Posted on: September 10, 2026
Unique collaboration will transform a former motel on El Camino Real into 120 units of affordable housing
Source: County of Santa Clara
The County of Santa Clara and partners celebrated the groundbreaking on Tuesday of Clara Gardens, a new development that will bring 120 units of affordable housing to the city of Santa Clara.
The County and developer Resources for Community Development (RCD) are transforming a former hotel into affordable housing for low-income households as well as individuals who have experienced homelessness.
Supervisor Susan Ellenberg, left, talks to KJ Kaminski, director of the County Office of Supportive Housing, at the groundbreaking on Sept. 8.
The County’s investment in the property on El Camino Real began several years ago. In 2022, the County was awarded a $22.1 million Homekey grant from the State of California to purchase and renovate the Bella Vista Inn and turn it into temporary housing for people experiencing or at risk of homelessness. The County funded and operated the site as interim housing for more than two years in collaboration with RCD.
Now, the County and RCD are partnering to construct a seven-story, affordable housing development on the site, which is centrally located close to public transit, businesses and schools. The County is investing $18 million in the project, including $12 million from the $950 million Measure A Affordable Housing Bond, approved by county voters in 2016, and $6 million from No Place Like Home, a State program designed to create supportive housing for people who are experiencing homelessness or have mental health challenges.
“I have said time and time again that we cannot solve homelessness without creating real pathways to stability. Clara Gardens embodies that commitment,” said County Supervisor Susan Ellenberg, who represents District 4, which includes the city of Santa Clara. “By transforming a former interim-housing motel into permanent, dignified homes, we’re proving that people can safely and confidently leave homelessness when we invest in long-term solutions. This project is a testament to what collaborative, community-driven efforts can achieve for Santa Clara County residents.”
Construction began this summer on Clara Gardens, which embodies the County’s innovative and collaborative approach to addressing homelessness. The County has used the affordable housing bond to create unique financing partnerships that draw on a range of sources, from tax credits to private funds.
Construction on Clara Gardens, located on El Camino Real in Santa Clara, began this summer.
“Clara Gardens is an example of the far-reaching impact of the voter-approved 2016 Measure A Affordable Housing Bond,” said KJ Kaminski, director of the County Office of Supportive Housing. “Leveraging multiple funding sources, the County has been able to provide critically needed temporary housing and begin transforming this site into permanent, affordable housing for 120 new neighbors and their households, with access to supportive services, education, transportation and employment opportunities.”
The County operated the former motel as interim housing from 2023 to 2026, supporting 379 people in transitioning out of homelessness, 72% of whom have since moved into permanent housing. Nine of these individuals now live at RCD’s Sango Court affordable housing development in Milpitas.
“Clara Gardens shows what is possible when we refuse to let a vacant motel sit empty while people sleep outside,” said Dan Sawislak, executive director of Resources for Community Development (RCD). “For two years this site was home to people rebuilding their lives, and now we are breaking ground on the permanent, deeply affordable community it was always meant to become.”
Clara Gardens is located at 3550 El Camino Real in Santa Clara near two Santa Clara Valley Transportation Authority bus lines. It will feature a multipurpose community room with a full kitchen, on-site resident services, and indoor bicycle storage.
The 120-unit development will include:
- 64 units for households earning up to 30% of the area median income (AMI)
- 55 units for households earning up 50% of AMI
- 30 units of Permanent Supportive Housing for people transitioning out of homelessness, with on-site resident services designed to help them stabilize and stay housed
- One manager’s unit
The construction of Clara Gardens involves repurposing an old hotel and building a new seven-story building.
The County has allocated $715 million from the Measure A Affordable Housing Bond to 64 projects in 11 cities. The affordable housing bond is on track to help fund more than 6,700 new units of affordable housing, far surpassing the original estimate of 4,800 units.
Increasing the supply of affordable housing is part of the County’s comprehensive approach to ending homelessness. The County has also developed a robust Homelessness Prevention System that helps more than 2,600 families stay in their homes every year through flexible financial assistance, legal support and case management services. From 2020 to 2025, the County and partners helped more than 27,000 people find temporary housing and shelter, and they provided permanent housing for upward of 20,000 people.
Read the full article, here.
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