555 Kelly · Half Moon Bay · November 3 Ballot
Vote YES for 555 Kelly
Keeping the promise Half Moon Bay already made: 40 affordable apartments so local senior farmworkers can retire with dignity, close to the community they helped build — at no cost to taxpayers.
Summary
What it does
Measure Q asks voters to ratify the City Council's approval of a 99-year ground lease letting Mercy Housing California build 40 affordable apartments for senior farmworkers at 555 Kelly Avenue. The City keeps ownership of the land for the full term.
Why it matters
The State has already sued Half Moon Bay for failing to comply with State housing law, specifically asking the courts to mandate the approval of any affordable housing that the City rejects through a referendum. The State has never lost a case like this, and other cities have paid many millions in fines, penalties and legal expenses.
What a Yes vote means
Keeping a commitment the City already made to our farmworkers, avoiding very costly legal exposure, and doing the right thing by moving a fully reviewed, already-approved project forward.
Why Vote Yes
From the official ballot argument in favor of Measure Q:
Fiscally responsible — no cost to taxpayers
555 Kelly provides 40 affordable apartments for senior farmworkers at no cost to Half Moon Bay taxpayers. The City contributes land through a lease, not cash — Mercy Housing bears the development and operating costs.
The financial risk of a No vote is real
The State of California has already sued Half Moon Bay over affordable housing compliance. State law bars cities from rejecting housing like this even by referendum — courts can force approval anyway and fine the City up to $10,000 per unit, per month.
A No vote could trigger Builder's Remedy
Blocking the lease risks unchecked development being forced on Half Moon Bay and potentially diverts millions in taxpayer money from vital services toward legal fees, fines, and penalties.
Years of review — already approved
The project has been fully reviewed and approved after over four years of Council negotiation, multiple Planning Commission and Architectural Review meetings, and extensive public input. Measure Q asks voters to ratify that decision.
Honor Those Who Feed Our Community
For generations, farmworkers have nurtured the land and grown the food that makes the Coastside special. This is our chance to give back to those who have given so much.
Quick Facts
The building
- 5-story building: 3 studios, 34 one-bedroom, 3 two-bedroom apartments
- Community Room with commercial kitchen available to the public for events
- 18 on-site resident parking spaces in the project's own garage
- 28 reconfigured spaces at the Ted Adcock Community Center parking lot remain available for public use
- On-site property management and resident services from Mercy Housing California
Frequently Asked Questions
The Measure
What is Measure Q?
Measure Q asks Half Moon Bay voters to approve Ordinance No. 2026-01, authorizing a 99-year ground lease and related agreements between the City and Mercy Housing California to build a 40-unit affordable housing community for senior agricultural workers at 535–555 Kelly Avenue.
What does a "Yes" vote mean? What happens if it fails?
A "Yes" vote confirms the City Council's approval of the ground lease and lets the project move forward as planned. A "No" vote blocks the lease and stops the project — years of negotiation and secured funding could be lost or put at risk, and the City's exposure to state legal penalties, fines, and loss of grants would escalate.
Didn't the City Council already approve this? Why a referendum at all?
Yes — the Council spent over four years negotiating lease terms with Mercy Housing before approving it. After that approval, opponents gathered signatures to force a public vote rather than let the Council's decision stand, so the Council placed the question on the November 3 ballot for voters to decide directly. Measure Q asks voters to ratify the Council's decision.
Who pays for it — is this a burden on city taxpayers?
No. The project is funded through state and local affordable housing dollars, not local taxes, and has already secured over $25 million in outside funding, including a $2 million state grant. The City contributes land through a lease — not cash — and keeps ownership of the parcel for the full 99-year term while Mercy Housing bears the development and operating costs.
Is the City legally required to build affordable housing somewhere?
Yes. Like every California city, Half Moon Bay must plan for its share of regional housing needs (RHNA), including housing affordable to lower-income households. The City is facing real legal and financial exposure over slow progress on these obligations.
The Project Itself
Why is the building five stories high?
