WATSONVILLE, CA, August 11, 2025—State, county, and city leaders joined a host of partners and new residents today to celebrate the grand opening of Sparrow Terrace, a development by nonprofit MidPen Housing.
Located at 141 Miles Lane, Sparrow Terrace offers 72 affordable apartment homes for people with incomes of 30%-60% Area Median Income (currently $38,040-$108,660 depending on household size). Thirty-five homes are reserved for farmworker families and six homes are set aside for individuals who have experienced homelessness. Forty-three Project-Based Vouchers from the Housing Authority of the County of Santa Cruz allow the development to serve residents at even lower income levels.
“These new homes represent new opportunities for Central Coast families, especially our farmworkers,” said California Assembly Speaker Robert Rivas (D-Salinas). “It’s a community where people can establish roots and thrive, and is a powerful reminder of what is possible when people work together to build a better future.”
The property’s six buildings, including a community building with full kitchen and learning center, feature a garden-style design with green spaces, garden boxes, a playground, solar photovoltaic system, and a revitalized wetlands habitat. MidPen Property Management professionally manages the community, and MidPen Resident Services provides free, onsite services such as employment preparation, exercise and nutrition classes, and connections to community resources.
“We’re proud to welcome 72 families home to Sparrow Terrace, including farmworkers who are essential to the region’s economy,” said Matthew O. Franklin, President and CEO of MidPen Housing. “We applaud all of our local, state, and private-sector partners for their vision and commitment to bringing much-needed affordable housing to southern Santa Cruz County.”
“As the Medi-Cal managed care health plan serving approximately one-third of all Santa Cruz residents, Central California Alliance for Health (the Alliance) understands housing is essential in overall health and well-being, especially for our members,” said Michael Schrader, Chief Executive Officer at the Alliance. “This innovative development pairs supportive housing with high quality health care services–helping individuals regain stability and move towards healthier lives–bringing us one step closer to our shared vision: Healthy People, Healthy Communities.”
Financing for the development was provided through public and private sources including the City of Watsonville; the Housing Authority of the County of Santa Cruz; the California Department of Housing and Community Development’s Joe Serna, Jr. Farmworker Housing and No Place Like Home grant programs; Wells Fargo; the California Community Reinvestment Corporation; Central California Alliance for Health; and Central Coast Community Energy. The architects are WR&D Architects (entitlements) and LPMD Architects (construction), and the general contractor is L&D Construction Co., Inc.
Learn more about MidPen Housing at www.midpen-housing.org.