Build Farm Worker's Housing, Work Force Housing or Home
Fabulous Development Opportunity — 11.54 Acres in a Strategic Growth Corridor
Marketing description
Start Building Your Home, Ranch, or Farm — Or Build Farmer Worker's Housing on this 11.5 Acres.
The property is zoned agricultural and may also support farmworker or workforce housing under recent California laws.
Buyer to verify all permitted uses on state and local levels for the process of building the units, renting the units and if they wish to deem any of the units Section 8.
Recent legislation signed by Gavin Newsom expands opportunities for farmworker housing on agricultural land.
- The California Employee Housing Act (Health & Safety Code § 17021.6) allows agricultural employee housing of up to 12 units or 36 beds to be classified as an agricultural use rather than residential development.
- AB 3035 (Pellerin) further streamlines approvals for farmworker housing projects in Santa Clara and Santa Cruz counties, helping reduce regulatory delays and accelerate development. My understanding the process takes 30 to 60 days but this must be verified and at a reduce cost.
These laws are designed to support housing on agricultural land, including potential rental opportunities for farmworkers, subject to compliance and local verification.
Location Advantage
Situated in a key growth corridor near Gilroy with convenient access to San Jose, this property offers both immediate usability and long-term upside—an increasingly rare combination in Silicon Valley.
Development Flexibility
- Build a custom residence
- Establish a ranch or agricultural operation
- Explore farmworker/workforce housing potential under new state laws
Buyer to conduct all due diligence regarding zoning, permitted uses, development pathways, and applicable state and local regulations with the City of Gilroy and the County of Santa Clara.
Reference Appendix
Agricultural Workforce Housing on Agricultural Land (Santa Clara County, CA)
Employee Housing Act | AB 3035 | Section 8 | Morgan Hill & Gilroy
1. Enabling Legislation & Policy Background
AB 3035 – Farmworker Housing (Chaptered 2024)
Expanded the California Employee Housing Act to allow up to 150 multifamily units of agricultural workforce housing on qualifying agricultural land in Santa Clara and Santa Cruz Counties through a streamlined, ministerial approval process.
Bill summary and status (California Digital Democracy):
https://calmatters.digitaldemocracy.org/bills/ca_202320240ab3035
Full bill text (LegiScan):
https://legiscan.com/CA/text/AB3035/id/3012768
Governor Newsom signing announcement (Sept. 24, 2024):
Local overview (Morgan Hill / South County focus)
“Farmworker Housing Act Expanded” – Choose Morgan Hill:
https://www.choosemorganhill.com/news/4zbcretmep0ra9j1i57odltb2wm3hn
2. California Employee Housing Act (Permitting Framework)
Overview & regulatory structure
Agricultural workforce housing is treated as an agricultural use, not residential zoning.
Health and safety permitting and oversight are administered by the California Department of Housing and Community Development (HCD).
Key references:
California HCD – Farmworker Housing overview and programs:
https://www.hcd.ca.gov/policy-and-research/intersectional-policy-work/farmworker-housing
County fact sheet explaining Employee Housing Act permits and requirements:
3. Section 8 (Housing Choice Voucher Program)
Program overview
HUD Housing Choice Voucher (Section 8) Program:
https://www.hud.gov/program_offices/public_indian_housing/programs/hcv
Owner participation & approval process (California examples)
Los Angeles County Development Authority – Owner’s Guide:
Housing Authority of the City of Los Angeles (HACLA) – Owner Packet:
Request for Tenancy Approval (RTA / RFTA)
Plain‑language overview of the RFTA process and timing:
https://rentwisela.com/blog/how-to-submit-an-rfta-for-a-section-8-family/
4. Morgan Hill & Gilroy – Cost & Local Project Examples
Recent farmworker housing project (Morgan Hill/Gilroy)
Royal Oak Village – project scope, unit count, and development cost:
https://gilroylife.com/government-farmworker-housing-breaks-ground-a-second-project-is-planned/
Santa Clara County funding and approvals
County of Santa Clara press release on agricultural worker housing approvals:
Comparable agricultural workforce housing developments
Avila Construction – Agricultural Worker Housing portfolio (South & Central CA):
https://www.avilaconst.com/aghousing
5. Santa Clara County – Local Process & Housing Context
Santa Clara County Consumer & Environmental Protection Agency – Farmworker Housing:
https://cepa.santaclaracounty.gov/farmworker-housing
Background on zoning reform and permitting streamlining (San José Spotlight):
Buyer to verify all potential uses with county, city and state and confirm the new state laws regarding workforce housing for farmworkers with a real estate and or land use attorney. Also buyer to verify all information found in the disclosures and the agent's research. Buyer must verify all information.
Buyer to verify all potential uses and development pathways with the City of Gilroy and County of Santa Clara.
Investment highlights
- Approx. 11.5 acres
- List Price: $4,000,000
- Potential immediate use for to build work force /farm worker's housing
- To build a home, ranch, or agricultural operations
- To farm the land
- Possible long-term entitlement and rezoning upside
- Located in a growth-oriented corridor in Gilroy, Silicon Valley
- Next to 101 and Masten and Lena
- Buyer to verify zoning, land use, and development potential
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