San Antonio Council Member Teri Castillo Unveils Developer-friendly Affordable Housing Vision

A City Council member has introduced a strategic plan to incentivize the development of affordable housing in San Antonio. This initiative could potentially serve as a blueprint for future urban development. The plan, presented by Councilmember Teri Castillo, focuses on three main areas: downtown San Antonio, transit links, and higher education institutions. The San Antonio Business Journal has highlighted Castillo's emphasis on these hubs as pivotal to the city's growth.

"Stay SA" Initiative

Named “Stay SA,” the plan underscores the aim to foster urban growth while maintaining affordability for San Antonio's residents. The initiative seeks to streamline processes and cut costs associated with building affordable housing, thereby encouraging developers to invest in such projects.

Key Components of the Plan

The proposal consists of three key elements designed to offer various incentives for affordable housing projects.

The first component is the Affordability Unlocked Bonus. Inspired by a similar initiative in Austin, this element suggests lifting certain restrictions on mixed-income or exclusively affordable housing developments, facilitating smoother project approvals and development.

The second component is the Equitable Transit-Oriented Development (eTOD) Bonus. This aspect focuses on enhancing areas around VIA rapid-transit stations. By promoting development near these stations, projects become more attractive for federal grants, especially those that include rental units priced at 60% or less of the area median income within a half-mile radius of transit stops.

The third component is the University Neighborhood Density Bonus, targeting the vicinity of San Antonio’s higher education institutions. This bonus encourages residential developments near campuses such as the University of Texas-San Antonio, St. Mary’s University, and the Baptist University of the Americas. This strategy aims to attract students, faculty, and staff by offering affordable housing options close to educational facilities.

Supporting Development in Key Areas

The focus on transit-linked developments could significantly enhance federal grant opportunities, as projects integrating affordable housing near transit stations receive priority from the Federal Transit Administration. Additionally, developments near universities could bolster the local housing market by providing affordable living options for the academic community.

Collaboration with Local Entities

Councilmember Castillo has also advocated for city staff to design a program targeting the downtown Public Improvement District. Managed by the nonprofit organization Centro San Antonio, this area holds potential for innovative affordable housing solutions. Castillo’s proposal is currently under consideration by her peers on the Governance Committee, who will evaluate its viability and potential impact on the city’s development landscape.