San Jose residents got their first look Thursday at Google’s plans to transform what has been a run-down area into a vibrant downtown worthy of the 10th largest city in the nation and the capital of Silicon Valley.
It’s arguably the most exciting project in San Jose’s 241-year history — a tremendous opportunity to infuse good jobs and needed tax revenues into a city that has the worst jobs-housing ratio of any major U.S. city. But it also comes in the midst of an unprecedented housing and transportation crisis that will force Google and city leaders to navigate some challenging political issues.
The mega-project offers Google a rare opportunity to establish itself as a model corporate citizen. We hope the unveiling is a step toward fully engaging with the community and negotiating a deal with the city that is mutually beneficial.
It won’t be easy. The past 10-year boom has spawned the era of Big Tech, in which a handful of mega-companies are raking in never-seen-before revenues and expanding at record rates. The region’s wealth is the envy of the world. But the resulting income disparity, housing crunch and traffic nightmare have local politicians and labor leaders demanding that the corporate world contribute more to solving problems they argue have been caused by the tech titans.
Let’s be clear. Big Tech isn’t solely responsible for the housing and transportation crisis that plagues the Bay Area and beyond. California has been underinvesting in housing and basic infrastructure for more than a decade. But the crisis demands that everyone — business, government and taxpayers — do their fair share to solve the problems. That includes Big Tech firms.
Apple and the city of Cupertino didn’t help matters when they failed to provide substantial housing or transit for the massive $5 billion spaceship project.
In contrast, Google shows clear signs of wanting to live up to their responsibilities.
It’s important to remember that Google didn’t seek tax breaks from San Jose when it began talks for bringing 20,000 to 25,000 workers downtown. Google already has agreed to pay for transit improvements, infrastructure costs, construction taxes and a package of community benefits that will be negotiated at a later date.
As for housing, the plans Google revealed Thursday night included the creation of 3,000 to 5,000 homes, which is beyond what San Jose had anticipated for the area. It remains unclear how much housing is needed if the city wants to ensure that downtown has affordable housing for the everyday workers who shouldn’t be required to commute daily from distant suburbs.
The plans also include 6.5 million square feet of office space, 15 acres of parks and 500,000 square feet for retail, restaurants, arts, education and other cultural spaces that will make downtown an attractive place to shop, dine and gather on weeknights and weekends.
The unveiling of Google’s vision for its urban village represents a solid step forward in the effort to transform San Jose’s downtown. The next step is for Google to get crucial feedback from the community, followed by negotiations that we hope will result in a final City Council vote in the fall of 2020. Let the negotiations begin.