Entitlements for Development on Newly Created Lot Has Not Been Submitted. 2021 Foster Rd. 537-33-001 +1 0 0 0 1 Y One new single-family residence on a vacant lot. Planning Entitlements Approved, Building Permit Under Review
Appendix D. Sites Inventory Analysis March 2023October 2022 Appendix D D-1 Address APN Net Units Very Low-Income Units Low Income Units Moderate Income Units Above Moderate Income Units BMP In-Lieu Fee Hillside PD Project Description Project Status 16195 George St. 529-18-051 +3 0 0 0 0 N Demo of an existing residence and construction of four new condos. Net of three units. Planning Entitlements Approved, Building Permit Under Review 16100 Greenridge Terrace 527-12-002 +8 0 0 0 8 Y Subdivision of one vacant lot into eight hillside lots. Subdivision Entitlements and Site Improvements Approved, Site Improvements Under Construction, Planning Entitlements for Development on Newly Created Lots Have Not Been Submitted 200 Happy Acres Rd. 537-24-030 +1 0 0 0 1 N One new single-family residence on a vacant lot. Planning Entitlements Under Review 16220 Harwood Rd. 567-18-051 +2 0 0 0 2 N Subdivision of one lot into three lots, and a net of two new single-family residences. Subdivision Approved, Planning Entitlements Under Review 16461 S. Kennedy Rd. 532-17-027 +1 0 0 0 1 N One new single-family residence on a vacant lot. Planning Entitlements Approved, Building Permits Under Review 16484 S. Kennedy Rd. 532-20-012 +1 0 0 0 1 N One new single-family residence on a vacant lot. Planning Entitlements Approved, Building Permit Under Review 300 Laurel Mountain Ln. 567-24-023 +1 0 0 0 1 N One new single-family residence on a vacant lot. Planning Entitlements Under Review 14926 Los Gatos Blvd. 424-10-009 +5 0 1 Deed Restricted 0 4 N Mixed-use building with five units. Net of five new units. Planning Entitlements Under Review 17200 Los Robles Way 532-36-075, -076, and -077. +2 0 0 0 2 N Lot line adjustment of three parcels showing development potential of two vacant parcels. Net of two lots. Lot Line Adjustment Approved, Planning Entitlements for Newly Created Lots Have Not Been Submitted
HCD Revised Draft Initial Review 2023-2031 Housing Element D-2 Appendix D October 2022March 2023 Address APN Net Units Very Low-Income Units Low Income Units Moderate Income Units Above Moderate Income Units BMP In-Lieu Fee Hillside PD Project Description Project Status 15415 National Ave. 424-12-006 +1 0 0 0 1 N Subdivision of one lot into two new lots. Net of one new single-family residence. Subdivision Approved, Planning Entitlements for Development on Newly Created Lots Have Not Been Submitted 105 Newell Ave. New addresses: (103, 104, 109, and 110 Sporleder Ct) 409-24-016 +4 0 0 0 4 N Subdivision of one lot commercial lot into five lots. Net of four new single-family residential lots. Planning Entitlements Approved, Building Permits Under Review 120 Oak Meadow Dr. 529-10-131 +1 0 0 0 1 N Subdivision of one lot into two lots and construction of a new single-family residence. Planning Entitlements Under Review 45 Reservoir Rd. 529-33-054 +1 0 0 0 1 N One new single-family residence on a vacant lot. Planning Entitlements Under Review 16940 Roberts Rd. 529-18-053 +2 0 0 0 2 N Demolition of an existing single-family residence, construction of three new condominium units. Net of two units. Planning Entitlements Approved, Building Permits Approved 465 N. Santa Cruz Ave. 410-16-004 +1 0 0 0 1 N Mixed-use project with one new dwelling unit in an existing commercial building. Planning Entitlements Approved, Building Permits Approved and Under Construction 15343 Santella Ct. 527-09-034 +1 0 0 0 1 Y One new single-family residence on a vacant lot. Planning Entitlements Under Review 15415 Santella Ct. 527-09-022 +1 0 0 0 1 Y One new single-family residence on a vacant lot. Planning Entitlements Approved, Building Permit Under Review 15365 Santella Ct. 527-09-36 +1 0 0 0 1 Y One new single-family residence on a vacant lot. Planning Entitlements Approved
Appendix D. Sites Inventory Analysis March 2023October 2022 Appendix D D-1 Address APN Net Units Very Low-Income Units Low Income Units Moderate Income Units Above Moderate Income Units BMP In-Lieu Fee Hillside PD Project Description Project Status 15665 Shady Ln. 527-11-009 +1 0 0 0 1 N One new single-family residence on a vacant lot. Planning Entitlements Approved, Building Permit Under Review 14915 Shannon Rd. 537-27-047 +10 0 0 0 10 Y Zone Change, General Plan Amendment, and the subdivision of one lot into 10 lots. Planning Entitlements Under Review 15215 Shannon Rd. New addresses: (116, 118, 120, 121 and 123 Rock Ridge Rd.) 537-25-036 +4 0 0 0 4 Y Subdivision of one lot into five hillside lots. Net of four lots. Subdivision Entitlements Approved Planning Entitlements for Development on Newly Created Lots Have Not Been Submitted 400 Surmont Dr. 527-20-003 +2 0 0 0 2 N Subdivision of one lot into three lots with two new hillside homes. Net of two units. Planning Entitlements Approved 15860 Winchester Blvd. 529-11-013, -038, -039, and -040 +113 0 0 0 0 N 113 assisted living units with kitchens. Planning Entitlements Under Review 144 Wood Rd. 510-47-044 +1 0 0 0 1 N One new single-family residence on a vacant lot. Planning Entitlements Approved North Forty Phase 1 424-07-100 +30 0 0 0 30 N Mixed-use development consisting of 320 residential units, including 49 very low-income senior unit and one affordable caretakers’ unit. 30 units have not received building permit approval yet. Planning Entitlements Approved, Building Permits at Various Stages of Review and Approval and Construction
HCD Revised Draft Initial Review 2023-2031 Housing Element D-2 Appendix D October 2022March 2023 Address APN Net Units Very Low-Income Units Low Income Units Moderate Income Units Above Moderate Income Units BMP In-Lieu Fee Hillside PD Project Description Project Status Total Net Pipeline Units = 201 Source: Town of Los Gatos Community Development Department. RHNA Credits Summary A summary of the pipeline projects, projected ADU, and SB 9 development which may serve as credit toward the Town’s RHNA requirements are included below in Table D‐3 and in total amount to 497 units. Table D-3 Miscellaneous RHNA Credits RHNA Credit Affordability Credit Very Low‐Income Low‐Income Moderate‐Income Above‐Moderate Income Total Pipeline Projects 0 1 0 200 201 ADUs 20 60 60 60 200 SB 9 Units 0 0 0 96 96 Total 20 61 60 356 497 Source: Town of Los Gatos Community Development Department.
Inventory of Vacant and Available Sites
This section provides the formal inventory of sites that the Town of Los Gatos will rely on in the 6th Housing
Element planning cycle. Per State law and Housing Policy, the Town is required to maintain “no net loss” of the
housing capacity represented by this list of parcels and the sites they comprise. To facilitate this, the inventory
presented in Appendix H has been designed with excess capacity. This allows some degree of flexibility in
decision making for individual development projects as they come forward for approval.
In short, with some limited flexibility, the Town is committed to permitting housing on each of the parcels listed in
the table below, and in so doing ensuring that the number of units listed for each parcel in the table "planned
capacity” is achieved. Should the Town approve development that is inconsistent with the parcel’s planned
capacity, it is then required as part of that approval to:
1. Find, based on quantitative evidence, that the remaining inventory of housing sites is still sufficient to
meet the Town’s 6th cycle RHNA; or
2. Identify one or more available sites with the realistic development capacity to replace the housing that
would have otherwise been developed had consistency with planned capacity been achieved.
Appendix H provides details and capacity estimates for each of the parcels that comprise the Site Inventory as
identified in the section above.
D. 4 Summary and Conclusions
The sites identified in this report are sufficient to accommodate Los Gatos’ Regional Housing Needs Allocation for
the 6th cycle planning period. This number accommodates a buffer of approximately 16 25 percent above RHNA,
which would equal capacity of approximately 319501 additional units. These sites, in addition to Accessory
Dwelling Units Projections, Senate Bill 9 Projections, and Pipeline Projects have a total capacity of 2,312 2,494
units. This “cushion” for capacity above the base RHNA number is highly recommended because of the State’s
no-net-loss policy, which precludes jurisdictions from approving development that results in an overall housing
site deficit. The “cushion” essentially provides a degree of flexibility for policy makers as they make development
decisions. Many of the sites identified in this report have existing uses that would need to be demolished before
new housing could be constructed.
For communities like Los Gatos that are largely built out and surrounded by other communities and
undevelopable hillsides, redevelopment and densification is the only practical solution to providing a fair share of
future housing for the San Francisco Bay Area. By its nature, such redevelopment is more costly and more time
consuming than building new units on vacant land. To offset these constraints, higher densities are proposed in
some areas. These higher densities act as a market incentive to offset the added cost and time required build
new housing on redeveloped sites. Property owner interest will be pivotal for facilitating single-family site
opportunities to add housing through construction of ADUs and use of SB 9 processes, which allow for up to four
units on a property zoned for a single house.
Review of Previous Housing Element E
APPENDIX
Appendix E. Review of Previous Housing Element
March 2023October 2022 Appendix E E-1
E.1 Introduction
In order to effectively plan for the future, it is important to reflect back on the goals of the previous Housing
Element and to identify those areas where progress was made and those areas where continued effort is needed.
State Housing Element guidelines require communities to evaluate their previous Housing Element according to
the following criteria:
Effectiveness of the Element.
Progress on Implementation.
Appropriateness in Goals, Objectives, and Policies.
E.2 Effectiveness of the Element
The Town of Los Gatos’ 2015 Housing Element identified the following goals:
Expand the choice of housing opportunities for all economic segments of the community by supporting the
development of affordable housing in a variety of types and sizes, including a mixture of ownership and
rental housing.
Maintain and/or adopt appropriate land use regulations and other development tools to encourage the
development of affordable housing that is compatible with the neighborhood and the community.
Preserve existing residential opportunities, including the existing affordable housing stock.
Ensure that all persons have equal access to housing opportunities.
Retain and expand affordable housing opportunities for seniors.
Mitigate Town governmental constraints to affordable and special needs housing development.
Encourage residential construction that promotes green building and energy conservation practices.
Ensure that the Town has sufficient resources and takes appropriate measures to implement the Housing
Element.
Maintain the Town’s 2005 jobs-to-household ratio of 1.5 jobs per household.
In order to achieve these goals, the 2015 Housing Element listed a series of policies and programs. The policies
covered a range of housing concerns, including appropriate zoning for lower and moderate-income households,
assisting in developing affordable housing, removing governmental constraints, conserving the existing affordable
housing stock, preventing the conversion of affordable units to market rate, and promoting equal housing
opportunities for all persons. The policies comply with State housing law guidelines.
E.3 Progress on Implementation
To assess the Town’s progress on implementing the 2015 Housing Element, the following key areas were
reviewed:
Adopted Programs;
Production of Housing;
Preservation of “At Risk” Units; and
Rehabilitation of Existing Units.
Each of these areas is discussed in detail below.
Overview of Adopted Programs
Table E-1 below identifies all of the actions the Town committed to in the 2015 Housing Element. The table also
includes a description of the progress that was made during the 2015 to 2023 planning period. Where a program
is recommended to be continued into the current Housing Element, that program appears in Section 10.6 of
Chapter 10.
HCD Revised Draft Initial Review2023-2031 Housing Element March 2023October 2022 Appendix E E-3 Table E-1 Overview of Adopted Programs No. Programs (The text provided in this column is a synopsis only; for complete program language refer to the 2015 Housing Element) Achievements/Effectiveness Continue/Modify/Delete Goal HOU‐1 Expand the choice of housing opportunities for all economic segments of the community by supporting the development of affordable housing in a variety of types and sizes, including a mixture of ownership and rental housing. Modify as Goal HE‐1. Policy HOU‐1.1 Develop and utilize all available housing funding resources in order to provide the maximum amount of affordable housing as feasible. Modify as Policy HE‐2.1. Policy HOU‐1.2 Work with nonprofit agencies and housing developers to plan and develop a mix of affordable housing opportunities in Los Gatos. Modify as Policy HE‐2.9. Actions/Implementation Programs 1.1 Continue to implement the Below Market Price (BMP) program and evaluate it annually to ensure it is not a constraint to development. BMP Program is implemented on all residential projects that meet the criteria. Modify as Implementation Program N. 1.2 Amend the Town Code to allow new deed restricted Accessory Dwelling Units (ADU) to be affordable to lower income households on non‐conforming residential lots over 10,000 square feet and in the Hillside Residential Zone on sites that are larger than 5 acres. Town Code has been amended to address this. ModifyDelete. 1.3 Continue to provide up to a 100 percent density bonus for developments that include housing for elderly, handicapped, and/or very low and low‐income households. This is an incentive that is provided to projects that meet the criteria. Modify as Implementation Program V. 1.4 Using BMP in‐lieu fees, implement the proposed programs and initiatives of the Town’s Affordable Housing Strategies to increase and preserve affordable housing, such as purchasing affordability covenants in existing apartments. Use of BMP in‐lieu fees will be considered as opportunities arise. Modify as Implementation Program T. 1.5 Hold a periodic outreach meeting with affordable housing developers to discuss the development of housing affordable to extremely low‐income households. The Town will consider incentives when projects of this nature are proposed. Modify as Implementation Program S. 1.6 Encourage the creation of housing that is affordable to extremely low‐income households by considering allocating a percentage of the Town’s Affordable Housing (Below Market Price) fund to subsidize housing for extremely low‐income households. Use of BMP in‐lieu fees will be considered as opportunities arise. Modify as Implementation Program P. 1.7 The Town will rezone 13.5 acres within the North 40 Specific Plan area within three years of Housing Element adoption at minimum a density of 20 dwelling units per acre to facilitate affordable housing production. Complete. 320 units approved with majority under construction. Delete. The North Forty Specific Plan was adopted by the Town Council on June 17, 2015.
