Advancing a 100% Affordable Housing Development in Downtown Palo Alto

Advancing a 100% Affordable Housing Development in Downtown Palo Alto

Published on October 21, 2025

Design of a six-story garage structure to provide replacement public parking nearby is also in the works

This week, the City Council will conduct a study session to receive an update from City staff and Alta Housing on a 100% affordable housing development proposed for "Lot T," a downtown surface parking lot at the corner of Kipling Street and Lytton Avenue. The study session will solicit the City Council's feedback on key design considerations, development cost estimates, and potential funding sources.

A new community update shares details about this Council priority seeking to increase affordable housing through a unique partnership with a local nonprofit. The Lot T project is one of several anticipated affordable housing development opportunities that are foundational to advancing the City's Certified 2023-2031 Housing Element. One of the Housing Element programs seeks to increase the City's affordable housing inventory by redeveloping City-owned lands such as the surface parking lots in Downtown.

In the first phase of this effort, the City Council selected Lot T as the site for the first development, which could produce up to 72 homes for households with incomes at or below 80% of the Area Median Income for Santa Clara County. The City Council also re-initiated the design of a six-story garage structure to provide replacement public parking on Lot D, the City-owned parking lot at the corner of Waverley Street and Hamilton Avenue.

Read the Full Update.

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