San Jose Developers Secure Financing for Gateway Tower
The 15-story residential project in downtown San Jose will provide 218 affordable housing units for the local workforce.
Updated on Oct. 15, 2026 in Commercial
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Developers The Core Cos. and Affordable Housing CDC have finalized financing for the Gateway Tower, a 15-story residential high-rise in downtown San Jose. The building will feature 220 apartment units, with 218 designated as affordable housing for renters earning between 30% and 70% of the Santa Clara County median income.
Why it matters
The project aims to address the local housing shortage by providing affordable living options specifically for the downtown workforce. With construction starting this month, the development represents a significant public-private investment in the citys residential infrastructure.
The tower will span 15 stories and include 3,300 square feet of ground-floor commercial space. Units are reserved for households earning between 30% and 70% of the local median income, which is $143,850 for an individual.
The players
The Core Cos.
This is a real estate development firm focused on building residential and mixed-use communities in California.
Affordable Housing CDC
This organization specializes in the development and preservation of affordable housing units for low-income residents.
JPMorgan Chase
This global financial services firm provides investment banking and development capital for large-scale real estate projects.
San Jose Jazz Co.
This non-profit organization produces jazz-related events and performances and is slated to occupy commercial space in the tower.
The details
The development is situated at a site bordered by South Market Street, West William Street, and South First Street in the SoFA district. Funding was provided through a collaboration involving JPMorgan Chase, the City of San Jose, Santa Clara County, and the State of California.
Timeline
Oct. 14, 2026: Real estate financing documents were filed.
October 2026: Construction is scheduled to begin.
2029: The Gateway Tower could be completed.
Culture Shift
This project reflects a broader move toward transit-oriented, high-density affordable housing in urban cores to combat rising costs. It signals a shift from traditional suburban residential patterns toward centralized urban living that prioritizes workforce accessibility.
Residents seeking affordable downtown housing will benefit from 218 new units restricted by income eligibility. Local workers within the specified income range should monitor application timelines as construction progresses toward the 2029 completion goal.
The takeaway
The addition of 218 affordable units in the SoFA district represents a targeted effort to maintain workforce housing in an expensive urban market. Potential renters should track local housing authority announcements to prepare for future leasing opportunities.
Further reading
For more on downtown development, explore the San Jose Commercial section.
Source note: This article includes information reported by San Jose Mercury News.
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