Appendix E. Review of Previous Housing Element March 2023October 2022 Appendix E E-5 No. Programs (The text provided in this column is a synopsis only; for complete program language refer to the 2015 Housing Element) Achievements/Effectiveness Continue/Modify/Delete 1.8 To assist the development of housing for lower income households on sites larger than ten acres, the Town will facilitate land divisions and lot line adjustments to result in parcels sizes between one to ten acres that facilitate multiple‐family developments affordable to lower income households in light of state, federal and local financing programs. Projects are given priority. ContinueModify as Implementation Program M. Goal HOU‐2 Maintain and/or adopt appropriate land use regulations and other development tools to encourage the development of affordable housing that is compatible with the neighborhood and the community. ModifyDelete. Policy HOU‐2.1 Continue to designate sufficient, residentially zoned land at appropriate densities to provide adequate sites to accommodate Los Gatos’s RHNA for 2015–2023. Modify as Policy HE‐1.1.Continue Policy HOU‐2.2 Ensure that the Town will provide sufficient land at appropriate zoning categories to meet its RHNA for very low‐, and moderate‐income households, as demonstrated in the Housing Sites Inventory analysis in Chapter 6 of the Housing Element Technical Appendix. ModifyDelete. Policy HOU‐2.3 Encourage mixed–use developments that provide affordable housing close to employment centers and/or transportation facilities, particularly along Los Gatos Boulevard and within a ½‐mile radius of the future Vasona light rail station. Modify as Policy HE‐2.3. Policy HOU‐2.4 Demonstrate that all new residential development is sufficiently served by public services and facilities, including pedestrian and vehicular circulation, water and wastewater services, police, fire, schools, and parks. ContinueModify as Policy HE‐1.3. Policy HOU‐2.5 New single‐family, multi‐family, and mixed‐use developments shall be compatible with the character of the surrounding neighborhood. Modify as Policy HE‐1.4. Policy HOU‐2.6 Strive to ensure that at least 30 percent of the housing stock is rental units. Modify as Policy HE‐2.4. Policy HOU‐2.7 Create new affordable housing opportunities through acquisition using Affordable Housing Funds. Delete. Actions/Implementation Programs 2.1 Continue to implement the minimum density and affordable housing incentives within the AHOZ A project has not been submitted for 110 Knowles Avenue, the one parcel in Town with an AHOZ overlay. This will be implemented when a project in the AHOZ is considered. ModifyDelete. The property located at 110 Knowles Avenue will still retain the AHOZ designation, as well as a HEOZ overlay.
HCD Revised Draft Initial Review 2023-2031 Housing Element E-6 Appendix E March 2023October 2022 No. Programs (The text provided in this column is a synopsis only; for complete program language refer to the 2015 Housing Element) Achievements/Effectiveness Continue/Modify/Delete 2.2 For multiple‐family residential development within the North 40 and the Southbay AHOZ site, subject to by right development, the Town will amend the Town Code to add by right development findings. that, among other item, state that if a project meets the objective review criteria contained in the AHOZ Design Guidelines or North Forty Specific Plan design guidelines the deciding body will approve the affordable housing proposal. This has not yet been completedOn August 1, 2017, the Town Council approved the Phase I application for the North Forty Specific Plan Area which included 320 residential units. A project for the Southbay AHOZ site was not submitted during the fifth cycle planning period. ModifyDelete. Implementation Programs BF and BG are proposed to modify the Zoning Code and General Plan to create the HEOZ for all sites located within the Sites Inventory. 2.3 The Town Code (Zoning Regulations) will be amended to clarify that Transitional and Supportive Housing is permitted in all residential zones by right. The Town will comply with State Law and SB 743 if a project is proposed before the Town Code is amended.No projects were submitted during the fifth cycle for Transitional or Supportive Housing. DeleteModify as Implementation Program BC. 2.4 For multiple family residential development within the North 40 and the Southbay AHOZ site subject to by right development, the Town will amend the Town Code to add by right development findings. that, among other item, state that if a project meets the objective review criteria contained in the AHOZ Design Guidelines or North Forty Specific Plan design guidelines the deciding body will approve the affordable housing proposal. On August 1, 2017, the Town Council approved the Phase I application for the North Forty Specific Plan Area which included 320 residential units. A project for the Southbay AHOZ site was not submitted during the fifth cycle planning period.This has not yet been completed. Delete. Implementation Programs BF and BG are proposed to modify the Zoning Code and General Plan to create the HEOZ for all sites located within the Sites Inventory.Modify 2.5 To ensure adequate residential capacity to accommodate the RHNA for each income category, the Town will develop and implement an ongoing formal evaluation procedure (project‐by‐project) of sites identified in the Sites Inventory. If this situation arises the Town will comply with this requirement. Continue as Implementation Program C.Modify Goal HOU‐3 Preserve existing residential opportunities, including the existing affordable housing stock. Modify as Goal HE‐4. Policy HOU‐3.1 Encourage the maintenance and improvement of existing housing units. Modify as Policy HE‐4.1. Policy HOU‐3.2 Support the preservation and conservation of existing housing units that provide affordable housing opportunities for Town residents and workers. Modify as Policy HE‐4.4. Policy HOU‐3.3 Improve the quality of rental housing by acquisition and/or rehabilitation using Affordable Housing Fund. Modify as Policy HE4‐4.2.
Appendix E. Review of Previous Housing Element March 2023October 2022 Appendix E E-5 No. Programs (The text provided in this column is a synopsis only; for complete program language refer to the 2015 Housing Element) Achievements/Effectiveness Continue/Modify/Delete Policy HOU‐3.4 Preserve the affordability of units affordable to very low‐, low‐, and moderate‐income households in Bonnie View Park, and enforce zoning regulations regarding conversion of mobile home parks in Los Gatos. Continue as Policy HE‐4.3. Actions/Implementation Programs 3.1 Continue to monitor affordable, multi‐family housing units in the Town to ensure that they retain their affordability status. No units have been converted to market rate rents. Continue as Implementation Program AP. 3.2 The Town will continue to implement Section 29.20.155 of the Town Code that addresses conversions of residential use, specifically Section 29.20.155(a)(2) that requires that any proposed conversion satisfy the housing goals and policies as set forth in the General Plan. This will be considered if a conversion of residential uses is proposed. Continue as Implementation Program AQ. 3.3 Continue to participate in the County of Santa Clara Community Development Block Grant Joint Powers Authority so Town residents can participate in County CDBG Housing Rehabilitation programs. The Town still participates in these programs. Continue as Implementation Program AR. 3.4 Continue to support countywide programs that provide assistance with minor home repairs and accessibility improvements for lower‐income households, including special needs households. The Town supports these programs. Continue as Implementation Program AS. Goal HOU‐4 Ensure that all persons have equal access to housing opportunities. Modify as Goal HE‐6. Policy HOU‐4.1 Support housing programs that protect individuals’ rights. Modify as Policy HE‐6.1. Policy HOU‐4.2 Continue to provide assistance to service providers who support special needs households such as seniors, persons with disabilities (including developmental challenges), and the homeless, such as Project Sentinel, Santa Clara County Housing Authority, and Santa Clara County Office of Supportive Housing. ModifyContinue as Policy HE‐6.3. Policy HOU‐4.3 Continue to encourage Los Gatos households to participate in financial assistance programs provided in the County of Santa Clara. Continue as Policy HE‐6.2. Actions/Implementation Programs 4.1 Continue to provide a guide to developments that include affordable housing units as part of the Housing Resources Guide posted on the Town’s website. Town Housing Resources Guide is updated when necessary. Modify as Implementation Program AW.
HCD Revised Draft Initial Review 2023-2031 Housing Element E-6 Appendix E March 2023October 2022 No. Programs (The text provided in this column is a synopsis only; for complete program language refer to the 2015 Housing Element) Achievements/Effectiveness Continue/Modify/Delete 4.2 Continue the administration of the Rental Dispute Resolution Program and consider revisions as necessary to make the program as effective as possible in protecting both tenants and landlords’ rights. The Town continues to use Project Sentinel to administer a Rental Dispute Resolution Program. Continue as Implementation Program AE. 4.3 Continue to allow for an emergency shelter as a by‐right permitted use in the Controlled Manufacturing (CM) zoning district, subject to appropriate development standards. Town Code has been amended to address this. Delete. 4.4 Continue to provide support for community and non‐profit organizations providing supportive services for homeless persons in Los Gatos. The Town continues to support organizations that provide supportive services for homeless persons. Continue as Implementation Program AN. 4.5 Support the efforts of the Santa Clara County Fair Housing Consortium. Continue to make referrals through Project Sentinel and provide updated fair housing information on the Town’s website and at public locations through the Town, such as the Adult Recreation Center and public kiosks. Project Sentinel is a member of the Santa Clara County Fair Housing Consortium and administers the Town's Rental Dispute Resolution Program. Modify as Implementation Program AX. 4.6 Support the efforts of non‐profit affordable housing organizations that provide housing services in Los Gatos. The Town has met with affordable housing organizations regarding potential development in Town. Modify as Implementation Program Y. 4.7 Continue to support the County of Santa Clara’s Continuum of Care plan, as well as the “Housing 1000” campaign by Destination: Home. The Town continues to support Santa Clara County's Continuum of Care Plan. Continue as Implementation Program Z. 4.8 The Town shall amend the Town Code within one year of the Housing Element adoption to be consistent with the Employee Housing Act. The Town will comply with State Law if a project is proposed, or an issue comes up before the Town Code is amended. Delete. Goal HOU‐5 Retain and expand affordable housing opportunities for seniors. Modify as Goal HE‐2 Policy HOU‐5.1 Promote the Town’s Housing Conservation Program to assist low‐income seniors with basic home repairs and maintenance. ModifyDelete and included instead as Implementation Program J. Policy HOU‐5.2 Allow and encourage small‐scale living facilities of two to six seniors that may include nursing care services that can be integrated into existing neighborhoods as infill development. Delete.
Appendix E. Review of Previous Housing Element March 2023October 2022 Appendix E E-5 No. Programs (The text provided in this column is a synopsis only; for complete program language refer to the 2015 Housing Element) Achievements/Effectiveness Continue/Modify/Delete Policy HOU‐5.3 Work with existing senior lifestyle living and assisted living facilities in Los Gatos, and support the development of new senior housing that includes continuum of care facilities within the Town. Modify as Policy HE‐2.7. Actions/Implementation Programs 5.1 Provide regularly updated senior housing resource materials at the Adult Recreation Center. Senior resource materials are updated when necessary. ModifyContinue as Implementation Program AY. Goal HOU‐6 Mitigate Town governmental constraints to affordable and special needs housing development. Modify as Goal HE‐3 Policy HOU‐6.1 Continue expediting the permit processing system for affordable residential development applications. Modify Policy HE‐3.3. Policy HOU‐6.2 Encourage universal design features in all new residential developments, to supplement the Title 24 requirements. Modify as Policy HE‐1.6. Policy HOU‐6.3 Support the rehabilitation and modification of housing to allow accessible to people of all abilities. ModifyDelete. Policy HOU‐6.4 Support the provision of permanent, affordable, and accessible housing that allows persons with special needs to live independent lives. For the purposes of this Housing Element “persons with special needs” include extremely low‐income households, the elderly, overcrowded and large‐family households, the homeless population, those in need of emergency shelter, youth aging out of foster care, female‐headed or single‐parent households, and persons with disabilities, including developmental challenges. Continue as Policy HE‐2.8. Policy HOU‐6.5 Support efforts to provide coordinated services for persons with special needs in the Town. Modify as Policy HE‐6.3. Actions/Implementation Programs 6.1 Regularly review Town planning and zoning regulations and remove affordable housing development constraints as appropriate. The Town's Housing Element contains a number of items that limit or remove constraints. Modify as Implementation Programs B, AI, AJ, BF, and BG to reduce constraints and encourage housing. 6.2 Continue to enforce Section 29.10.505–530 of the Town Code to ensure equal access to housing for persons with disabilities under the Fair Housing Act and provide specific procedures for requesting and granting reasonable accommodations. This has not yet been completed. Continue as Implementation Program AA.
HCD Revised Draft Initial Review 2023-2031 Housing Element E-6 Appendix E March 2023October 2022 No. Programs (The text provided in this column is a synopsis only; for complete program language refer to the 2015 Housing Element) Achievements/Effectiveness Continue/Modify/Delete 6.3 Remove constraints to housing for persons with disabilities and encourage accessible housing in new residential developments. Removal of constraints is considered when necessary. Modify as Implementation Program AB and AC. 6.4 Give priority to special needs housing by allowing for reduced processing time and streamlined procedures for such appropriate zoning/land use applications. If a project of this nature is submitted it will be given priority. Modify as Implementation Program AD. 6.5 Include preferential handling of special needs populations in management plans and regulatory agreements of funded projects. Will be considered when plans are adopted, and projects are funded. Modify as Implementation Program AD. 6.6 Explore opportunities to work with local and/or regional partners to provide rental assistance for persons with developmental challenges. The Town will explore opportunities with local and/or regional partners during the Housing Element update process. Modify as Implementation Program AF. 6.7 Consider development of universal design enhancements to existing design guidelines and standards to encourage the inclusion of universal design features in new construction. Periodically study every two years and adopt as appropriate specific revisions or amendments to the Town’s development documents as part of the Town Building Code. The Town considers enhancements to universal design and the Town requires universal design features in new construction consistent with Building Code requirements. Delete. 6.8 Increase awareness of universal design principles by periodically educating the Town Council, Commissions, and Boards about universal design and making information available to residents and builders at the Community Development Counter. The Town takes appropriate actions to increase awareness of universal design principles. Delete. 6.9 Continue to work with the local California Department of Developmental Services Regional Center to continue to inform families within Los Gatos on housing and services available for persons with developmental challenges. The Town works with the California Department of Developmental Services to inform citizens of available services. Modify as Implementation Program AF. 6.10 On a biannual basis, continue to review, evaluate, update, and streamline as necessary, the development process for housing developments that will guarantee affordable units on a long‐term basis for very low‐, low‐, and moderate‐income households. The Town considers improvements to the development review process for affordable housing projects when they are proposed. Delete. Goal HOU‐7 Encourage residential construction that promotes green building and energy conservation practices. ModifyContinue as Goal HE‐5
Appendix E. Review of Previous Housing Element March 2023October 2022 Appendix E E-5 No. Programs (The text provided in this column is a synopsis only; for complete program language refer to the 2015 Housing Element) Achievements/Effectiveness Continue/Modify/Delete Policy HOU‐7.1 Encourage sustainable housing development throughout the Town using the Town’s voluntary green building program by continuing to require that all residential development applications complete the Build It Green GreenPoint Rated Checklist as part of the development application package. Modify as Policy HE‐5.1. Policy HOU‐7.2 Promote the construction of energy efficient new homes utilizing the Energy Star Homes Program. Delete. Actions/Implementation Programs 7.1 Continue to enforce State of California Title 24 requirements for energy conservation. The Town enforces Title 24 requirements. Continue as Implementation Program AT. Goal HOU‐8 Ensure that the Town has sufficient resources and takes appropriate measures to implement the Housing Element. ModifyDelete. Policy HOU‐8.1 All approvals of residential developments of three or more units shall include a finding that the proposed development is consistent with the Town’s Housing Element and addresses the Town’s housing needs as identified in the Housing Element. Delete Policy HOU‐8.2 Provide adequate management and staffing of affordable housing funds and programs. ContinueDelete. 8.1 Prepare an annual housing report for the review of the Town Council including information on progress made towards achieving new construction need, affordable housing conserved/developed, effectiveness of existing programs and recommendations for improvement. The Town prepares an annual housing report. Continue as Implementation Program G. 8.2 Continue to fund staff for the management and planning of housing programs and funding for the Town. The Town has contracted with HouseKeys to administer our affordable housing program and has staff that dedicate time to the Town’s affordable housing program. Delete. 8.3 Deliver the adopted Housing Element to the San Jose Water Company and the West Valley Sanitation District. Town staff regularly work with the San Jose Water Company and West Valley Sanitation District on upgrades to their infrastructure and they are involved in development applications and environmental review. Modify as Implementation Program I.
Appendix E. Review of Previous Housing Element
E-11 Appendix E October 2022March 2023
Production of Housing
The 2015 Housing Element identified a Regional Housing Needs Allocation (RHNA) of 619 housing units in Los
Gatos between January 1, 2015, and June 30, 2023. The RHNA was divided into the following income
categories:
100 units affordable to extremely low-income households.
