Cupertino

Cupertino’s Demographics

Housing Types in Cupertino

It is important to have a variety of housing types to meet the needs of a community today and in the future. In 2020, 57.1% of homes in Cupertino were single family detached (generally the most expensive type of home), 12.2% were single family attached, 9.6% were small multifamily (2-4 units), and 21.1% were medium or large multifamily (5+ units). Between 2010 and 2020, the number of multi-family units increased more than single-family units. In Cupertino, the share of the housing stock that is detached single family homes is higher than the average of other jurisdictions in the region.
Source: California Department of Finance, Table E-5

Jobs & Housing in Cupertino

Jobs: 51,486
Employed Residents per Household: 1.34
Jobs per Employed Resident: 1.83
Jobs-Housing Balance Ratio: 2.45
Source: ACS 2019 5 year estimates

Note: Jobs-Housing Balance is a measurement used by planners that assumes that a balanced community is one where people can both live and work. This ratio compares the number of jobs in a community to the number of housing units.

Jobs-Housing Fit: 11.7 low wage jobs per low-cost rental unit
Source: Jobs from LEHD Origin-Destination Employment Statistics 2019; households from U.S. Census, American Community Survey B25056, B25061

Note: Jobs-Housing Fit measures the mismatch between wages and housing affordability as the ratio of low-wage jobs (less than $3,333/month) to the number of low-cost rental units (less than $1,500/month). In Campbell, there are almost 12 low-wage workers competing for each affordable home.

Note: Current standards measure housing cost in relation to gross household income: households spending more than 30 percent of their income, including utilities, are generally considered to be overpaying or “cost burdened.” Severe cost burden occurs when households pay 50 percent or more of their gross income for housing. The impact of high housing costs falls disproportionately on extremely low-, very low-, and low-income households, especially renters. While some higher-income households may choose to spend greater portions of their income for housing, the cost burden for lower-income households reflects choices limited by a lack of a sufficient supply of housing affordable to these households.

Homelessness in Cupertino

2022 Unhoused people: 102 people, all unsheltered (-36% from 2019)

2019 Unhoused people: 159 people, all unsheltered (+25% from 2017)
Source: 2019 and 2022 Homeless Point In Time Count

Overcrowding in Cupertino

Total Rental Homes: 8,345
Overcrowded Homes: 739
Severely Overcrowded Homes: 317
Percent of Rental Homes, Overcrowded: 13%
Source: ACS 2019 5 year estimates

• The U.S. Census defines an overcrowded unit as one occupied by 1.01 persons or more per room (excluding bathrooms and kitchens). Units with more than 1.5 persons per room are considered severely overcrowded.

Note: Overcrowding increases health and safety concerns and stresses the condition of the housing stock and infrastructure. Overcrowding is strongly related to household size (particularly for large and very-large households) and the availability of suitably sized housing. Overcrowding impacts both owners and renters; however, renters are generally more significantly impacted. 

2014-2022 Regional Housing Needs Allocation 

Every eight years, the Regional Housing Needs Allocation (RHNA) process is used to assign each city and county in California their “fair share” of new housing units to build. These units of housing are intended to accommodate existing need and projected growth in the region. The RHNA process is critical because it requires all cities and counties to plan for the housing needs of their residents, regardless of income, in an effort to plan for future growth and ease the Bay Area’s acute housing crisis. 

Many cities and counties regularly fall short of their RHNA targets, as the Bay Area’s housing crisis continues to grow. Each spring, jurisdictions are required to provide an Annual Progress Report to show how effective their efforts have been in achieving housing development targets by income level. The table below shows Cupertino’s progress.

Permitting progress as of December 2022. Source: HCD 2022 Housing Element Implementation and APR Data Dashboard.  

2023-2031 RHNA Allocation

In January of 2023, about a year after local jurisdictions are given their final RHNA numbers, the local planning process will culminate in the Housing Element. This is a pivotal document that serves as a Constitution for land use planning and accounts for how and where the jurisdiction will accommodate allocated housing units. It must identify adequate sites for the full RHNA and all types of housing, including emergency shelters, rental housing, and ownership housing, and commit to policies and programs aimed at removing barriers to housing production, addressing racial and economic segregation and disparities in access to resources, providing for the unique housing needs of residents in protected categories, and protecting residents vulnerable to displacement.

