The City of Gilroy should plan for 1,773 new housing units between 2023-2031, according to draft allocations by the Association of Bay Area Governments (ABAG).
That is nearly 700 more units than the previous eight-year cycle allocated to Gilroy.
California state law requires all cities to plan for housing units in eight-year cycles, known as the Housing Element and Regional Housing Needs Allocation.
The California Department of Housing and Community Development determines the number of new homes an area needs to build by income level, and ABAG, which Gilroy falls under, determines how that number is allocated by city.
Cities must minimize governmental constraints and streamline the process so developers can build the housing, according to the requirements.
Under the draft allocations, Gilroy should build 669 very low income units, up from 236 in the previous cycle, according to Senior Planner Cindy McCormick. It also is expected to double its low income units from the last cycle to 385, while moderate income units get a slight dip to 200.
According to the most recent data by the California Department of Housing and Community Development, Gilroy has only completed 27 percent of its goal of 236 very low income housing units by 2023, but well exceeded its goal of 160 low income units, permitting 487 since 2015.
The Gilroy City Council on June 21 decided not to appeal its allocation. ABAG is expected to adopt the allocations later this year.