101 units affordable to very low-income households.
112 units affordable to low-income households.
132 units affordable to moderate-income households.
174 units affordable to above moderate-income households.
As shown in Table A5-2, during the 2015–2023 planning period, 511 new units were added to the Town’s housing
stock, achieving approximately 83 percent of the Town’s RHNA. Units affordable to moderate- and lower-income
households that were created during the planning period include density bonus senior rental units (North Forty
Phase I), an attached condominium (Union Avenue) and detached townhomes (Knowles Avenue) produced
through the BMP program and accessory dwelling units.
Table E-2 Housing Units Produced, January 1, 2015, to June 30, 2023
Affordability
New Construction
Need
Housing Units
Produced Percent Achieved
Extremely Low 100 0 *
Very Low 101 49 24.4%
Low 112 3 2.7%
Moderate 132 120 90.9%
Above Moderate 174 339 194.8%
Total 619 511 82.5%
Source: HCD Annual Progress Report Dashboard (as of August 5, 2022).
Note: This table and text will be updated prior to finalization to account for units through January 1, 2023.
Preservation of “At Risk” Units
According to the 2015 Housing Element, there were no affordable units at risk of converting to market rate within
10 years from the beginning of the 2015 to 2023 planning period.
Rehabilitation of Existing Units
The Town did not rehabilitate any housing units between 2015 and 2023.
Efforts to Address Special Housing Needs
Special needs populations include farmworkers, large families, female-headed single parent households, people
experiencing homelessness, persons with disabilities, seniors, and households with extremely low incomes.
Government Code Section 65588 requires that local governments review the effectiveness of the housing
element goals, policies, and related actions to meet the community’s special housing needs. As shown in Table
E-1 above, the Housing Element included several programs that addressed senior housing needs, households
with extremely low incomes, emergency shelters, and needs for persons with disabilities. Some of the
accomplishments include:
Phase I of the North Forty Specific Plan included 49 very low-income senior units and 1 moderate-income
manager’s unit.
The Town’s ADU Ordinance implemented a 10 percent increase in the allowable floor area for a new ADU
to increase the production of smaller, more affordable units.
Appendix E. Review of Previous Housing Element
October 2022March 2023 Appendix E E-12
On November 15, 2022, the Town Council adopted Resolution 2022-072 adopting Objective Standards for
the review of qualifying multi-family and residential mixed-use developments.
E.4 Appropriateness of Goals, Objectives, and Policies
The goals, objectives, and policies identified in the 2015 Housing Element were appropriate for the 2015 to 2023
timeframe because they directly relate to the program requirements listed by the California Department of
Housing and Community Development.
As for new construction, the greatest progress was made in producing housing in the moderate income and
above moderate-income categories, where the Town permitted approximately 62 percent and 80 percent of the
needed units, respectively. The Town permitted only about a quarter of its needed very low-income units and less
than three percent of its low-income units. As was the case in the in prior years, the cost of housing continued to
be high in Los Gatos, making affordable housing difficult to develop in the Los Gatos market. The Town
successfully provided the governmental framework to encourage and facilitate affordable housing through a
continuation of its BMP program and enhanced Accessory Dwelling Unit Ordinance.
E.5 Summary
Like many communities, the Town of Los Gatos experienced less development than expected in its 2015–2023
planning period. Of the 630 units it identified in its table of quantified housing objectives (Table H-3 on page 47 of
the 2015 Housing Element), the Town permitted 511 units (approximately 81 percent), most of them for above
moderate-income households.
Nonetheless, the goals, objectives, policies, and actions in the 2015 to 2023 Housing Element complied with
State housing law that was in effect at the time and provided proper guidance for housing development in the
Town. In the 2023 to 2031 Housing Element update, objectives for each of the goals will be modified as
appropriate to more specifically respond to the current housing environment in Los Gatos. Policies will also be
modified as needed to respond to current Housing Element law and existing and , anticipated residential
development conditions., and provide additional incentives to encourage the production of affordable housing.
List of Organizations Contacted F
APPENDIX
Appendix F. List of Organizations Contacted
October 2022March 2023 Appendix F F-1
F.1 Introduction
This appendix provides the names of organizations and tribal units that were contacted, as well as social media
outreach completed by Town during the preparation of Los Gatos’ 6th cycle Housing Element Update.
F.2 List of Organizations Contacted
1 Native American Heritage Commission Tribal Consultation List Santa Clara County
07/22/2020
1 Amah Mutsun Tribal Band
Valentin Lopez, Chairperson
P.O. Box 5272
Galt, CA 95632
Phone number (916) 743-5833
vlopez@amahmutsun.org
2 Amah Mutsun Tribal Band of Mission San Juan Bautista
Irenne Zwierlein, Chairperson
789 Canada Road
Woodside, CA 94062
Phone: (650) 851-7489
Fax: (650) 332-1526
amahmutsuntribal@gmail.com
3 Indian Canyon Mutsun Band of Costanoan
Ann Marie Sayers, Chairperson
P.O. Box 28
Hollister, CA 95024
Phone number (831) 637-4238
ams@indiancanyon.org
4 Muwekma Ohlone Indian Tribe of the SF Bay Area
Charlene Mijmeh, Chairperson
20885 Redwood Road, Suite 232
Castro Valley, CA 94546
Phone: (408) 464-2892
cnijmeh@muwekma.org
5 Muwekma Ohlone Indian Tribe of the SF Bay Area
Monica Arellano
20885 Redwood Road, Suite 232
Castro Valley, CA 94546
marellano@muwekma.org
6 North Valley Yokuts Tribe
Timothy Perez, MLD Contact
P.O. Box 717
Linden, CA 95236
Phone: (209) 662-2788
huskanam@gmail.com
HCD Revised Draft Initial Review 2023-2031 Housing Element
F-2 Appendix F March 2023October 2022
7 North Valley Yokuts Tribe
Katherine Perez, Chairperson
P.O. Box 717
Linden, CA 95236
Phone: (209) 887-3415
canutes@verizon.net
8 The Ohlone Indian Tribe
Andres Galvan
P.O. Box 3388
Fremont, CA 94539
Phone: (510) 882-0527
Fax: (510) 687-9393
chochenyo@aol.com
9 The Confederated Villages of Lisjan
Corrina Gould, Chairperson
10926 Edes Avenue
Oakland, CA 94603
Phone: (510) 882-027
cvltribe@gmail.com
2 Additional List of Contacted Organizations
1 Association of Bay Area Governments
Bay Area Metro Center
375 Beale Street, Suite 700
San Francisco, CA 94105
housingTA@BayAreaMetro.gov
(415) 820-7900
2 Aleli Sangalang
Deputy Executive Director of Housing
Santa Clara County Housing Authortiy
505 W Julian Street
San Jose, CA 95110
(408) 275-8870
3 Santa Clara County Social Services Agency
353 West Julian Street
San Jose, CA 95110
clientcomments@ssa.sccgov.org
(408) 755-7100
4 African American Community Service Agency
304 N. 6th Street
San Jose, CA 95112
info@sjaacsa.org
(408) 292-3157
Appendix F. List of Organizations Contacted
October 2022March 2023 Appendix F F-1
5 Susan Alexander Kim
Secretary
Korean American Community Services
1800-B Fruitdale Avenue
San Jose, CA 95128
info@kacssv.org
(408) 920-9733
6 Lindsey Caldwell
Division Director of Emergency Programs and Housing Services
Catholic Charaties of Santa Clara County
2625 Zanker Road
San Jose, CA 95134-2107
info@Catholiccharitiesscc.org
7 Pancho Guevara
Executive Director
Sacred Heart Community Service
1381 South First Street
San Jose, CA 95110
(408) 278-2160
8 Pancho Guevara
Executive Director
Sacred Heart Community Service
1381 South First Street
San Jose, CA 95110
(408) 283-3700
9 Bay Area Legal Aid
4, N 2nd St. # 600
San Jose, CA 95113
(408) 283-3700
10 United Way Bay Area
1400 Parkmoor Avenue
San Jose, Ca 95126
(408) 345-4300
HCD Revised Draft Initial Review 2023-2031 Housing Element
F-2 Appendix F March 2023October 2022
3 Engage Los Gatos Housing
Appendix F. List of Organizations Contacted
October 2022March 2023 Appendix F F-1
HCD Revised Draft Initial Review 2023-2031 Housing Element
F-2 Appendix F March 2023October 2022
Appendix F. List of Organizations Contacted
October 2022March 2023 Appendix F F-1
HCD Revised Draft Initial Review 2023-2031 Housing Element
F-2 Appendix F March 2023October 2022
Appendix F. List of Organizations Contacted
October 2022March 2023 Appendix F F-1
HCD Revised Draft Initial Review 2023-2031 Housing Element
F-2 Appendix F March 2023October 2022
Appendix F. List of Organizations Contacted
October 2022March 2023 Appendix F F-1
HCD Revised Draft Initial Review 2023-2031 Housing Element
F-2 Appendix F March 2023October 2022
Appendix F. List of Organizations Contacted
October 2022March 2023 Appendix F F-1
HCD Revised Draft Initial Review 2023-2031 Housing Element
F-2 Appendix F March 2023October 2022
Appendix F. List of Organizations Contacted
October 2022March 2023 Appendix F F-1
HCD Revised Draft Initial Review 2023-2031 Housing Element
F-2 Appendix F March 2023October 2022
Appendix F. List of Organizations Contacted
October 2022March 2023 Appendix F F-1
HCD Revised Draft Initial Review 2023-2031 Housing Element
F-2 Appendix F March 2023October 2022
Appendix F. List of Organizations Contacted
October 2022March 2023 Appendix F F-1
HCD Revised Draft Initial Review 2023-2031 Housing Element
F-2 Appendix F March 2023October 2022
Appendix F. List of Organizations Contacted
October 2022March 2023 Appendix F F-1
HCD Revised Draft Initial Review 2023-2031 Housing Element
F-2 Appendix F March 2023October 2022
Appendix F. List of Organizations Contacted
October 2022March 2023 Appendix F F-1
AFFH Segregation Report Los Gatos G
APPENDIX
1
AFFH SEGREGATION REPORT: LOS
GATOS
UC Merced Urban Policy Lab and ABAG/MTC Staff
Version of Record: March 06, 15:57:57
2
0.1 Table of content
0.1 Table of content .................................................................................................... 2
0.2 List of figures ....................................................................................................... 3
0.3 List of tables ........................................................................................................ 3
1 Introduction .............................................................................................................. 4
1.1 Purpose of this Report ............................................................................................. 4
1.2 Defining Segregation ............................................................................................... 5
1.3 Segregation Patterns in the Bay Area ........................................................................... 5
1.4 Segregation and Land Use ......................................................................................... 6
2 Racial Segregation in Town of Los Gatos ........................................................................... 8
2.1 Neighborhood Level Racial Segregation (within Town of Los Gatos) ...................................... 8
2.2 Regional Racial Segregation (between Los Gatos and other jurisdictions) .............................. 16
3 Income Segregation in Town of Los Gatos ........................................................................ 21
3.1 Neighborhood Level Income Segregation (within Los Gatos) ............................................... 21
3.2 Regional Income Segregation (between Los Gatos and other jurisdictions) ............................. 27
4 Appendix 1: Summary of Findings ................................................................................. 31
4.1 Segregation in Town of Los Gatos .............................................................................. 31
4.2 Segregation Between Town of Los Gatos and Other jurisdictions in the Bay Area Region ............ 31
5 Appendix 2: Segregation Data ...................................................................................... 33
6 References .............................................................................................................. 37
3
0.2 List of figures
Figure 1: Racial Dot Map of Los Gatos (2020) .............................................................................. 9
Figure 2: Racial Isolation Index Values for Los Gatos Compared to Other Bay Area Jurisdictions (2020) ....... 11
Figure 3: Racial Dissimilarity Index Values for Los Gatos Compared to Other Bay Area Jurisdictions (2020) .. 14
Figure 4: Theil’s H Index Values for Racial Segregation in Los Gatos Compared to Other Bay Area Jurisdictions
(2020) ........................................................................................................................... 15
Figure 5: Racial Dot Map of Los Gatos and Surrounding Areas (2020) ................................................ 16
Figure 6: Racial Demographics of Los Gatos Compared to All Bay Area Jurisdictions (2020) ..................... 18
Figure 7: Comparing the Share of People of Color in Los Gatos and Vicinity to the Bay Area (2020) ........... 19
Figure 8: Income Dot Map of Los Gatos (2015) ........................................................................... 22
Figure 9: Income Group Isolation Index Values for Los Gatos Compared to Other Bay Area Jurisdictions (2015)
................................................................................................................................... 24
Figure 10: Income Group Dissimilarity Index Values for Los Gatos Compared to Other Bay Area Jurisdictions
(2015) ........................................................................................................................... 26
Figure 11: Income Group Theil’s H Index Values for Los Gatos Compared to Other Bay Area Jurisdictions
(2015) ........................................................................................................................... 27
Figure 12: Income Dot Map of Los Gatos and Surrounding Areas (2015) .............................................. 28
Figure 13: Income Demographics of Los Gatos Compared to Other Bay Area Jurisdictions (2015) ............... 29
0.3 List of tables
Table 1: Racial Isolation Index Values for Segregation within Los Gatos ............................................. 10
Table 2: Racial Dissimilarity Index Values for Segregation within Los Gatos ........................................ 13
Table 3: Theil’s H Index Values for Racial Segregation within Los Gatos ............................................ 15
Table 4: Population by Racial Group, Los Gatos and the Region ...................................................... 17
Table 5: Regional Racial Segregation Measures .......................................................................... 20
Table 6: Income Group Isolation Index Values for Segregation within Los Gatos ................................... 23
Table 7: Income Group Dissimilarity Index Values for Segregation within Los Gatos .............................. 25
Table 8: Theil’s H Index Values for Income Segregation within Los Gatos ........................................... 26
Table 9: Population by Income Group, Los Gatos and the Region ..................................................... 28
Table 10: Regional Income Segregation Measures ....................................................................... 30
Table 11: Neighborhood Racial Segregation Levels in Los Gatos ...................................................... 33
Table 12: Neighborhood Income Segregation Levels in Los Gatos ..................................................... 34
Table 13: Regional Racial Segregation Measures ......................................................................... 35
Table 14: Regional Income Segregation Measures ....................................................................... 35
Table 15: Population by Racial Group, Los Gatos and the Region ..................................................... 36
Table 16: Population by Income Group, Los Gatos and the Region ................................................... 36
4
1 INTRODUCTION
The requirement to Affirmatively Further Fair Housing (AFFH) is derived from The Fair Housing Act of
1968, which prohibited discrimination concerning the sale, rental, and financing of housing based on
race, color, religion, national origin, or sex—and was later amended to include familial status and
disability.1 The 2015 U.S. Department of Housing and Urban Development (HUD) Rule to Affirmatively
Further Fair Housing and California Assembly Bill 686 (2018) mandate that each jurisdiction takes
meaningful action to address significant disparities in housing needs and access to opportunity.23 AB
686 requires that jurisdictions incorporate AFFH into their Housing Elements, which includes inclusive
community participation, an assessment of fair hous ing, a site inventory reflective of AFFH, and the
development of goals, policies, and programs to meaningfully address local fair housing issues. ABAG
and UC Merced have prepared this report to assist Bay Area jurisdictions with the Assessment of Fair
Housing section of the Housing Element.
