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31783958
31783977

4405 Davidson Ave, Gilroy, CA 95020 For Sale

The Grail Group - Legacy Real Estate & Associates
Listed by The Grail Group - Legacy Real Estate & Associates
$1,800,000
350 days on market
Updated 10 days ago

Cherry Tree Farm or Build Farm Workers' Units

Details
APN 841-38-029
Property Type Land
Sub Type Agricultural, Farm (+1)
Price Per Acre $180,000
Class A
Acreage 10.000
Zoning Agricultural / Residential/Workforce Housing

Cherry Farm + Build Farm Workers' Housing + Home

Marketing description

This offering presents a rare opportunity to acquire a fully established 10-acre cherry orchard in Gilroy, California, featuring approximately 1,000 mature, producing cherry trees. The property consists of flat, highly usable land supported by existing water and power infrastructure, enabling immediate agricultural operation or long-term strategic land holding.

The property is zoned agricultural and may allow for additional uses such as farmworker or workforce housing under current California regulations. Buyers are advised to independently verify all permitted uses, development requirements, and approval processes. This includes confirming the feasibility of constructing residential units, renting them out, and determining eligibility for programs such as Section 8 housing.

Buyer to also independently verify all uses, zoning, and applicability of current state and local laws.

The property is zoned agricultural and may offer potential for farmworker housing development under recently enacted California legislation.

Buyer is also advised to conduct thorough due diligence regarding the California Employee Housing Act and AB 3035 (Pellerin), including consultation with qualified land use and real estate counsel.

Under the California Employee Housing Act (Health & Safety Code § 17021.6), certain small-scale agricultural employee housing developments (up to 12 units or 36 beds) may be classified as an agricultural use rather than residential, which can allow for a streamlined, “by-right” approval process subject to local compliance and interpretation. AB 3035 (Pellerin) further aims to reduce regulatory barriers and accelerate approvals for farmworker housing projects in Santa Clara and Santa Cruz Counties.

These laws may allow housing for agricultural workers, including those not employed directly on-site; however, occupancy requirements, development standards, permitting, and any rental restrictions (including potential Section 8 participation) must be independently verified by Buyer with the appropriate governing agencies.

California continues to face a housing shortage, and the state has taken steps to encourage development of workforce housing tied to agricultural use. Buyer should confirm how these policies apply specifically to this parcel.

Property Highlights

  • Approximately 1,000 mature cherry trees
  • On-site water and power infrastructure
  • Existing agricultural use with income potential

A promotional video titled “Who Wants to Own a Farm of 1,000 Cherry Trees in Silicon Valley, CA” showcases the orchard’s scale, layout, and operational setup. The property is positioned as both an income-producing agricultural asset and a lifestyle opportunity within close proximity to Silicon Valley.

Current revenue includes seasonal U-pick cherry events and an established relationship with a commercial packing company purchasing harvested fruit. The property has also historically benefited from agricultural-related program payments buyer to verify eligibility and continuation.

The orchard offers a private, rural setting with convenient access to nearby towns, major highways, and Silicon Valley employment centers. This location supports continued agricultural use, agri-investment, or long-term land holding.

Offering Price: $1,800,000

This is a land sale.

Buyer to verify all information, including zoning, permitted uses, development potential, and applicability of current and future legislation with the city, county, and state, and through consultation with qualified professionals.

The orchard as both an income-producing agricultural asset and a rare lifestyle opportunity within close proximity to Silicon Valley. It has great accessibility, operational readiness, and the unique appeal of owning a working farm in this high-demand region. Current revenue streams include seasonal U-pick cherry events and an established relationship with a commercial packing company that purchases harvested cherries, providing a framework for continued income generation + agricultural program payments tied to active farming (buyer to independently verify eligibility, amounts, and continuation). The buyer could put up custom home, ADU, or ranch-style residence. Buyer to verify with the city and local agricultural program. Build your dream.

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):

https://www.gov.ca.gov/2024/09/24/governor-newsom-signs-new-laws-to-expand-farmworker-housing-and-cut-red-tape/

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:

https://humboldtgov.org/DocumentCenter/View/71741/Fact-Sheet---Farmworker-Housing-for-Ag-Employers-PDF

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:

https://www.lacda.org/docs/librariesprovider25/section-8-program/owners/resources/section-8-landlord-brochure-%287-2021%29.pdf

Housing Authority of the City of Los Angeles (HACLA) – Owner Packet:

https://www.hacla.org/sites/default/files/Section%208/S8%20RFTA%20Packets/RFTA%20HCV/Owner%20Booklet%20-%20HCV%20Finalized%202023-08-29.pdf

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:

https://news.santaclaracounty.gov/news-release/county-santa-clara-approves-affordable-housing-project-units-agricultural-workers

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):

https://sanjosespotlight.com/santa-clara-county-makes-it-easier-to-building-housing-for-agricultural-workers/

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.

Investment highlights

  • Watch video at https://youtu.be/FWyOu99fvU8?si=Bi2WHvtCTzJI1_pu
  • Features: Includes 1,000 Cherry Trees well and power
  • Water (Well) & PG&E (Power)
  • 1,000 trees
  • 10 Acres
  • Flat land
  • Revenue: current farm brings in revenue from commercial packing company and u-pick events
  • Buyer can build a home, adu, farm or build workforce housing for farm workers
  • This is agricultural land.

Listing Contacts

The Grail Group - Legacy Real Estate & Associates
Listed by The Grail Group - Legacy Real Estate & Associates

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Additional Information

Name
Grail Marie Nitsch
License
01304120
Brokerage
Legacy Real Estate & Associates
Brokerage Phone
6507721519
*All information is deemed reliable but not guaranteed. Buyer to verify all information.
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