Source: ABAG Approved Final RHNA Plan: San Francisco Bay Area, 2023-2031 (Dec 2021)

Current Affordable Housing Stock

SOURCE: Units reported in the Housing Element Annual Performance Report that received building permits in 2019 were added to the unit counts in the previously reported 2018 Base Year table.  This methodology necessarily means that any ELI units, if any, are included in the VLI category since that is how HCD has required production data to be reported.  The RHNA data on new units relies on self-reporting by jurisdiction and can include units for which building permits were issued that never got built.  The percentage of the total housing stock in the community is based the California Department of Finance’s Table E-5. See more information on our affordable housing assets page.

Jobs & Housing Development Pipeline

As of January 2022, Cupertino has 2.39 jobs in the development pipeline for every 1 housing unit in the development pipeline.

Pipeline as of January 2022. Information reported from City of Cupertino.  The employment projections are derived by applying square-footage-per-employee factors to building floor areas by four building types: 250 square feet for office/R&D; 1,500 feet for hotels; 550 feet for retail/restaurant; and 2,500 feet for manufacturing/warehouse. All are figures applied to a building’s gross square footage.

Accessory Dwelling Units (ADUs)

All California cities and counties are mandated to permit ADUs and JADUs according to state law. The Legislature further updated ADU and JADU law effective January 1, 2021 to clarify and improve various provisions in order to promote the development of ADUs and junior accessory dwelling units (JADUs). These include allowing ADUs and JADUs to be built concurrently with a single-family dwelling, opening areas where ADUs can be created to include all zoning districts that allow single-family and multifamily uses, modifying fees from utilities such as special districts and water corporations, limited exemptions or reductions in impact fees, and reduced parking requirements. Please see the Accessory Dwelling Unit Handbook (PDF) for more information for local government bodies and homeowners interested in adding an ADU or JADU to their property. Our partner, the Housing Trust of Silicon Valley has kicked-off a major initiative, Small Homes, Big Impact to support ADU development throughout Santa Clara County, including outreach and education, and potential new financing mechanisms.

Source: HCD 2022 Housing Element Implementation and APR Data Dashboard.  

Affordable Housing Policies

Housing Element Policies

The Housing Element of Cupertino’s General Plan identifies several policies that encourage affordable housing development:

• Residential Development Standards.  Flexibility is allowed for floor area ratios, smaller lot sizes lot widths, and setbacks, particularly for higher density and attached housing projects.
• Higher Densities.  Residential developments can exceed the planned maximum density in the case of special needs housing so long as neighborhood street capacities are not exceeded and there is no negative impact on neighborhood character.
• Funding Applications.  Cupertino will partner with and/or support affordable housing developers’ applications for funding at the regional, state and federal levels.
• Parking Ratios.  Reductions in required on-site parking can be made, on a case-by-case basis.

Housing Mitigation Program

Cupertino has a Residential Housing Mitigation Program that requires for-sale residential development to include 20 percent of the total units be affordable to median (100% AMI) and moderate (120% AMI) income households, of which the total units are broken down into 50% of units for median income and 50% of units for moderate income households. Similarly, Below Market Rate rental units are made available to low income (80% AMI) and very-low income (50% AMI) households.

Qualifying projects may also pay an in-lieu fee rather than build inclusionary units. Housing Mitigation in-lieu fees for developments are as follows, effective July 3, 2021:

For more information on Cupertino’s affordable housing impact fee policies for both residential and non-residential development, visit these resources:

• Resolution 20.055: A Resolution of the Cupertino City Council Amending the Below Market Rate Housing Mitigation Procedures Manual. May 19, 2020
• Economic Feasibility Study, prepared for the City by Strategic Economics. May 19, 2020
• Policy and Procedures Manual for Administering Deed Restricted Affordable Housing Units (BMR Manual). March 20, 2018
• Nexus Studies: “City of Cupertino Residential Below Market Rate Housing Nexus Analysis” and “City of Cupertino Non-Residential Jobs-Housing Nexus Analysis” Keyser Marston Associates, Inc., April, 2015.

Additional Resources

• City of Cupertino Planning Department
• City of Cupertino Housing Department
• City of Cupertino 2015-2023 Housing Element
• City of Cupertino Affordable Housing Impact Fee Ordinance
• City of Cupertino Accessory Dwelling Units Regulations
• Vallco Special Area Specific Plan
• City of Cupertino BMR (Below Market Rate) For-Sale Housing Program
• City of Cupertino Deed-Restricted Rental Housing Program