Assessment of Fair Housing Components
The Assessment of Fair Housing includes five components, which are
discussed in detail on pages 22-43 of HCD’s AFFH Guidance Memo:
A: Summary of fair housing enforcement and outreach capacity
B: Integration and segregation patterns, and trends related to people with
protected characteristics
C: Racially or ethnically concentrated areas of poverty
D: Disparities in access to opportunity
E: Disproportionate housing needs, including displacement risk
1.1 Purpose of this Report
This report describes racial and income segregation in Bay Area jurisdictions. Local jurisdiction staff
can use the information in this report to help fulfill a portion of the second component of the
Assessment of Fair Housing, which requires analysis of integration and segregation patterns and trends
related to people with protected characteristics and lower incomes. Jurisdictions will still need to
perform a similar analysis for familial status and populations with disability.
This report provides segregation measures for both the local jurisdiction and the region using several
indices. For segregation between neighborhoods within a city (intra-city segregation), this report
includes isolation indices, dissimilarity indices, and Theil’s-H index. The isolation index measures
1 https://www.justice.gov/crt/fair-housing-act-2
2 HCD AFFH Guidance Memo
3 The 2015 HUD rule was reversed in 2020 and partially reinstated in 2021.
5
segregation for a single group, while the dissimilarity index measures segregation between two groups.
The Theil’s H-Index can be used to measure segregation between all racial or income groups across the
city at once. HCD’s AFFH guidelines require local jurisdictions to include isolation indices and
dissimilarity indices in the Housing Element. Theil’s H index is provided in addition to these required
measures. For segregation between cities within the Bay Area (inter-city segregation), this report
includes dissimilarity indices at the regional level as required by HCD’s AFFH guidelines. HCD’s AFFH
guidelines also require jurisdictions to compare conditions at the local level to the rest of the region;
and this report presents the difference in the racial and income composition of a jurisdiction relative
to the region as a whole to satisfy the comparison requirement.
1.2 Defining Segregation
Segregation is the separation of different demographic groups into different geographic locations or
communities, meaning that groups are unevenly distributed across geographic space. This report
examines two spatial forms of segregation: neighborhood level segregation within a local jurisdiction
and city level segregation between jurisdictions in the Bay Area.
Neighborhood level segregation (within a jurisdiction, or intra-city): Segregation of race and income
groups can occur from neighborhood to neighborhood within a city. For example, if a local jurisdiction
has a population that is 20% Latinx, but some neighborhoods are 80% Latinx while others have nearly no
Latinx residents, that jurisdiction would have segregated neighborhoods.
City level segregation (between jurisdictions in a region, or inter-city): Race and income divides also
occur between jurisdictions in a region. A region could be very diverse with equal numbers of white,
Asian, Black, and Latinx residents, but the region could also be highly segregated with each city
comprised solely of one racial group.
There are many factors that have contributed to the generation and maintenance of segregation.
Historically, racial segregation stemmed from explicit discrimination against people of color, such as
restrictive covenants, redlining, and discrimination in mortgage lending. This history includes many
overtly discriminatory policies made by federal, state, and local governments (Rothstein 2017).
Segregation patterns are also affected by policies that appear race-neutral, such as land use decisions
and the regulation of housing development.
Segregation has resulted in vastly unequal access to public goods such as quality schools, neighborhood
services and amenities, parks and playgrounds, clean air and water, and public safety (Trounstine
2015). This generational lack of access for many communities, particularly people of color and lower
income residents, has often resulted in poor life outcomes, including lower educational attainment,
higher morbidity rates, and higher mortality rates (Chetty and Hendren 2018, Ananat 2011, Burch 2014,
Cutler and Glaeser 1997, Sampson 2012, Sharkey 2013).
1.3 Segregation Patterns in the Bay Area
Across the San Francisco Bay Area, white residents and above moderate-income residents are
significantly more segregated from other racial and income groups (see Appendix 2). The highest levels
of racial segregation occur between the Black and white populations. The analysis completed for this
report indicates that the amount of racial segregation both within Bay Area cities and across
jurisdictions in the region has decreased since the year 2000. This finding is consistent with recent
research from the Othering and Belonging Institute at UC Berkeley, which concluded that “[a]lthough 7
6
of the 9 Bay Area counties were more segregated in 2020 than they were in either 1980 or 1990, racial
residential segregation in the region appears to have peaked around the year 2000 and has generally
declined since.”4 However, compared to cities in other parts of California, Bay Area jurisdictions have
more neighborhood level segregation between residents from different racial groups. Additionally,
there is also more racial segregation between Bay Area cities compared to other regions in the state.
1.4 Segregation and Land Use
It is difficult to address segregation patterns without an analysis of both historical and existing land use
policies that impact segregation patterns. Land use regulations influence what kind of housing is built
in a city or neighborhood (Lens and Monkkonen 2016, Pendall 2000). These land use regulations in turn
impact demographics: they can be used to affect the number of houses in a community, the number of
people who live in the community, the wealth of the people who live in the community, and where
within the community they reside (Trounstine 2018). Given disparities in wealth by race and ethnicity,
the ability to afford housing in different neighborhoods, as influenced by land use regulations, is highly
differentiated across racial and ethnic groups (Bayer, McMillan, and Reuben 2004).5 ABAG/MTC plans to
issue a separate report detailing the existing land use policies that influence segregation patterns in
the Bay Area.
4 For more information, see https://belonging.berkeley.edu/most-segregated-cities-bay-area-2020.
5 Using a household-weighted median of Bay Area county median household incomes, regional values were $61,050
for Black residents, $122,174 for Asian/Pacific Islander residents, $121,794 for white residents, and $76,306 for
Latinx residents. For the source data, see U.S. Census Bureau, American Community Survey 5-Year Data (2015-
2019), Table B19013B, Table B19013D, B19013H, and B19013I.
7
Definition of Terms - Geographies
Neighborhood: In this report, “neighborhoods” are approximated by
tracts.6 Tracts are statistical geographic units defined by the U.S. Census
Bureau for the purposes of disseminating data. In the Bay Area, tracts
contain on average 4,500 residents. Nearly all Bay Area jurisdictions
contain at least two census tracts, with larger jurisdictions containing
dozens of tracts.
Jurisdiction: Jurisdiction is used to refer to the 109 cities, towns, and
unincorporated county areas that are members of ABAG. Though not all
ABAG jurisdictions are cities, this report also uses the term “city”
interchangeably with “jurisdiction” in some places.
Region: The region is the nine-county San Francisco Bay Area, which is
comprised of Alameda County, Contra Costa County, Marin County,
Napa County, San Francisco County, San Mateo County, Santa Clara
County, Solano County, and Sonoma County.
6 Throughout this report, neighborhood level segregation measures are calculated using census tract data.
However, the racial dot maps in Figure 1 and Figure 5 use data from census blocks, while the income group dot
maps in Figure 8 and Figure 12 use data from census block groups. These maps use data derived from a smaller
geographic scale to better show spatial differences in where different groups live. Census block groups are
subdivisions of census tracts, and census blocks are subdivisions of block groups. In the Bay Area, block groups
contain on average 1,500 people, while census blocks contain on average 95 people.
8
2 RACIAL SEGREGATION IN TOWN OF LOS GATOS
Definition of Terms - Racial/Ethnic Groups
The U.S. Census Bureau classifies racial groups (e.g. white or Black/African
American) separately from Hispanic/Latino ethnicity.7 This report combines
U.S. Census Bureau definitions for race and ethnicity into the following
racial groups:
White: Non-Hispanic white
Latinx: Hispanic or Latino of any race8
Black: Non-Hispanic Black/African American
Asian/Pacific Islander: Non-Hispanic Asian or Non-Hispanic Pacific Islander
People of Color: All who are not non-Hispanic white (including people
who identify as “some other race” or “two or more races”)9
2.1 Neighborhood Level Racial Segregation (within Town of Los Gatos)
Racial dot maps are useful for visualizing how multiple racial groups are distributed within a specific
geography. The racial dot map of Los Gatos in Figure 1 below offers a visual representation of the
spatial distribution of racial groups within the jurisdiction. Generally, when the distribution of dots
does not suggest patterns or clustering, segregation measures tend to be lower. Conversely, when
clusters of certain groups are apparent on a racial dot map, segregation measures may be higher.
7 More information about the Census Bureau’s definitions of racial groups is available here:
https://www.census.gov/topics/population/race/about.html.
8 The term Hispanic has historically been used to describe people from numerous Central American, South
American, and Caribbean countries. In recent years, the term Latino or Latinx has become preferred. This report
generally uses Latinx to refer to this racial/ethnic group.
9 Given the uncertainty in the data for population size estimates for racial and ethnic groups not included in the
Latinx, Black, or Asian/Pacific Islander categories, this report only analyzes these racial groups in the aggregate
People of Color category.
9
Figure 1: Racial Dot Map of Los Gatos (2020)
Universe: Population. Source: U.S. Census Bureau, 2020 Census State Redistricting Data (Public Law 94-171) Summary File, 2020
Census of Population and Housing, Table P002.
Note: The plot shows the racial distribution at the census block level for Town of Los Gatos and vicinity. Dots in each census
block are randomly placed and should not be construed as actual placement of people.
There are many ways to quantitatively measure segregation. Each measure captures a different aspect
of the ways in which groups are divided within a community. One way to measure segregation is by
using an isolation index:
• The isolation index compares each neighborhood’s composition to the jurisdiction’s
demographics as a whole.
• This index ranges from 0 to 1. Higher values indicate that a particular group is more isolated
from other groups.
• Isolation indices indicate the potential for contact between different groups. The index can be
interpreted as the experience of the average member of that group. For example, if the
isolation index is .65 for Latinx residents in a city , then the average Latinx resident in that city
lives in a neighborhood that is 65% Latinx.
Within Town of Los Gatos the most isolated racial group is white residents. Los Gatos’s isolation index
of 0.663 for white residents means that the average white resident lives in a neighborhood that is
66.3% white. Other racial groups are less isolated, meaning they may be more likely to encounter other
racial groups in their neighborhoods. The isolation index values for all racial groups in Los Gatos for the
years 2000, 2010, and 2020 can be found in Table 1 below. Among all racial groups in this jurisdiction,
the white population’s isolation index has changed the most over time, becoming less segregated from
other racial groups between 2000 and 2020.
10
The “Bay Area Average” column in this table provides the average isolation index value across Bay Area
jurisdictions for different racial groups in 2020.10 The data in this column can be used as a comparison
to provide context for the levels of segregation experienced by racial groups in this jurisdiction. For
example, Table 1 indicates the average isolation index value for white residents across all Bay Area
jurisdictions is 0.491, meaning that in the average Bay Area jurisdiction a white resident lives in a
neighborhood that is 49.1% white.
Table 1: Racial Isolation Index Values for Segregation within Los Gatos
Los Gatos Bay Area
Average
Race 2000 2010 2020 2020
Asian/Pacific Islander 0.079 0.118 0.197 0.245
Black/African American 0.009 0.012 0.022 0.053
Latinx 0.059 0.082 0.104 0.251
White 0.838 0.774 0.663 0.491
Universe: Population.
Source: IPUMS National Historical Geographic Information System (NHGIS). U.S. Census Bureau, 2020 Census State Redistricting
Data (Public Law 94-171) Summary File, 2020 Census of Population and Housing, Table P002. Data from 2010 is from U.S. Census
Bureau, Census 2010, Table P4. Data for 2000 is standardized to 2010 census tract geographies and is from U.S. Census Bureau,
Census 2000, Table P004.
Figure 2 below shows how racial isolation index values in Los Gatos compare to values in other Bay Area
jurisdictions. In this chart, each dot represents a Bay Area jurisdiction. For each racial group, the
spread of dots represents the range of isolation index values among Bay Area jurisdictions.
Additionally, the black line within each racial group notes the isolation index value for that group in
Town of Los Gatos, and each dashed red line represents the Bay Area average for the isolation index
for that group. Local staff can use this chart to contextualize how segregation levels for racial groups
in their jurisdiction compare to other jurisdictions in the region.
10 This average only includes the 104 jurisdictions that have more than one census tract, which is true for all
comparisons of Bay Area jurisdictions’ segregation measures in this report. The segregation measures in this report
are calculated by comparing the demographics of a jurisdiction’s census tracts to the jurisdiction’s demographics,
and such calculations cannot be made for the five jurisdictions with only one census tract (Brisbane, Calistoga,
Portola Valley, Rio Vista, and Yountville).
11
Figure 2: Racial Isolation Index Values for Los Gatos Compared to Other Bay Area
Jurisdictions (2020)
Universe: Bay Area Jurisdictions.
Source: IPUMS National Historical Geographic Information System (NHGIS). U.S. Census Bureau, 2020 Census State Redistricting
Data (Public Law 94-171) Summary File, 2020 Census of Population and Housing, Table P002.
Another way to measure segregation is by using a dissimilarity index:
• This index measures how evenly any two groups are distributed across neighborhoods relative
to their representation in a city overall. The dissimilarity index at the jurisdiction level can be
interpreted as the share of one group that would have to move neighborhoods to create perfect
integration for these two groups.
• The dissimilarity index ranges from 0 to 1. Higher values indicate that groups are more
unevenly distributed (e.g. they tend to live in different neighborhoods).
12
Dissimilarity Index Guidance for Cities with Small Racial Group Populations
The analysis conducted for this report suggests that dissimilarity index
values are unreliable for a population group if that group represents
approximately less than 5% of the jurisdiction’s total population.
HCD’s AFFH guidance requires the Housing Element to include the
dissimilarity index values for racial groups, but also offers flexibility in
emphasizing the importance of various measures. ABAG/MTC
recommends that when cities have population groups that are less than
5% of the jurisdiction’s population (see Table 4), jurisdiction staff use the
isolation index or Thiel’s H-Index to gain a more accurate understanding
of their jurisdiction’s neighborhood-level segregation patterns (intra-city
segregation).
If a jurisdiction has a very small population of a racial group, this indicates
that segregation between the jurisdiction and the region (inter-city
segregation) is likely to be an important feature of the jurisdiction’s
segregation patterns.
In Town of Los Gatos, the Black/African American group is 0.9 percent of
the population - so staff should be aware of this small population size
when evaluating dissimilarity index values involving this group.
Table 2 below provides the dissimilarity index values indicating the level of segregation in Los Gatos
between white residents and residents who are Black, Latinx, or Asian/Pacific Islander. The table also
provides the dissimilarity index between white residents and all residents of color in the jurisdiction,
and all dissimilarity index values are shown across three time periods (2000, 2010, and 2020).
In Los Gatos the highest segregation is between Black and white residents (see Table 2). Los Gatos’s
Black /white dissimilarity index of 0.369 means that 36.9% of Black (or white) residents would need to
move to a different neighborhood to create perfect integration between Black residents and white
residents. However, local jurisdiction staff should note that this dissimilarity index value is not a
reliable data point due to small population size. See callout box above for more information.
