Palo Alto Hotel Converted Into Low-Income Housing

PALO ALTO (CBS SF) -- City leaders on the Peninsula are saying "Welcome to the Hotel California" to people in need of affordable housing in Palo Alto as a 20-unit converted complex prepared to open its doors for residents on Monday.

Peninsula residents Alex Dryals isn't asking for much.

"I'm just looking for an apartment where two people can live; my wife and myself," said Dryals.

But in pricy Palo Alto where renting a one-bedroom costs around $2,000 a month, affording a home can seem impossible.

"It's difficult, that's for sure," said Dryals. "I've been waiting about three years."

He's thought about living somewhere else, but he grew up in Palo Alto and is hoping to stay here.

Now an old converted hotel at the corner of Ash Street and California Avenue may allow Dryals the chance to grow old in the city.

A faith-based charity which has chosen to remain anonymous is converting the Hotel California into affordable apartments.

The non-profit organization Palo Alto Housing is overseeing the conversion of 20 rooms into apartments.

"20 units doesn't sound like a lot, but it will make a difference to people that are losing their homes or traveling hours and hours to work here," said Palo Alto Housing President and CEO Candice Gonzalez.

To qualify for one of these homes, residents must either live or work in Palo Alto and earn between $10,000 and $40,000 a year. Rent prices are based on a sliding income-based scale from $439 a month on the low end to $880 on the high.

That is a price Dryals thinks he can afford for something every human deserves.

"A place to put my head," he said.

Applications will be processed on a first come, first serve basis. People will start moving into their new homes later this month. For more information on the apartments available, interested parties can email Palo Alto Housing at info@pah.community.