Cupertino renters may get a reprieve from losing their homes

Cupertino residents facing displacement because of rising costs and expiring contracts may find a reprieve through new city policy.

The Cupertino Housing Commission unanimously recommended implementing anti-displacement policies last month to help residents living in 114 affordable homes where rents will likely skyrocket to market-rate value by 2040. The policies include a push to prioritize residents facing displacement, largely due to expiring deed restrictions, on the city’s affordable housing waitlist. The policy could require private property owners to pay relocation assistance. This could range from $7,149 to $13,275, about three months of Santa Clara County fair market rent as of 2024 based on home size.

The first contract expires in July 2026, with more to follow, leaving property owners of seven apartment complexes free to hike rents. The complexes include Aviare, Arioso, Forge Homestead and Cupertino Park Center apartments. It also includes and The Biltmore, The Markham and The Hamptons. City staff still needs to iron out the policies, which if approved by the City Council could be implemented by June.

Housing Commission Chair Connie Cunningham said since she joined the commission, anti-displacement policies have been a goal.

“(We) certainly hope that the council feels the same way, understands that the workers in our community need to live in our city and we need to continue to have our robust, different kinds of housing for different levels of income,” she told San José Spotlight.

To qualify for assistance under the potential policies, a resident must be a tenant facing a looming expiration within 12 months.

But these policies could still lead to displacement despite the relief promised. There is no guarantee residents will find affordable housing or come off the waitlist in time. Even though they’d be near the top of the list, they’re competing with other prioritized groups including Cupertino workers, public employees and residents.

Cupertino first formed its affordable housing program in 1992, before the city could impose 99-year or lifetime property deed restrictions. The affected properties don’t fall into that window.

A spokesperson for PSS Ventures, LLC, which owns Aviare Apartments, said the company is giving tenants more time before their restrictions expire in 2026 by pushing it out to 2028.

“We are giving the required three years’ notice as per state law and we are extending the program by approximately 1.5 years beyond our agreement with the city of Cupertino,” the spokesperson told San José Spotlight.

Alison Cingolani, SV@Home director of policy, said she’s pleased the city is thinking about displacement, but said rent stabilization is a more permanent solution. Neighboring San Jose has a rent stabilization policy, which caps the amount rent can increase each year.

Cingolani said relocation assistance helps displaced residents avoid homelessness, but it doesn’t keep them in Cupertino.

“These are people who are established members of the Cupertino community. They probably work in Cupertino, they are very likely raising families or have close ties to the community there in Cupertino,” she told San José Spotlight. “It would be kind of a weakening of the social fabric of the community for these folks to be pushed out.”

Cupertino officials identified anti-displacement measures in its eight-year, state-mandated housing plan. But Cunningham said building affordable housing as a long-term solution hasn’t been a priority in years past, even though the city is losing cheaper homes.

Cupertino’s largest housing project, The Rise, is in beginning stages of construction on the former Vallco Mall site after about 10 years of delays. The development promises 890 affordable homes.

Cunningham said the housing plan shows the city is moving in the right direction.

“I would be very heartened indeed to see the city step out and support below-market-rate housing,” she said. “Displacement, that’s just the worst — to take people who live here and make it impossible for them to live here anymore.”

Contact Annalise Freimarck at [email protected] or follow @annalise_ellen on X.