The “Bay Area Average” column in this table provides the average dissimilarity index values for these
racial group pairings across Bay Area jurisdictions in 2020. The data in this column can be used as a
comparison to provide context for the levels of segregation between communities of color are from
white residents in this jurisdiction.
13
For example, Table 2 indicates that the average Latinx/white dissimilarity index for a Bay Area
jurisdiction is 0.207, so on average 20.7% of Latinx (or white residents) in a Bay Area jurisdiction would
need to move to a different neighborhood within the jurisdiction to create perfect integration between
Latinx and white residents in that jurisdiction.
Table 2: Racial Dissimilarity Index Values for Segregation within Los Gatos
Los Gatos Bay Area
Average
Race 2000 2010 2020 2020
Asian/Pacific Islander vs. White 0.106 0.145 0.182 0.185
Black/African American vs. White 0.223* 0.246* 0.369* 0.244
Latinx vs. White 0.119 0.143 0.179 0.207
People of Color vs. White 0.093 0.124 0.157 0.168
Universe: Population.
Source: IPUMS National Historical Geographic Information System (NHGIS). U.S. Census Bureau, 2020 Census State Redistricting
Data (Public Law 94-171) Summary File, 2020 Census of Population and Housing, Table P002. Data from 2010 is from U.S. Census
Bureau, Census 2010, Table P4. Data for 2000 is standardized to 2010 census tract geographies and is from U.S. Census Bureau,
Census 2000, Table P004.
Note: If a number is marked with an asterisk (*), it indicates that the index is based on a racial group making up less than 5
percent of the jurisdiction population, leading to unreliable numbers.
Figure 3 below shows how dissimilarity index values in Town of Los Gatos compare to values in other
Bay Area jurisdictions. In this chart, each dot represents a Bay Area jurisdiction. For each racial group
pairing, the spread of dots represents the range of dissimilarity index values among Bay Area
jurisdictions. Additionally, the black line within each racial group pairing notes the dissimilarity index
value in Los Gatos, and each dashed red line represents the Bay Area average for the dissimilarity index
for that pairing. Similar to Figure 2, local staff can use this chart to contextualize how segregation
levels between white residents and communities of color in their jurisdiction compare to the rest of
the region. However, staff should be mindful of whether a racial group in their jurisdiction has a small
population (approximately less than 5% of the jurisdiction’s population), as the dissimilarity index value
is less reliable for small populations.
14
Figure 3: Racial Dissimilarity Index Values for Los Gatos Compared to Other Bay Area
Jurisdictions (2020)
Universe: Bay Area Jurisdictions.
Source: IPUMS National Historical Geographic Information System (NHGIS). U.S. Census Bureau, 2020 Census State Redistricting
Data (Public Law 94-171) Summary File, 2020 Census of Population and Housing, Table P002.
Note: The analysis conducted for this report suggests that dissimilarity index values are unreliable for a population group if
that group represents approximately less than 5% of the jurisdiction’s total population. ABAG/MTC recommends that when
cities have population groups that are less than 5% of the jurisdiction’s population (see Table 4), jurisdiction staff could focus
on the isolation index or Thiel’s H-Index to gain a more accurate understanding of neighborhood-level racial segregation in their
jurisdiction.
The Theil’s H Index can be used to measure segregation between all groups within a jurisdiction:
• This index measures how diverse each neighborhood is compared to the diversity of the whole
city. Neighborhoods are weighted by their size, so that larger neighborhoods play a more
significant role in determining the total measure of segregation.
• The index ranges from 0 to 1. A Theil’s H Index value of 0 would mean all neighborhoods within
a city have the same demographics as the whole city. A value of 1 would mean each group lives
exclusively in their own, separate neighborhood.
• For jurisdictions with a high degree of diversity (multiple racial groups comprise more than 10%
of the population), Theil’s H offers the clearest summary of overall segregation.
The Theil’s H Index values for neighborhood racial segregation in Los Gatos for the years 2000, 2010,
and 2020 can be found in Table 3 below. The “Bay Area Average” column in the table provides the
average Theil’s H Index across Bay Area jurisdictions in 2020. Between 2010 and 2020, the Theil’s H
Index for racial segregation in Los Gatos increased, suggesting that there is now more neighborhood
level racial segregation within the jurisdiction. In 2020, the Theil’s H Index for racial segregation in Los
15
Gatos was lower than the average value for Bay Area jurisdictions, indicating that neighborhood level
racial segregation in Los Gatos is less than in the average Bay Area city.
Table 3: Theil’s H Index Values for Racial Segregation within Los Gatos
Los Gatos Bay Area
Average
Index 2000 2010 2020 2020
Theil's H Multi-racial 0.011 0.015 0.023 0.042
Universe: Population.
Source: IPUMS National Historical Geographic Information System (NHGIS). U.S. Census Bureau, 2020 Census State Redistricting
Data (Public Law 94-171) Summary File, 2020 Census of Population and Housing, Table P002. Data from 2010 is from U.S. Census
Bureau, Census 2010, Table P4. Data for 2000 is standardized to 2010 census tract geographies and is from U.S. Census Bureau,
Census 2000, Table P004.
Figure 4 below shows how Theil’s H index values for racial segregation in Los Gatos compare to values
in other Bay Area jurisdictions in 2020. In this chart, each dot represents a Bay Area jurisdiction.
Additionally, the black line notes the Theil’s H index value for neighborhood racial segregation in Los
Gatos, and the dashed red line represents the average Theil’s H index value across Bay Area
jurisdictions. Local staff can use this chart to compare how neighborhood racial segregation levels in
their jurisdiction compare to other jurisdictions in the region.
Figure 4: Theil’s H Index Values for Racial Segregation in Los Gatos Compared to
Other Bay Area Jurisdictions (2020)
Universe: Bay Area Jurisdictions.
Source: IPUMS National Historical Geographic Information System (NHGIS). U.S. Census Bureau, 2020 Census State Redistricting
Data (Public Law 94-171) Summary File, 2020 Census of Population and Housing, Table P002.
16
2.2 Regional Racial Segregation (between Los Gatos and other
jurisdictions)
At the regional level, segregation is measured between cities instead of between neighborhoods. Racial
dot maps are not only useful for examining neighborhood racial segregation within a jurisdiction, but
these maps can also be used to explore the racial demographic differences between different
jurisdictions in the region. Figure 5 below presents a racial dot map showing the spatial distribution of
racial groups in Los Gatos as well as in nearby Bay Area cities.
Figure 5: Racial Dot Map of Los Gatos and Surrounding Areas (2020)
Universe: Population.
Source: U.S. Census Bureau, 2020 Census State Redistricting Data (Public Law 94-171) Summary File, 2020 Census of Population
and Housing, Table P002.
Note: The plot shows the racial distribution at the census block level for Town of Los Gatos and vicinity. Dots in each census
block are randomly placed and should not be construed as actual placement of people.
To understand how each city contributes to the total segregation of the Bay Area, one can look at the
difference in the racial composition of a jurisdiction compared to the racial composition of the region
as a whole. The racial demographics in Los Gatos for the years 2000, 2010, and 2020 can be found in
Table 4 below. The table also provides the racial composition of the nine-county Bay Area. As of 2020,
Los Gatos has a higher share of white residents than the Bay Area as a whole, a lower share of Latinx
residents, a lower share of Black residents, and a lower share of Asian/Pacific Islander residents.
17
Table 4: Population by Racial Group, Los Gatos and the Region
Los Gatos Bay Area
Race 2000 2010 2020 2020
Asian/Pacific Islander 7.6% 10.9% 18.3% 28.2%
Black/African American 0.8% 0.9% 0.9% 5.6%
Latinx 5.2% 7.2% 9.0% 24.4%
Other or Multiple Races 3.2% 4.0% 6.5% 5.9%
White 83.3% 77.0% 65.3% 35.8%
Universe: Population.
Source: IPUMS National Historical Geographic Information System (NHGIS). U.S. Census Bureau, 2020 Census State Redistricting
Data (Public Law 94-171) Summary File, 2020 Census of Population and Housing, Table P002. Data from 2010 is from U.S. Census
Bureau, Census 2010, Table P4. Data for 2000 is standardized to 2010 census tract geographies and is from U.S. Census Bureau,
Census 2000, Table P004.
Figure 6 below compares the racial demographics in Los Gatos to those of all 109 Bay Area
jurisdictions.11 In this chart, each dot represents a Bay Area jurisdiction. For each racial group, the
spread of dots represents the range of that group’s representation among Bay Area jurisdictions.
Additionally, the black line within each racial group notes the percentage of the population of Town of
Los Gatos represented by that group and how that percentage ranks among all 109 jurisdictions. Local
staff can use this chart to compare the representation of different racial groups in their jurisdiction to
those groups’ representation in other jurisdictions in the region, which can indicate the extent of
segregation between this jurisdiction and the region.
11 While comparisons of segregation measures are made only using the 104 jurisdictions with more than one census
tract, this comparison of jurisdiction level demographic data can be made using all 109 jurisdictions.
18
Figure 6: Racial Demographics of Los Gatos Compared to All Bay Area Jurisdictions
(2020)
Universe: Bay Area Jurisdictions.
Source U.S. Census Bureau, 2020 Census State Redistricting Data (Public Law 94-171) Summary File, 2020 Census of Population
and Housing, Table P002.
The map in Figure 7 below also illustrates regional racial segregation between Los Gatos and other
jurisdictions. This map demonstrates how the percentage of people of color in Los Gatos and
surrounding jurisdictions compares to the Bay Area as a whole:
• Jurisdictions shaded orange have a share of people of color that is less than the Bay Area as a
whole, and the degree of difference is greater than five percentage points.
• Jurisdictions shaded white have a share of people of color comparable to the regional
percentage of people of color (within five percentage points).
• Jurisdictions shaded grey have a share of people of color that is more than five percentage
points greater than the regional percentage of people of color.
19
Figure 7: Comparing the Share of People of Color in Los Gatos and Vicinity to the Bay
Area (2020)
Universe: Population.
Source: U.S. Census Bureau, 2020 Census State Redistricting Data (Public Law 94-171) Summary File, 2020 Census of Population
and Housing, Table P002.
Note: People of color refer to persons not identifying as non-Hispanic white. The nine-county Bay Area is the reference region
for this map.
Segregation between jurisdictions in the region can also be analyzed by calculating regional values for
the segregation indices discussed previously. Table 5 presents dissimilarity index, isolation index, and
Theil’s H index values for racial segregation for the entire nine-county Bay Area in 2010 and 2020. In
the previous section of this report focused on neighborhood level racial segregation, these indices were
calculated by comparing the racial demographics of the census tracts within a jurisdiction to the
demographics of the jurisdiction as a whole. In Table 5, these measures are calculated by comparing
the racial demographics of local jurisdictions to the region’s racial makeup. For example, looking at
the 2020 data, Table 5 shows the white isolation index value for the region is 0.429, meaning that on
average white Bay Area residents live in a jurisdiction that is 42.9% white in 2020. An example of
regional dissimilarity index values in Table 5 is the Black/white dissimilarity index value of 0.459,
which means that across the region 45.9% of Black (or white) residents would need to move to a
different jurisdiction to evenly distribute Black and white residents across Bay Area jurisdictions. The
dissimilarity index values in Table 5 reflect recommendations made in HCD’s AFFH guidance for
calculating dissimilarity at the region level.12 The regional value for the Theil’s H index measures how
12 For more information on HCD’s recommendations regarding data considerations for analyzing integration and
segregation patterns, see page 31 of the AFFH Guidance Memo.
20
diverse each Bay Area jurisdiction is compared to the racial diversity of the whole region. A Theil’s H
Index value of 0 would mean all jurisdictions within the Bay Area have the same racial demographics as
the entire region, while a value of 1 would mean each racial group lives exclusively in their own
separate jurisdiction. The regional Theil’s H index value for racial segregation decreased slightly
between 2010 and 2020, meaning that racial groups in the Bay Area are now slightly less separated by
the borders between jurisdictions.
Table 5: Regional Racial Segregation Measures
Index Group 2010 2020
Isolation Index Regional Level
Asian/Pacific Islander 0.317 0.378
Black/African American 0.144 0.118
Latinx 0.283 0.291
White 0.496 0.429
People of Color 0.629 0.682
Dissimilarity Index Regional Level
Asian/Pacific Islander vs. White 0.384 0.369
Black/African American vs. White 0.475 0.459
Latinx vs. White 0.301 0.297
People of Color vs. White 0.296 0.293
Theil's H Multi-racial All Racial Groups 0.103 0.097
Universe: Population.
Source: IPUMS National Historical Geographic Information System (NHGIS). U.S. Census Bureau, 2020 Census State Redistricting
Data (Public Law 94-171) Summary File, 2020 Census of Population and Housing, Table P002. Data from 2010 is from U.S. Census
Bureau, 2010 Census of Population and Housing, Table P4.
21
3 INCOME SEGREGATION IN TOWN OF LOS GATOS
Definition of Terms - Income Groups
When analyzing segregation by income, this report uses income group
designations consistent with the Regional Housing Needs Allocation and
the Housing Element:
Very low-income: individuals earning less than 50% of Area Median
Income (AMI)
Low-income: individuals earning 50%-80% of AMI
Moderate-income: individuals earning 80%-120% of AMI
Above moderate-income: individuals earning 120% or more of AMI
Additionally, this report uses the term “lower-income” to refer to all people
who earn less than 80% of AMI, which includes both low-income and very
low-income individuals.
The income groups described above are based on U.S. Department of
Housing and Urban Development (HUD) calculations for AMI. HUD
calculates the AMI for different metropolitan areas, and the nine county
Bay Area includes the following metropolitan areas: Napa Metro Area
(Napa County), Oakland-Fremont Metro Area (Alameda and Contra
Costa Counties), San Francisco Metro Area (Marin, San Francisco, and
San Mateo Counties), San Jose-Sunnyvale-Santa Clara Metro Area (Santa
Clara County), Santa Rosa Metro Area (Sonoma County), and Vallejo-
Fairfield Metro Area (Solano County).
The income categories used in this report are based on the AMI for the
HUD metro area where this jurisdiction is located.
3.1 Neighborhood Level Income Segregation (within Los Gatos)
Income segregation can be measured using similar indices as racial segregation. Income dot maps,
similar to the racial dot maps shown in Figures 1 and 5, are useful for visualizing segregation between
multiple income groups at the same time. The income dot map of Los Gatos in Figure 8 below offers a
visual representation of the spatial distribution of income groups within the jurisdiction. As with the
racial dot maps, when the dots show lack of a pattern or clustering, income segregation measures tend
to be lower, and conversely, when clusters are apparent, the segregation measures may be higher as
well.
22
Figure 8: Income Dot Map of Los Gatos (2015)
Universe: Population.
Source: U.S. Department of Housing and Urban Development, American Community Survey 5-Year 2011-2015 Low- and Moderate-
Income Summary Data.
Note: The plot shows the income group distribution at the census block group level for Town of Los Gatos and vicinity. Dots in
each block group are randomly placed and should not be construed as actual placement of individuals.
The isolation index values for all income groups in Los Gatos for the years 2010 and 2015 can be found
in Table 6 below.13 Above Moderate-income residents are the most isolated income group in Los Gatos.
