Bay Area/ San Jose/ Real Estate & Development

San Jose Developers Eye Six-Story, 59-Unit Supportive Housing Project Near Rose Garden

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Published on November 09, 2026
San Jose Developers Eye Six-Story, 59-Unit Supportive Housing Project Near Rose Garden2188 The Alameda — Site of Proposed Supportive Housing Project
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A proposed six-story building called Casa de Novo would bring 59 affordable residences to 2188 The Alameda in San Jose's Rose Garden district, replacing an existing hotel structure that currently houses 27 transitional housing units. At least half of the new residences would be set aside as permanent supportive apartments for people who have experienced homelessness.

The project is described in city planning documents reviewed by The Mercury News, which reports that the development team behind Casa de Novo is seeking city planning staff approval under Assembly Bill 2162 provisions. That state law streamlines review of supportive housing projects, and according to the City of San José, it requires affordable housing projects with a supportive housing component to be permitted through a ministerial process in zones where multifamily and mixed uses are allowed, including some nonresidential zones.

Abode Services and Allied Housing teamed up to develop Casa de Novo, the outlet's report notes. The planned building would rise six stories and include 10 studio units, 39 one-bedroom units and 10 two-bedroom units, for a total of 59 homes.

Two-Phase Plan Would Demolish Existing Hotel First

The project is slated to be built in two phases. Phase one covers the 59 units and demolition of the existing hotel structure, while the project team plans to separately submit an application for demolition work and construction of a second housing-development phase, per the same report.

The proposal states that referrals for the existing short-term units will stop before construction begins, leaving the building vacant without displacing current tenants, the article notes. The existing hotel structure that would be removed currently contains 27 transitional housing units.

Site Has Long History Tied to Homeless Housing

The Alameda address is no stranger to housing proposals aimed at homelessness. A decade ago, the site — then known as the Santa Clara Inn — was the subject of a 2016 proposal that would have converted the property into housing for homeless people, with 27 studio units planned as permanent housing and another 29 units used to house homeless individuals for stays of up to 28 days, according to a separate Mercury News report from 2016.

Even earlier, a 2015 San Jose draft resolution described the Santa Clara Inn as three motel buildings totaling 59 motel rooms proposed for transitional housing for homeless households, according to city records published through San Jose's Granicus system. That same resolution recommended a city acquisition and permanent loan of up to $8.65 million to Abode Services to acquire the property.

Abode Services, which already operates housing at the address, describes Casa de Novo on its website as a permanent supportive housing community located in San Jose, Santa Clara County. The nonprofit says the site currently offers 27 one- and two-bedroom units generally available to income-qualified households earning up to 30% of Area Median Income, according to information posted on Abode Services' website.

Casa de Novo's proposed 59 units would mark a significant expansion over what currently exists at the site. With at least half of those residences reserved as permanent supportive apartments, the project would continue the Rose Garden-area property's long association with housing for people exiting homelessness, even as the specifics of financing, timeline, and formal approval remain tied up in the planning process.