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After a two-year-long push and pull, the San Benito County Planning Commission denied the 141 single-family-unit project known as Lands of Lee, proposed for Fairview Road in Hollister. One of the main reasons behind the rejection was the inclusion of junior accessible dwelling units (JADU), which are separate residences of no more than 500 square feet within the walls of a single-family unit.
“I just can’t see someone living in just a small little area,” said Commissioner Celeste Toledo-Bocanegra at a special meeting on Oct. 23.
The decision goes against the growing support of JADUs and ADUs—which are bigger than JADUs and separate from the main housing unit—by the state of California as a way of alleviating the housing crisis. In San Benito County, homelessness has grown 73% in the past two years, and most of the unhoused population say they can’t afford the rising costs of housing.
This is not the first time county officials have doubted the potential benefits of the Lands of Lee project. The Planning Commission first rejected it in November 2022, stating concern about the impacts it would have on traffic and the surrounding neighborhoods. The decision was backed by the San Benito County Board of Supervisors, which later denied the project in February 2023, following developer Bill Lee’s appeal.
With support from the county, Lee revised the project, addressed some of the issues, and submitted a new environmental impact report, which documents the project’s possible effects on the community. The new plan contained significant changes. It would cover 30 acres instead of 27; had more affordable housing; was further from Leal Vineyards; and included an agreement between Sunnyslope County Water District and the city of Hollister to treat the project’s wastewater.
The revised project was discussed on Sept. 11 when the commissioners suggested some additional changes; a final decision was postponed until Oct. 23.
At the Oct. 23 meeting, Arielle Goodspeed, the county’s principal planner, and Lee presented the latest modifications to the project: a revision of the affordable housing plan; road improvements; bike and pedestrian connectivity; and a “drop” tax which constrains the developer from buying materials outside of San Benito County.
The discussion centered on the 15 to 30 ADUs the county and the developer proposed, which would be deed-restricted for low-income households for 55 years.
“It still baffles me that you buy a home and you’re not owning and you’re responsible for renting. If something bad happens, you get a horrible tenant that destroys the place, who’s liable for that?” said Commissioner Vincent Ringheden.
“It seems odd, and I’ll have to kind of wrap my mind around the fact that you’re going to sell a house in the backyard portion of it that you have no control over.”
His position was supported by some members of the public.
“It seems like a taking,” said county resident Maureen Nelson. “It seems like I own this lot, but part of it isn’t mine. It belongs to the county’s use, and for 55 years.”
The inclusion of ADUs, Lee said, was the result of trying to mitigate the project’s impact on traffic, which is estimated with the vehicle miles traveled (VMT) measure. ADUs are believed to reduce traffic because, according to the California Department of Housing and Community Development, car ownership rates among ADU occupants are lower than in single-family homes. “I was asked two years ago by the board to eliminate the VMT,” said Lee. “And the way that we were able to eliminate the VMT was by bringing in the low-income restricted ADUs.”
In the last eight years, California has passed a series of bills aiming to boost the construction of ADUs, as it considers them “an effective option for adding much-needed housing.” Just last month, Gov. Gavin Newsom signed three bills—AB 2533, SB 1211, and SB 1077—to facilitate building ADUs and JADUs.
San Benito County also deems ADUs a viable option to increase housing. According to the 2023-2031 Housing Element, ADUs and JADUs “can be a source of affordable housing with limited impact on existing neighborhoods and public infrastructure.” The county said it “will support and accommodate” the construction of at least 219 ADUs by 2031.
“You’re in the hot seat right now,” said Michael Durkee, Lee’s attorney. “You have decided that ADUs are one of your ways out to meet your state responsibilities and, at the very same time, the commission charged with leading planning in this county doesn’t like them. Why did you put them in the draft that you’re telling the state you’re going to do if, when the rubber hits the road, you have no interest in them at all?”
Some members of the public supported the Lands of Lee project and its ADUs.
“Mr. Lee has been more than gracious and it has been a lot of resources that has been spent on this,” said Elia Salinas. “The Santana Ranch homes also have these ADUs already built into them with a small garage, and some of the folks out there are not complaining that they’re small.”
Commissioners Robert Scagliotti and Robert Gibson shared some concerns about ADUs, but voted to approve the project with 15 just JADUs plus nine duet homes, deed-restricted to moderate-income households for 30 years.
“The state is watching closely. We haven’t approved the development in four years and our Housing Element is not certified,” Gibson said. “So it leaves us in a prickly position. I would say that Sacramento almost forced us to approve this, and it’s not a good feeling.”
Despite Gibson’s and Scagliotti’s support, the Lands of Lee project was denied by a 3-2 vote.
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