Los Gatos’s isolation index of 0.619 for these residents means that the average Above Moderate-income
resident in Los Gatos lives in a neighborhood that is 61.9% Above Moderate-income. Among all income
groups, the Above Moderate-income population’s isolation index has changed the most over time,
becoming less segregated from other income groups between 2010 and 2015.
Similar to the tables presented earlier for neighborhood racial segregation, the “Bay Area Average”
column in Table 6 provides the average isolation index value across Bay Area jurisdictions for different
income groups in 2015. The data in this column can be used as a comparison to provide context for the
levels of segregation experienced by income groups in this jurisdiction. For example, Table 6 indicates
the average isolation index value for very low-income residents across Bay Area jurisdictions is 0.269,
13 This report presents data for income segregation for the years 2010 and 2015, which is different than the time
periods used for racial segregation. This deviation stems from the data source recommended for income
segregation calculations in HCD’s AFFH Guidelines. This data source most recently updated with data from the
2011-2015 American Community Survey 5-year estimates. For more information on HCD’s recommendations for
calculating income segregation, see page 32 of HCD’s AFFH Guidelines.
23
meaning that in the average Bay Area jurisdiction a very low-income resident lives in a neighborhood
that is 26.9% very low-income.
Table 6: Income Group Isolation Index Values for Segregation within Los Gatos
Los Gatos Bay Area
Average
Income Group 2010 2015 2015
Very Low-Income (<50% AMI) 0.125 0.162 0.269
Low-Income (50%-80% AMI) 0.067 0.115 0.145
Moderate-Income (80%-120% AMI) 0.135 0.166 0.183
Above Moderate-Income (>120% AMI) 0.728 0.619 0.507
Universe: Population.
Source: Data for 2015 is from U.S. Department of Housing and Urban Development, American Community Survey 5-Year 2011-
2015 Low- and Moderate-Income Summary Data. Data for 2010 is from U.S. Department of Housing and Urban Development,
American Community Survey 5-Year 2006-2010 Low- and Moderate-Income Summary Data.
Figure 9 below shows how income group isolation index values in Los Gatos compare to values in other
Bay Area jurisdictions. In this chart, each dot represents a Bay Area jurisdiction. For each income
group, the spread of dots represents the range of isolation index values among Bay Area jurisdictions.
Additionally, the black line within each income group notes the isolation index value for that group in
Los Gatos, and each dashed red line represents the Bay Area average for the isolation index for that
group. Local staff can use this chart to contextualize how segregation levels for income groups in their
jurisdiction compare to the rest of the region.
24
Figure 9: Income Group Isolation Index Values for Los Gatos Compared to Other Bay
Area Jurisdictions (2015)
Universe: Bay Area Jurisdictions.
Source: U.S. Department of Housing and Urban Development, American Community Survey 5-Year 2011-2015 Low- and Moderate-
Income Summary Data.
Table 7 below provides the dissimilarity index values indicating the level of segregation in Los Gatos
between residents who are lower-income (earning less than 80% of AMI) and those who are not lower-
income (earning above 80% of AMI). This data aligns with the requirements described in HCD’s AFFH
Guidance Memo for identifying dissimilarity for lower-income households.14 Segregation in Los Gatos
between lower-income residents and residents who are not lower-income increased between 2010 and
2015. Additionally, Table 7 shows dissimilarity index values for the level of segregation in Albany
between residents who are very low-income (earning less than 50% of AMI) and those who are above
moderate-income (earning above 120% of AMI). This supplementary data point provides additional
nuance to an analysis of income segregation, as this index value indicates the extent to which a
jurisdiction’s lowest and highest income residents live in separate neighborhoods.
Similar to other tables in this report, the “Bay Area Average” column shows the average dissimilarity
index values for these income group pairings across Bay Area jurisdictions in 2015. For example, Table
7 indicates that the average dissimilarity index between lower-income residents and other residents in
a Bay Area jurisdiction is 0.198, so on average 19.8% of lower-income residents in a Bay Area
jurisdiction would need to move to a different neighborhood within the jurisdiction to create perfect
income group integration in that jurisdiction.
14 For more information, see page 32 of HCD’s AFFH Guidance Memo.
25
In 2015, the income segregation in Los Gatos between lower-income residents and other residents was
higher than the average value for Bay Area jurisdictions (See Table 7). This means that the lower-
income residents are more segregated from other residents within Los Gatos compared to other
Jurisdictions in the region.
Table 7: Income Group Dissimilarity Index Values for Segregation within Los
Gatos
Los Gatos Bay Area
Average
Income Group 2010 2015 2015
Below 80% AMI vs. Above 80% AMI 0.142 0.226 0.198
Below 50% AMI vs. Above 120% AMI 0.194 0.234 0.253
Universe: Population.
Source: Data for 2015 is from U.S. Department of Housing and Urban Development, American Community Survey 5-Year 2011-
2015 Low- and Moderate-Income Summary Data. Data for 2010 is from U.S. Department of Housing and Urban Development,
American Community Survey 5-Year 2006-2010 Low- and Moderate-Income Summary Data.
Figure 10 below shows how dissimilarity index values for income segregation in Los Gatos compare to
values in other Bay Area jurisdictions. In this chart, each dot represents a Bay Area jurisdiction. For
each income group pairing, the spread of dots represents the range of dissimilarity index values among
Bay Area jurisdictions. Additionally, the black line within each income group pairing notes the
dissimilarity index value in Los Gatos, and each dashed red line represents the Bay Area average for the
dissimilarity index for that pairing. Local staff can use this chart to contextualize how segregation
levels between lower-income residents and wealthier residents in their jurisdiction compared to the
rest of the region.
26
Figure 10: Income Group Dissimilarity Index Values for Los Gatos Compared to Other
Bay Area Jurisdictions (2015)
Universe: Bay Area Jurisdictions.
Source: U.S. Department of Housing and Urban Development, American Community Survey 5-Year 2011-2015 Low- and Moderate-
Income Summary Data.
The Theil’s H Index values for neighborhood income group segregation in Los Gatos for the years 2010
and 2015 can be found in Table 8 below. The “Bay Area Average” column in this table provides the
average Theil’s H Index value across Bay Area jurisdictions for different income groups in 2015. By
2015, the Theil’s H Index value for income segregation in Los Gatos was about the same amount as it
had been in 2010. In 2015, the Theil’s H Index value for income group segregation in Los Gatos was
lower than the average value for Bay Area jurisdictions, indicating there is less neighborhood level
income segregation in Los Gatos than in the average Bay Area city.
Table 8: Theil’s H Index Values for Income Segregation within Los Gatos
Los Gatos Bay Area
Average
Index 2010 2015 2015
Theil's H Multi-income 0.030 0.028 0.043
Universe: Population.
Source: Data for 2015 is from U.S. Department of Housing and Urban Development, American Community Survey 5-Year 2011-
2015 Low- and Moderate-Income Summary Data. Data for 2010 is from U.S. Department of Housing and Urban Development,
American Community Survey 5-Year 2006-2010 Low- and Moderate-Income Summary Data.
27
Figure 11 below shows how Theil’s H index values for income group segregation in Los Gatos compare
to values in other Bay Area jurisdictions in 2015. In this chart, each dot represents a Bay Area
jurisdiction. Additionally, the black line notes the Theil’s H index value for income group segregation in
Los Gatos, and the dashed red line represents the average Theil’s H index value across Bay Area
jurisdictions. Local staff can use this chart to compare how neighborhood income group segregation
levels in their jurisdiction compare to other jurisdictions in the region.
Figure 11: Income Group Theil’s H Index Values for Los Gatos Compared to Other Bay
Area Jurisdictions (2015)
Universe: Bay Area Jurisdictions.
Source: U.S. Department of Housing and Urban Development, American Community Survey 5-Year 2011-2015 Low- and Moderate-
Income Summary Data.
3.2 Regional Income Segregation (between Los Gatos and other
jurisdictions)
At the regional level, segregation is measured between jurisdictions instead of between neighborhoods.
Income dot maps are not only useful for examining neighborhood income segregation within a
jurisdiction, but these maps can also be used to explore income demographic differences between
jurisdictions in the region. Figure 12 below presents an income dot map showing the spatial distribution
of income groups in Los Gatos as well as in nearby Bay Area jurisdictions.
28
Figure 12: Income Dot Map of Los Gatos and Surrounding Areas (2015)
Universe: Population.
Source: U.S. Department of Housing and Urban Development, American Community Survey 5-Year 2011-2015 Low- and Moderate-
Income Summary Data.
Note: The plot shows the income group distribution at the census block group level for Town of Los Gatos and vicinity. Dots in
each block group are randomly placed and should not be construed as actual placement of individuals.
When looking at income segregation between jurisdictions in the Bay Area, one can examine how Los
Gatos differs from the region. The income demographics in Los Gatos for the years 2010 and 2015 can
be found in Table 9 below. The table also provides the income composition of the nine-county Bay Area
in 2015. As of that year, Los Gatos had a lower share of very low-income residents than the Bay Area as
a whole, a lower share of low-income residents, a lower share of moderate-income residents, and a
higher share of above moderate-income residents.
Table 9: Population by Income Group, Los Gatos and the Region
Los Gatos Bay Area
Income Group 2010 2015 2015
Very Low-Income (<50% AMI) 10.83% 14.29% 28.7%
Low-Income (50%-80% AMI) 6.56% 10.57% 14.3%
Moderate-Income (80%-120% AMI) 11% 16.34% 17.6%
Above Moderate-Income (>120% AMI) 71.62% 58.8% 39.4%
29
Universe: Population.
Source: Data for 2015 is from Housing U.S. Department of and Urban Development, American Community Survey 5-Year 2011-
2015 Low- and Moderate-Income Summary Data. Data for 2010 is from U.S. Department of Housing and Urban Development,
American Community Survey 5-Year 2006-2010 Low- and Moderate-Income Summary Data.
Figure 13 below compares the income demographics in Los Gatos to other Bay Area jurisdictions.15 Like
the chart in Figure 3, each dot represents a Bay Area jurisdiction. For each income group, the spread of
dots represents the range of that group’s representation among Bay Area jurisdictions. The smallest
range is among jurisdictions’ moderate-income populations, while Bay Area jurisdictions vary the most
in the share of their population that is above moderate-income. Additionally, the black lines within
each income group note the percentage of Los Gatos population represented by that group and how
that percentage ranks among other jurisdictions. Local staff can use this chart to compare the
representation of different income groups in their jurisdiction to those groups’ representation in other
jurisdictions in the region, which can indicate the extent of segregation between this jurisdiction and
the region.
Figure 13: Income Demographics of Los Gatos Compared to Other Bay Area
Jurisdictions (2015)
Universe: Bay Area Jurisdictions.
Source: U.S. Department of Housing and Urban Development, American Community Survey 5-Year 2011-2015 Low- and Moderate-
Income Summary Data.
15 While comparisons of segregation measures are made only using the 104 jurisdictions with more than one census
tract, this comparison of jurisdiction level demographic data can be made using all 109 jurisdictions.
30
Income segregation between jurisdictions in the region can also be analyzed by calculating regional
values for the segregation indices discussed previously. Similar to the regional racial segregation
measures shown in Table 5, Table 10 presents dissimilarity index, isolation index, and Theil’s H index
values for income segregation for the entire nine-county Bay Area in 2010 and 2015. In the previous
section of this report focused on neighborhood level income segregation, segregation indices were
calculated by comparing the income demographics of the census tracts within a jurisdiction to the
demographics of the jurisdiction as a whole. In Table 10, these measures are calculated by comparing
the income demographics of local jurisdictions to the region’s income group makeup. For example,
looking at 2015 data, Table 10 shows the regional isolation index value for very low-income residents is
0.315 for 2015, meaning that on average very low-income Bay Area residents live in a jurisdiction that
is 31.5% very low-income. The regional dissimilarity index for lower-income residents and other
residents is 0.194 in 2015, which means that across the region 19.4% of lower-income residents would
need to move to a different jurisdiction to create perfect income group integration in the Bay Area as a
whole. The regional value for the Theil’s H index measures how diverse each Bay Area jurisdiction is
compared to the income group diversity of the whole region. A Theil’s H Index value of 0 would mean
all jurisdictions within the Bay Area have the same income demographics as the entire region, while a
value of 1 would mean each income group lives exclusively in their own separate jurisdiction. The
regional Theil’s H index value for income segregation decreased slightly between 2010 and 2015,
meaning that income groups in the Bay Area are now slightly less separated by the borders between
jurisdictions.
Table 10: Regional Income Segregation Measures
Index Group 2010 2015
Isolation Index Regional Level
Very Low-Income (<50% AMI) 0.277 0.315
Low-Income (50%-80% AMI) 0.157 0.154
Moderate-Income (80%-120% AMI) 0.185 0.180
Above Moderate-Income (>120% AMI) 0.467 0.435
Dissimilarity Index Regional Level
Below 80% AMI vs. Above 80% AMI 0.186 0.194
Below 50% AMI vs. Above 120% AMI 0.238 0.248
Theil's H Multi-income All Income Groups 0.034 0.032
Universe: Population.
Source: Data for 2015 is from U.S. Department of Housing and Urban Development, American Community Survey 5-Year 2011-
2015 Low- and Moderate-Income Summary Data. Data for 2010 is from U.S. Department of Housing and Urban Development,
American Community Survey 5-Year 2006-2010 Low- and Moderate-Income Summary Data.
31
4 APPENDIX 1: SUMMARY OF FINDINGS
4.1 Segregation in Town of Los Gatos
• The isolation index measures the segregation of a single group, and the dissimilarity index
measures segregation between two different groups. The Theil’s H-Index can be used to
measure segregation between all racial or income groups across the city at once.
• As of 2020, white residents are the most segregated compared to other racial groups in Los
Gatos, as measured by the isolation index. White residents live in neighborhoods where they
are less likely to come into contact with other racial groups.
• Among all racial groups, the white population’s isolation index value has changed the most over
time, becoming less segregated from other racial groups between 2000 and 2020.
• According to the dissimilarity index, within Los Gatos the highest level of racial segregation is
between Black and white residents.16 However, local jurisdiction staff should note that this
dissimilarity index value is not a reliable data point due to small population size.
• According to the Theil’s H-Index, neighborhood racial segregation in Los Gatos increased
between 2010 and 2020. Neighborhood income segregation stayed about the same between
2010 and 2015.
• Above Moderate-income residents are the most segregated compared to other income groups in
Los Gatos. Above Moderate-income residents live in neighborhoods where they are less likely to
encounter residents of other income groups.
• Among all income groups, the Above Moderate-income population’s segregation measure has
changed the most over time, becoming less segregated from other income groups between
2010 and 2015.
• According to the dissimilarity index, segregation between lower-income residents and residents
who are not lower-income has increased between 2010 and 2015. In 2015, the income
segregation in Los Gatos between lower-income residents and other residents was higher than
the average value for Bay Area jurisdictions.
4.2 Segregation Between Town of Los Gatos and Other jurisdictions in
the Bay Area Region
• Los Gatos has a higher share of white residents than other jurisdictions in the Bay Area as a
whole, a lower share of Latinx residents, a lower share of Black residents, and a lower share of
Asian/Pacific Islander residents.
16 The analysis conducted for this report suggests that dissimilarity index values are unreliable for a population
group if that group represents approximately less than 5% of the jurisdiction’s total population. ABAG/MTC
recommends that when cities have population groups that are less than 5% of the jurisdiction’s population (see
Table 15 in Appendix 2), jurisdiction staff could focus on the isolation index or Thiel’s H-Index to gain a more
accurate understanding of neighborhood-level racial segregation in their jurisdiction.
