The Mercury News

Gonzalez

- By nature, for-profit developmen­t companies have to turn a profit on their buildings, which can make it difficult to fit in affordable housing — so many new projects don’t include it. How do you plan to overcome that challenge? Contact Marisa Kendall at 4

Q

In your opinion, what is the solution to the Bay Area’s housing crisis, and what is Sand Hill’s role — and your role?

A

There’s not one solution. I’m sure you’ve heard this, that we need lots and lots of tools in our tool kit. I think one of the big focuses for us is working on policy, both local and state policy that can really make a big impact. Focusing on land use and zoning code restrictio­ns that really hinder how housing is built.

Q

What was it like to transition from a nonprofit developer to a for-profit developer?

A

It’s been an exciting change. When I was working with Palo Alto Housing we would look at small projects — 60 units to 100 units per site. Now we’re looking at hundreds and thousands of units per project.

Q A

I think one of the benefits we have is that we do look at large sites and large-scale projects. So we have an opportunit­y to sort of cost subsidize. Not to bring up Vallco again, but there’s an opportunit­y where there’s going to be office, retail, market-rate housing and affordable housing, so we are cross-subsidizin­g. To be able to build the 1,201 affordable units, we need the office (space) to help subsidize that.

And the founders have a foundation (the SHP Foundation) and a very philanthro­pic side that they’ve been very slowly and quietly working on. So it’s not always maximizing profits, depending on the project.

Q

You grew up in affordable housing. How has that experience influenced the work you do today?

A

I was born in the Philippine­s and moved to the Oakland/Alameda area when I was 4. My parents were 23, 24 years old when they moved here with three kids under the age of 5, then had a fourth. As immigrants, we had to start out in affordable housing. I know what it means to feel housing insecure and housing unsafe. My father broke his back in a car accident coming home from Disneyland in the ’70s. He went on disability and we got evicted from affordable housing over $70.

But I also know what it means to have some housing stability, because it really allowed my sisters and I to focus on hard work and education and really take the next step in life. For me, that was really important to give back in my career and give other people, other kids, the same type of opportunit­ies. Housing stability always leads to better health and education outcomes, and really that kind of drives me, and that’s what I’ve become passionate about — because I really want that opportunit­y for everybody.

Q

Sand Hill’s Vallco Mall redevelopm­ent in Cupertino has become mired in controvers­y, sparking lawsuits and a ballot referendum from angry neighbors hoping to thwart it. Why do you think that happened, and was there anything Sand Hill could have done differentl­y to avoid it?

A

I think that some communitie­s are just really afraid of change. Some of the residents didn’t really like the Main Street Cupertino project, but now that it’s built and running, it’s probably one of the best things that could have happened to the city. In 2016, we had a different Vallco project (put on the ballot), and the community turned it down there. I think some of it is based on fears that are not necessaril­y accurate — worries about school impacts and traffic and less parking, or what the lowincome residents are going to do to our community. I think really we just need to continue to work with our community, be on the ground, go even further with community engagement.

At this point we are building our SB 35 (the state law that allowed Sand Hill to fast-track the developmen­t) project. But just because we’re building it doesn’t mean we’re going to stop engaging the community. In fact we just had a team meeting — it was like, ‘Well, how can we continue working with the community?’ Because we do want them to accept our project.

Q

Is there still room for negotiatio­n on the Vallco project? For example, to add community benefits such as money for schools?

A

You know, I don’t know. We’re in the middle of starting some demo work. Right now our goal is really to focus on the design and just get it started. It’s going to be a years-long process, so we’ll see what happens. But really we want it built, and we want it built soon because the housing crisis is now.

 ?? LIPO CHING — STAFF PHOTOGRAPH­ER ??
LIPO CHING — STAFF PHOTOGRAPH­ER

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