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Council approves rezoning at 3401 N. McClure Road for 38 affordable for‑sale homes
Summary
The council voted unanimously to rezone 3401 N. McClure Road from highway commercial to low‑density residential to allow a 38‑home affordable for‑sale development led by Self Help Enterprises, funded by a mix of local and state sources and subject to covenants limiting resale to households at or below 80% of area median income.
The Modesto City Council on Nov. 25 approved a rezone and related CEQA determination for a 38‑unit affordable for‑sale housing development at 3401 North McClure Road.
Jessica Hill, director of community and economic development, told the council the project, proposed by Self Help Enterprises in partnership with Stanislaus Equity Partners, would build 38 homes on about 4.15 acres. The total project cost is about $13 million and the first 17 homes are expected to be completed with assistance from a $500,000 ARPA allocation to the city’s affordable housing trust, roughly $4.2 million in CalHome financing and about $7 million from new market tax credits. Home sizes are expected around 1,100–1,400 square feet, with anticipated sale prices of about $380,000–$400,000.
Hill said all homes will be affordable to households earning no more than 80% of area median income and that deed restrictions and covenants would be recorded to preserve affordability. "There is a covenant that will be added to the property to ensure that it stays with someone who is under 80% of the income," Hill said.
The project requested three state bonus‑density concessions for a 100%‑affordable development: reduced minimum lot width, reduced minimum lot area (to a roughly 2,900 sq ft minimum), and a reduction in off‑street parking from two spaces per unit to one. Staff said these concessions align with other recent affordable developments in the city.
Council members asked standard eligibility and resale questions. Vice Mayor Bavaro asked whether owners who later exceed income limits would be forced to sell; staff said covenants are designed to preserve initial affordability but did not indicate an automatic eviction or forced sale. A resident in the public hearing asked whether homeowners could operate a small home‑based business; staff replied they would follow existing Modesto home‑business licensing rules.
The council adopted the mitigated negative declaration and voted to introduce and waive first reading of the zoning ordinance amendment; both motions carried unanimously.