32
•Regarding income groups, Los Gatos has a lower share of very low-income residents than other
jurisdictions in the Bay Area as a whole, a lower share of low-income residents, a lower share
of moderate-income residents, and a higher share of above moderate-income residents.
33
5 APPENDIX 2: SEGREGATION DATA
Appendix 2 combines tabular data presented throughout this report into a more condensed format. This
data compilation is intended to enable local jurisdiction staff and their consultants to easily reference
this data and re-use the data in the Housing Element or other relevant documents/analyses.
Table 11 in this appendix combines data from Table 1, Table 2, and Table 3 in the body of the report.
Table 12 in this appendix combines data from Table 6, Table 7, and Table 8 in the body of the report.
Table 13 represents a duplication of Table 5 in the body of the report; Table 14 represents a
duplication of Table 10 in the body of the report; Table 15 in this appendix represents a duplication of
Table 4 in the body of the report, while Table 16 represents a duplication of Table 9 in the body of the
report.
Table 11: Neighborhood Racial Segregation Levels in Los Gatos
Los Gatos Bay Area
Average
Index Race 2000 2010 2020 2020
Isolation
Asian/Pacific Islander 0.079 0.118 0.197 0.245
Black/African American 0.009 0.012 0.022 0.053
Latinx 0.059 0.082 0.104 0.251
White 0.838 0.774 0.663 0.491
Dissimilarity
Asian/Pacific Islander vs. White 0.106 0.145 0.182 0.185
Black/African American vs. White 0.223* 0.246* 0.369* 0.244
Latinx vs. White 0.119 0.143 0.179 0.207
People of Color vs. White 0.093 0.124 0.157 0.168
Theil's H Multi-racial All 0.011 0.015 0.023 0.042
Universe: Population.
Source: IPUMS National Historical Geographic Information System (NHGIS). U.S. Census Bureau, 2020 Census State Redistricting
Data (Public Law 94-171) Summary File, 2020 Census of Population and Housing, Table P002. Data from 2010 is from U.S. Census
Bureau, 2010 Census of Population and Housing, Table P4. Data for 2000 is standardized to 2010 census tract geographies and is
from U.S. Census Bureau, Census 2000, Table P004.
Note: If a number is marked with an asterisk (*), it indicates that the index is based on a racial group making up less than 5
percent of the jurisdiction population, leading to unreliable numbers.
34
Table 12: Neighborhood Income Segregation Levels in Los Gatos
Los Gatos Bay Area
Average
Index Income Group 2010 2015 2015
Isolation
Very Low-Income (<50% AMI) 0.125 0.162 0.269
Low-Income (50%-80% AMI) 0.067 0.115 0.145
Moderate-Income (80%-120% AMI) 0.135 0.166 0.183
Above Moderate-Income (>120% AMI) 0.728 0.619 0.507
Dissimilarity
Below 80% AMI vs. Above 80% AMI 0.142 0.226 0.198
Below 50% AMI vs. Above 120% AMI 0.194 0.234 0.253
Theil's H Multi-racial All 0.030 0.028 0.043
Universe: Population.
Source: Income data for 2015 is from U.S. Department of Housing and Urban Development, American Community Survey 5-Year
2011-2015 Low- and Moderate-Income Summary Data. Data for 2010 is from U.S. Department of Housing and Urban
Development, American Community Survey 5-Year 2006-2010 Low- and Moderate-Income Summary Data.
35
Table 13: Regional Racial Segregation Measures
Index Group 2010 2020
Isolation Index Regional Level
Asian/Pacific Islander 0.317 0.378
Black/African American 0.144 0.118
Latinx 0.283 0.291
White 0.496 0.429
People of Color 0.629 0.682
Dissimilarity Index Regional Level
Asian/Pacific Islander vs. White 0.384 0.369
Black/African American vs. White 0.475 0.459
Latinx vs. White 0.301 0.297
People of Color vs. White 0.296 0.293
Theil's H Multi-racial All Racial Groups 0.103 0.097
Universe: Population.
Source: IPUMS National Historical Geographic Information System (NHGIS). U.S. Census Bureau, 2020 Census State Redistricting
Data (Public Law 94-171) Summary File, 2020 Census of Population and Housing, Table P002. Data from 2010 is from U.S. Census
Bureau, 2010 Census of Population and Housing, Table P4.
Table 14: Regional Income Segregation Measures
Index Group 2010 2015
Isolation Index Regional Level
Very Low-Income (<50% AMI) 0.277 0.315
Low-Income (50%-80% AMI) 0.157 0.154
Moderate-Income (80%-120% AMI) 0.185 0.180
Above Moderate-Income (>120% AMI) 0.467 0.435
Dissimilarity Index Regional Level
Below 80% AMI vs. Above 80% AMI 0.186 0.194
Below 50% AMI vs. Above 120% AMI 0.238 0.248
Theil's H Multi-income All Income Groups 0.034 0.032
Universe: Population.
Source: Data for 2015 is from U.S. Department of Housing and Urban Development, American Community Survey 5-Year 2011-
2015 Low- and Moderate-Income Summary Data. Data for 2010 is from U.S. Department of Housing and Urban Development,
American Community Survey 5-Year 2006-2010 Low- and Moderate-Income Summary Data.
36
Table 15: Population by Racial Group, Los Gatos and the Region
Los Gatos Bay Area
Race 2000 2010 2020 2020
Asian/Pacific Islander 7.55% 10.95% 18.28% 35.8%
Black/African American 0.76% 0.86% 0.89% 5.6%
Latinx 5.21% 7.21% 9% 28.2%
Other or Multiple Races 3.16% 3.95% 6.55% 24.4%
White 83.31% 77.03% 65.29% 5.9%
Universe: Population.
Source: IPUMS National Historical Geographic Information System (NHGIS). U.S. Census Bureau, 2020 Census State Redistricting
Data (Public Law 94-171) Summary File, 2020 Census of Population and Housing, Table P002. Data from 2010 is from U.S. Census
Bureau, 2010 Census of Population and Housing, Table P4. Data for 2000 is standardized to 2010 census tract geographies and is
from U.S. Census Bureau, Census 2000, Table P004.
Table 16: Population by Income Group, Los Gatos and the Region
Los Gatos Bay Area
Income Group 2010 2015 2015
Very Low-Income (<50% AMI) 10.83% 14.29% 28.7%
Low-Income (50%-80% AMI) 6.56% 10.57% 14.3%
Moderate-Income (80%-120% AMI) 11% 16.34% 17.6%
Above Moderate-Income (>120% AMI) 71.62% 58.8% 39.4%
Universe: Population.
Source: Data for 2015 is from U.S. Department of Housing and Urban Development, American Community Survey 5-Year 2011-
2015 Low- and Moderate-Income Summary Data. Data for 2010 is from U.S. Department of Housing and Urban Development,
American Community Survey 5-Year 2006-2010 Low- and Moderate-Income Summary Data.
37
6 REFERENCES
Ananat, Elizabeth Oltmans. 2011. “The wrong side(s) of the tracks: The causal effects of racial
segregation on urban poverty and inequality,” American Economic Journal: Applied Economics 3: 34-
66.
Bayer, Patrick, Robert McMillan, and Kim S. Rueben. 2004. “What Drives Racial Segregation? New
Evidence using Census Microdata,” Journal of Urban Economics 56(3): 514-535.
Burch, Traci. 2014. “The Old Jim Crow: Racial Residential Segregation and Imprisonment,” Law and
Policy 36(3): 223-255.
Chetty, Raj and Nathanial Hendren. 2018. “The Impacts of Neighborhoods on Intergenerational Mobility
I: Childhood Exposure Effects,” The Quarterly Journal of Economics 133(3):1107-1162
Cutler, David M., and Edward L. Glaeser. 1997. “Are ghettos good or bad?,” The Quarterly Journal of
Economics 112(3): 827-72.
Lens, Michael and Paavo Monkkonen. 2016. “Do Strict Land Use Regulations Make Metropolitan Areas
More Segregated by Income?,” Journal of the American Planning Association 82(1): 6–21.
Pendall, Rolf. 2000. “Local Land-Use Regulation and the Chain of Exclusion,” Journal of the American
Planning Association 66(2): 125-142.
Rothstein, Richard. 2017. The Color of Law: A Forgotten History of how our Government Segregated
America. New York: Liveright Publishing.
Sampson, Robert J. 2012. Great American city: Chicago and the enduring neighborhood effect.
Chicago: University of Chicago Press.
Sharkey, Patrick. 2013. Stuck in place: Urban neighborhoods and the end of progress toward racial
equality. Chicago: University of Chicago Press.
Trounstine, Jessica. 2015. “Segregation and Inequality in Public Goods,” American Journal of Political
Science 60(3): 709-725.
Trounstine, Jessica. 2018. Segregation by Design: Local Politics and Inequality in American Cities. New
York: Cambridge University Press.
Sites Inventory Form H
APPENDIX
Please Start Here, Instructions in Cell A2, Table in
A3:B17 Form Fields
Site Inventory Forms must be submitted to HCD for a
housing element or amendment adopted on or after
January 1, 2021. The following form is to be used for
satisfying this requirement. To submit the form,
complete the Excel spreadsheet and submit to HCD
at sitesinventory@hcd.ca.gov. Please send the Excel
workbook, not a scanned or PDF copy of the tables.
General Information
Jurisidiction Name LOS GATOS
Housing Element Cycle 6th
Contact Information
First Name Joel
Last Name Paulson
Title Community Development Director
Email Jpaulson@losgatosca.gov
Phone 4083546879
Mailing Address
Street Address 110 East Main Street
City Los Gatos
Zip Code 94538
Website
https://www.losgatosca.gov/897/Planning
Table A: Housing Element Sites Inventory, Table Starts in Cell A2 For Santa Clara County jurisdictions, please format the APNs as follows: 999-99-999
Jurisdiction Name Site Address/Intersection 5 Digit
ZIP Code
Assessor
Parcel
Number
Consolidated
Sites
General Plan Designation
(Current)
Zoning Designation
(Current)
Minimum
Density
Allowed
(units/acre)
Maximum
Density
Allowed
(units/acre)
Parcel
Size
(Acres)
Existing
Use/Vacancy Infrastructure Publicly-Owned Site
Status
Identified in Last/Last Two Planning
Cycle(s)
Lower
Income
Capacity
Moderate
Income
Capacity
Above
Moderate
Income
Capacity
Total
Capacity Optional Information1 Optional Information2 Optional Information3
LOS GATOS 0
LOS GATOS 0
LOS GATOS 0
LOS GATOS 0
LOS GATOS 0
LOS GATOS 0
LOS GATOS 0
LOS GATOS 0
LOS GATOS 0
LOS GATOS 0
LOS GATOS 0
LOS GATOS 0
LOS GATOS 0
LOS GATOS 0
LOS GATOS 0
LOS GATOS 0
LOS GATOS 0
LOS GATOS 0
LOS GATOS 0
LOS GATOS 0
LOS GATOS 0
LOS GATOS 0
LOS GATOS 0
LOS GATOS 0
LOS GATOS 0
LOS GATOS 0
LOS GATOS 0
LOS GATOS 0
LOS GATOS 0
LOS GATOS 0
LOS GATOS 0
LOS GATOS 0
LOS GATOS 0
LOS GATOS 0
LOS GATOS 0
LOS GATOS 0
LOS GATOS 0
LOS GATOS 0
LOS GATOS 0
LOS GATOS 0
LOS GATOS 0
LOS GATOS 0
LOS GATOS 0
LOS GATOS 0
LOS GATOS 0
LOS GATOS 0
Table B: Candidate Sites Identified to be Rezoned to Accommodate Shortfall Housing Need, Table Starts in Cell A2 For Santa Clara County jurisdictions, please format the APNs as follows: 999-99-999
Jurisdiction Name Site Address/Intersection 5 Digit ZIP
Code
Assessor Parcel
Number
Very Low-
Income Low-Income Moderate-
Income
Above
Moderate-
Income
Type of Shortfall Parcel Size
(Acres)
Current General
Plan Designation Current Zoning
Proposed General
Plan (GP)
Designation
Proposed Zoning
Minimum
Density
Allowed
Maximum
Density
Allowed
Total
Capacity
Vacant/
Nonvacant
Description of
Existing Uses Infrastructure Optional Information1 Optional Information2 Optional Information3
LOS GATOS 50 Park Avenue 95030 529-01-040 0 0 0 1 Unaccommodated Ne 0.18 Medium Density Resi R-1D Medium Density Res R-1D:HEOZ 5 12 1 Non-Vacant Residential YES - Current Housing Element Overlay Zone Property Owner Interest Form Submitted
LOS GATOS 61 Montebello Way 95030 529-01-041 0 0 0 4 Unaccommodated Ne 0.69 Medium Density Resi R-1D Medium Density Res R-1D:HEOZ 5 12 4 Non-Vacant Residential YES - Current Housing Element Overlay Zone Property Owner Interest Form Submitted
LOS GATOS 101 S. Santa Cruz Avenue 95030 529-01-022 0 0 0 16 Unaccommodated Ne 0.8 Central Business Dis C-2 Central Business Dis C-2:HEOZ 20 30 16 Non-Vacant Commercial YES - Current Housing Element Overlay Zone Property Owner Interest Form Submitted
LOS GATOS 165 Los Gatos-Saratoga Road 95030 529-04-083 0 0 0 7 Unaccommodated Ne 0.37 Central Business Dis C-2 Central Business Dis C-2:HEOZ 20 30 7 Non-Vacant Commercial YES - Current Housing Element Overlay Zone Property Owner Interest Form Submitted
LOS GATOS 50 Los Gatos-Saratoga Road 95030 529-24-032 76 75 51 9 Unaccommodated Ne 7.04 Mixed Use Commerci CH:PD Mixed Use Commerc CH:PD:HEOZ 30 40 211 Non-Vacant Hotel/motel YES - Current Housing Element Overlay Zone Property Owner Interest Form Submitted
LOS GATOS Los Gatos-Saratoga Road 95030 529-24-001 9 9 9 18 Unaccommodated Ne 1.49 Mixed Use Commerci CH:PD Mixed Use Commerc CH:PD:HEOZ 30 40 45 Non-Vacant Hotel/motel YES - Current Housing Element Overlay Zone Property Owner Interest Form Submitted
LOS GATOS Los Gatos-Saratoga Road 95030 529-24-003 1 2 2 3 Unaccommodated Ne 0.28 Mixed Use Commerci CH:PD Mixed Use Commerc CH:PD:HEOZ 30 40 8 Non-Vacant Hotel/motel YES - Current Housing Element Overlay Zone Property Owner Interest Form Submitted
LOS GATOS 15300 Los Gatos Boulevard 95032 424-17-036 24 9 9 6 Unaccommodated Ne 1.6 Mixed Use Commerci C-1 Mixed Use Commerc C-1:HEOZ 30 40 48 Non-Vacant Commercial YES - Current Housing Element Overlay Zone Property Owner Interest Form Submitted
LOS GATOS 15349 Los Gatos Boulevard 95032 424-19-049 5 2 2 1 Unaccommodated Ne 0.34 Mixed Use Commerci CH Mixed Use Commerc CH:HEOZ 30 40 10 Non-Vacant Commercial YES - Current Housing Element Overlay Zone Property Owner Interest Form Submitted
LOS GATOS 15367 Los Gatos Boulevard 95032 424-19-048 18 8 8 2 Unaccommodated Ne 1.2 Mixed Use Commerci CH Mixed Use Commerc CH:HEOZ 30 40 36 Non-Vacant Commercial YES - Current Housing Element Overlay Zone Property Owner Interest Form Submitted
LOS GATOS 15405 Los Gatos Boulevard 95032 424-19-069 20 8 8 4 Unaccommodated Ne 1.34 Mixed Use Commerci CH Mixed Use Commerc CH:HEOZ 30 40 40 Non-Vacant Commercial YES - Current Housing Element Overlay Zone Property Owner Interest Form Submitted
