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The largest affordable housing project in San Mateo County history received key financial support from the Board of Supervisors on Tuesday, August 27.
By unanimous vote, supervisors approved a $14 million loan that will spur construction at Midway Village, located near Cow Palace in Daly City's Bayshore neighborhood.
“This is probably one of the most transformative projects in terms of housing in San Mateo County ever,” said board Vice President David Canepa, whose District 5 includes Midway Village. “We’re looking at building 555 units. This is incredible.”
The County, through the Housing Authority, is working with partners to transform and expand Midway Village into a neighborhood that showcases affordable housing in the modern era.
The new housing will also help achieve the goal of “zero functional homelessness,” meaning the social services system can prevent homelessness whenever possible and ensure that when it does occur, it is infrequent, brief and one-time, the county said in a statement.
“This area in particular needs a lot of help,” Canepa said, noting that the area has lower median incomes than most other areas on the peninsula. “We’ve talked about the need for affordable housing. This is really going to do that.”
Facilities will include a daycare center, a community garden, an exercise room, a meeting space and outdoor recreation areas.
Local officials say residents will include former foster youth, who will be offered a variety of support services, as well as individuals and families and people who previously experienced homelessness.
The original Midway Village, with 150 units, opened in the mid-1970s to provide housing for low-income individuals and families on the site of a former gasworks and World War II Navy housing. Redevelopment is taking place in stages.
Led by nonprofit housing developer MidPen Housing, construction of Phase 1 was completed in May 2024, providing 147 affordable housing units and a parking garage that will serve Phase 1 and Phase 2 residents. Current Midway Village residents have priority for the new housing.
The approval of the loan on Tuesday will kick off the development of Phase 2, which includes a total of 111 units ranging from studios to four bedrooms along with two additional units for on-site managers.
“We applaud San Mateo County for its critical commitment to the final piece of funding for Phase 2 of Midway Village, which will bring 111 affordable homes for families and a new child care center to Daly City,” said Matthew O. Franklin, president and CEO of MidPen Housing.
“We welcomed 147 families and individuals to Phase 1 this year, and with Phase 2 starting in early 2025, we are excited to continue moving toward a total of 555 new affordable homes across four phases,” he added.
Qualified applicants must meet certain income and other requirements. Most units, for example, are reserved for individuals or families earning between 15 and 60 percent of the area median income.
Of the 111 units, 29 are reserved for clients of the county's Behavioral Health and Recovery Services, which offers supportive services such as case management and counseling.
All 150 existing Midway Village households are eligible to live in Phase 1 or Phase 2 apartments without having to undergo temporary relocation.
Phases 3 and 4 will provide additional affordable housing, including some homeownership opportunities. Phase 5 will provide a large public park with playing fields and play structures operated by the City of Daly City.
"This field will give access to a community that does not have a field, whether it be for soccer or American football," said Canepa.
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