LOS GATOS 15425 Los Gatos Boulevard 95032 424-19-067 16 7 7 3 Unaccommodated Ne 1.09 Mixed Use Commerci CH Mixed Use Commerc CH:HEOZ 30 40 33 Non-Vacant Commercial YES - Current Housing Element Overlay Zone Property Owner Interest Form Submitted
LOS GATOS 15795 Los Gatos Boulevard 95032 529-15-059 9 4 4 2 Unaccommodated Ne 0.64 Mixed Use Commerci CH Mixed Use Commerc CH:HEOZ 30 40 19 Non-Vacant Commercial YES - Current Housing Element Overlay Zone Property Owner Interest Form Submitted
LOS GATOS 16203 Los Gatos Boulevard 95032 529-16-069 12 5 5 2 Unaccommodated Ne 0.79 Mixed Use Commerci CH Mixed Use Commerc CH:HEOZ 30 40 24 Non-Vacant Commercial YES - Current Housing Element Overlay Zone Conceptual Development Advisory Committee application for a mixe
LOS GATOS 16492 Los Gatos Boulevard 95032 532-07-086 0 0 0 2 Unaccommodated Ne 0.23 Low Density Residen C-1 Low Density Residen C-1:HEOZ 10 20 2 Non-Vacant Commercial YES - Current Housing Element Overlay Zone Property Owner Interest Form Submitted
LOS GATOS Los Gatos Boulevard 95032 532-07-085 0 0 0 4 Unaccommodated Ne 0.38 Neighborhood CommC-1 Neighborhood CommC-1:HEOZ 10 20 4 Vacant Vacant YES - Current Housing Element Overlay Zone Property Owner Interest Form Submitted
LOS GATOS 16151 Los Gatos Boulevard 95032 529-16-040 53 21 21 11 Unaccommodated Ne 3.52 Mixed Use Commerci CH Mixed Use Commerc CH:HEOZ 30 40 106 Non-Vacant Commercial YES - Current Housing Element Overlay Zone Property Owner Interest Form Submitted
LOS GATOS 620 Blossom Hill Road 95032 529-16-041 39 16 16 8 Unaccommodated Ne 2.64 Mixed Use Commerci CH Mixed Use Commerc CH:HEOZ 30 40 79 Non-Vacant Commercial YES - Current Housing Element Overlay Zone Property Owner Interest Form Submitted
LOS GATOS 15480 Los Gatos Boulevard 95032 424-14-034 9 3 3 2 Unaccommodated Ne 0.56 Mixed Use Commerci CH Mixed Use Commerc CH:HEOZ 30 40 17 Non-Vacant Commercial YES - Current Housing Element Overlay Zone Property Owner Interest Form Submitted
LOS GATOS 15500 Los Gatos Bouelvard 95032 424-14-035 59 23 23 12 Unaccommodated Ne 3.9 Mixed Use Commerci CH Mixed Use Commerc CH:HEOZ 30 40 117 Non-Vacant Commercial YES - Current Housing Element Overlay Zone Property Owner Interest Form Submitted
LOS GATOS 14859 Los Gatos Boulevard 95032 424-07-094 44 13 13 17 Shortfall of Sites 2.9 North Forty Specific P North Forty Specific P North Forty Specific P North Forty Specific P 30 40 87 Non-Vacant Residential YES - Current Housing Element Overlay Zone Property Owner has been involved in submitting public comments on
LOS GATOS 16392 Los Gatos Boulevard 95032 424-07-095 12 3 3 5 Shortfall of Sites 0.78 North Forty Specific P North Forty Specific P North Forty Specific P North Forty Specific P 30 40 23 Non-Vacant Vacant YES - Current Housing Element Overlay Zone Property Owner has been involved in submitting public comments on
LOS GATOS 16260 Burton Road 95032 424-07-053 6 2 2 3 Shortfall of Sites 0.44 North Forty Specific P North Forty Specific P North Forty Specific P North Forty Specific P 30 40 13 Non-Vacant Residential YES - Current Housing Element Overlay Zone Property Owner has been involved in submitting public comments on
LOS GATOS 16250 Burton Road 95032 424-07-009 6 2 2 3 Unaccommodated Ne 0.44 North Forty Specific P North Forty Specific P North Forty Specific P North Forty Specific P 30 40 13 Non-Vacant Residential YES - Current Housing Element Overlay Zone Property Owner has been involved in submitting public comments on
LOS GATOS 14917 Los Gatos Boulevard 95032 424-07-081 56 17 17 22 Unaccommodated Ne 3.74 North Forty Specific P North Forty Specific P North Forty Specific P North Forty Specific P 30 40 112 Non-Vacant Residential YES - Current Housing Element Overlay Zone Property Owner has been involved in submitting public comments on
LOS GATOS 14925 Los Gatos Boulevard 95032 424-07-115 91 27 27 37 Unaccommodated Ne 6.07 North Forty Specific P North Forty Specific P North Forty Specific P North Forty Specific P 30 40 182 Non-Vacant Residential YES - Current Housing Element Overlay Zone Property Owner has been involved in submitting public comments on
LOS GATOS Los Gatos Boulevard 95032 424-07-116 15 5 5 6 Shortfall of Sites 1.02 North Forty Specific P North Forty Specific P North Forty Specific P North Forty Specific P 30 40 31 Non-Vacant Vacant YES - Current Housing Element Overlay Zone Property Owner has been involved in submitting public comments on
LOS GATOS 16245 Burton Road 95032 424-06-115 18 5 5 7 Unaccommodated Ne 1.17 North Forty Specific P North Forty Specific P North Forty Specific P North Forty Specific P 30 40 35 Non-Vacant Residential YES - Current Housing Element Overlay Zone No; however, the parcel is located within Phase II of the North 40 Spe
LOS GATOS Burton Road 95032 424-06-116 2 0 0 1 Unaccommodated Ne 0.11 North Forty Specific P North Forty Specific P North Forty Specific P North Forty Specific P 30 40 3 Vacant Vacant YES - Current Housing Element Overlay Zone No; however, the parcel is located within Phase II of the North 40 Spe
LOS GATOS 16240 Burton Road 95032 424-07-010 4 1 1 2 Shortfall of Sites 0.26 North Forty Specific P North Forty Specific P North Forty Specific P North Forty Specific P 30 40 8 Non-Vacant Residential YES - Current Housing Element Overlay Zone No; however, the parcel is located within Phase II of the North 40 Spe
LOS GATOS 16270 Burton Road 95032 424-07-052 6 2 2 3 Shortfall of Sites 0.43 North Forty Specific P North Forty Specific P North Forty Specific P North Forty Specific P 30 40 13 Non-Vacant Residential YES - Current Housing Element Overlay Zone No; however, the parcel is located within Phase II of the North 40 Spe
LOS GATOS 16210 Burton Road 95032 424-07-054 4 1 1 2 Shortfall of Sites 0.26 North Forty Specific P North Forty Specific P North Forty Specific P North Forty Specific P 30 40 8 Non-Vacant Residential YES - Current Housing Element Overlay Zone No; however, the parcel is located within Phase II of the North 40 Spe
LOS GATOS 14831 Los Gatos Boulevard 95032 424-07-063 8 3 3 3 Shortfall of Sites 0.56 North Forty Specific P North Forty Specific P North Forty Specific P North Forty Specific P 30 40 17 Non-Vacant Residential YES - Current Housing Element Overlay Zone No; however, the parcel is located within Phase II of the North 40 Spe
LOS GATOS 14849 Los Gatos Boulevard 95032 424-07-064 14 4 4 6 Shortfall of Sites 0.93 North Forty Specific P North Forty Specific P North Forty Specific P North Forty Specific P 30 40 28 Non-Vacant Residential YES - Current Housing Element Overlay Zone No; however, the parcel is located within Phase II of the North 40 Spe
LOS GATOS 14823 Los Gatos Boulevard 95032 424-07-065 5 1 1 4 Shortfall of Sites 0.37 North Forty Specific P North Forty Specific P North Forty Specific P North Forty Specific P 30 40 11 Non-Vacant Residential YES - Current Housing Element Overlay Zone No; however, the parcel is located within Phase II of the North 40 Spe
LOS GATOS 14800 Oka Road 95032 424-08-057 0 0 0 12 Unaccommodated Ne 2.97 Low Density Residen R-1:8 Low Density Residen R-1:8:HEOZ 0 5 12 Vacant Vacant YES - Current Housing Element Overlay Zone No; however the property owner has submitted a public comment to
LOS GATOS Oka Lane 95032 424-08-029 0 0 0 1 Unaccommodated Ne 0.31 Low Density Residen R-1:8 Low Density Residen R-1:8:HEOZ 0 5 1 Vacant Vacant YES - Current Housing Element Overlay Zone No; however the property owner has submitted a public comment to
LOS GATOS Oka Lane 95032 424-08-059 0 0 0 4 Unaccommodated Ne 1.01 Low Density Residen R-1:8 Low Density Residen R-1:8:HEOZ 0 5 4 Vacant Vacant YES - Current Housing Element Overlay Zone No; however the property owner has submitted a public comment to
LOS GATOS Oka Lane 95032 424-08-060 0 0 0 5 Unaccommodated Ne 1.29 Low Density Residen R-1:8 Low Density Residen R-1:8:HEOZ 0 5 5 Vacant Vacant YES - Current Housing Element Overlay Zone No; however the property owner has submitted a public comment to
LOS GATOS 14800 Oka Road 95032 424-08-058 0 0 0 6 Unaccommodated Ne 1.41 Low Density Residen R-1:8 Low Density Residen R-1:8:HEOZ 0 5 6 Non-Vacant Residential YES - Current Housing Element Overlay Zone No; however the property owner has submitted a public comment to
LOS GATOS 16603 Lark Avenue 95032 424-08-017 0 0 0 35 Unaccommodated Ne 2.48 Medium Density Resi R-M:5-12 Medium Density Res R-M:5-12:HEOZ 14 22 35 Non-Vacant Residential YES - Current Housing Element Overlay Zone No; however the property owner has submitted a public comment to
LOS GATOS 14840 Oka Road 95032 424-08-021 0 0 0 61 Unaccommodated Ne 4.32 Medium Density Resi R-M:5-12 Medium Density Res R-M:5-12:HEOZ 14 22 61 Vacant Vacant YES - Current Housing Element Overlay Zone No; however the property owner has submitted a public comment to
LOS GATOS Oka Lane 95032 424-08-074 0 0 0 26 Shortfall of Sites 6.41 Low Density Residen R-1:8 Low Density Residen R-1:8:HEOZ 0 5 26 Vacant Vacant YES - Current Housing Element Overlay Zone No; however the property owner has submitted a public comment to
LOS GATOS Oka Road (Cal Trans ROW)95032 37.256167, -121.9596 0 0 0 69 Unaccommodated Ne 4.9 Low Density Residen R-1:8 Medium Density Res R-M:5-12:HEOZ 14 22 69 Vacant Vacant YES - Current Housing Element Overlay Zone (HEOZ) implementation progra Cal Trans site with no current A
LOS GATOS 110 Knowles Drive 95032 424-32-077 88 44 44 44 Shortfall of Sites 7.34 High Density Residen CM:AHOZ High Density Residen CM:AHOZ:HEOZ 30 40 220 Non-Vacant Commercial YES - Current Housing Element Overlay Zone No; however the site is located within the Affordable Housing Overla
LOS GATOS 206 Knowles Drive 95032 424-32-076 29 14 14 15 Unaccommodated Ne 2.41 High Density Residen CM High Density Residen CM:HEOZ 30 40 72 Non-Vacant Commercial YES - Current Housing Element Overlay Zone No; however, the site is located immediately adjacent to 110 Knowle
3
Table C: Land Use, Table Starts in A2
Zoning Designation
From Table A, Column G
and Table B, Columns L and N
(e.g., "R-1")
General Land Uses Allowed (e.g., "Low-density residential")
R-1D Single-family dwelling, provided that there is not more than one principal residential structure on a lot, two-family dwelling, provided that there is not more than one principal residential structure on a lot, family daycare home, and residential care facility, small family ho
C-1
Retailing, including formula retail up to six thousand (6,000) square feet, Personal service businesses and service businesses necessary for the conduct of households, Office activities, Limited manufacturing activities when a majority of sales are made, on site, to the ultim
permitted in the LM zone which were approved on or before February 1, 1993, provided any change of use must be a conforming use in the C-1 zone, and Group classes, and single-family, two-family, and multi-family in a mixed-use project through a CUP.
C-2
Retailing, including formula retail up to six thousand square feet, Office activities subject to subsection (c), Limited manufacturing activities when a majority of sales are made, on site, to the ultimate consumer, Wholesaling without warehousing on the premises, Single-f
conjunction with the other uses permitted in this section and multi-family in a mixed-use project through a CUP
CH
Retailing, including formula retail up to six thousand square feet, Personal service businesses and service businesses necessary for the conduct of households, Office activities, Limited manufacturing activities when a majority of sales are made on site to the ultimate con
family, two-family, and multi-family in a mixed-use project through a CUP
CH:PD Hotel up to 300 rooms, a conference facility containing approximately 10,000 square feet, and an underground parking facility
North Forty Specific Plan Retail, Restaurant, Personal Service, Office, Hotel, Townhomes, Rowhouses, Multi-Family, Condominiums, Live/Work Lofts, Park, Public Transpiration and Parking Facilities, Small Family Daycare, Alternating Use/Shared Parking, and Botanical Nursery
R-1:8
Single-family dwelling, provided that there is not more than one principal residential structure on a lot, raising of trees, vegetables and horticultural specialties, but not including commercial greenhouses, retail nurseries, or storage of landscaping equipment, products or
family daycare home, and residential care facility, small family home.
R-M:5-12 Single-family dwelling, two-family dwelling, family daycare home, residential care facility, small family home, multi-family dwelling, and a transitional Housing facility as defined by Health and Safety Code section 50675.2
CM
Activities involving controlled manufacturing, research and development, wholesaling, warehousing, and other light industrial uses, Sales to the ultimate consumer of articles manufactured on the premises to the customer's order, Professional and administrative offices
by Health and Safety Code section 50801
CM:AHOZ Multifamily dwellings, Two-family dwellings, and Single-family dwellings.
R-1D:HEOZ Housing Element Overlay Zone Implementation Program to apply to the sites included in the Site Inventory to modify the development standards (i.e., density, lot coverage, FAR, height) on those sites