The original proposal was a four-story building of 40 studio apartments. After public input, Mercy Housing added one-bedroom units to better serve residents' needs, which required a fifth story to keep the total at 40 apartments. In response to further comment, the overall height was reduced and the fifth floor recessed so it isn't visible from Kelly Avenue — no views are blocked, and the building is only five feet taller than the original 4 story design.
Won't the project cause traffic problems on Kelly Avenue?
The gym across the street has hosted events with 1,300 attendees, and the church next door regularly hosts large events already — the Coastside has managed this scale of activity before.
With Ted Adcock Center and the middle school nearby, what about safety?
This is the same concern raised when the Coast House opened nearby as a temporary homeless shelter. No incidents have been reported since, and the same level of safety is expected here.
Why focus solely on senior farmworkers?
Housing needs exist across many groups in our community, but not proceeding with this project benefits no one — it simply leaves the site undeveloped while the need continues.
Shouldn't a different location be considered?
Kelly Avenue is closest to essential services for residents. Alternatives all have significant drawbacks: Beachwood can't be built on due to environmental concerns, the former Bay City Flowers site is privately owned, and the Metzgar Street parcel is earmarked for future affordable housing. The City already owns this property and can dedicate it to high-priority affordable housing now.
Wasn't this project pushed through without proper process?
555 Kelly has had more scrutiny than nearly any project in Half Moon Bay history: changes from the Architectural Review Committee, multiple Planning Commission meetings, numerous public meetings with stakeholders that led to changes in the apartment layout, a City-appointed Ad Hoc Committee that negotiated enhancements to the Community Room, and multiple Council study sessions.
Who's Behind This
Who is Mercy Housing?
Mercy Housing is a national nonprofit affordable housing developer and one of the largest in the country. Under the ground lease, they would own, build, and operate 555 Kelly — the City retains ownership of the land itself for the full 99-year term.
Who supports Measure Q?
Supporters include Mercy Housing, Ayudando Latinos a Soñar (ALAS), other local nonprofits, Coastside Faith Leaders, and the Half Moon Bay City Council, which approved the underlying agreements.
Where can I learn more?
See the Links section below for source documents from the City, the architects, and ALAS.
Links
Primary sources on the 555 Kelly project, for anyone who wants to dig deeper.
- City of Half Moon Bay — full project history and documents (opens in a new tab)
- VMWP — architectural design of the project (opens in a new tab)
- Housing Leadership Council of San Mateo County — project overview (opens in a new tab)
- ALAS — Ayudando Latinos a Soñar (opens in a new tab)
- ALAS / KRON4 — Half Moon Bay approves lease on affordable housing project (opens in a new tab)
Endorsements
“Half Moon Bay’s lifeblood is agriculture. Supporting the health and safety of its elderly farmworkers is part of that commitment. Yes on Q also helps avoid significant fines and other state sanctions that Half Moon Bay may have to endure if Q doesn’t pass. A wise choice is on the ballot. Please vote Yes on Q.”
“As a Councilmember who has seen the positive evolution of the 555 project for dignified housing for our senior farmworkers, I am proud to endorse Yes on Q so we as a City can go forward in showing our respect for our agricultural heritage.”
“I urge support for the Senior Farmworker Housing at 555 Kelly in Half Moon Bay for some very good reasons. First, it is sorely needed. Second, it will not be paid for by taxpayers of Half Moon Bay. Third, it will help the city meet its state required regional housing needs allocation (RHNA). In closing, since there is no state certified housing element, I have two key words: BUILDERS REMEDY!”
“I’m proud to stand in support of the 555 Kelly development and stand for the referendum. When completed this will be a project that the community is proud of. One that honors the hard work of our farm worker communities, but also brings more residents downtown and adds to the wonderful community that is Half Moon Bay.”
“Coastside Faith in Action, with members on the Coastside from Pacifica to Pescadero, represents many faith traditions. Together with our parent organization, Faith in Action Bay Area, we listen to the needs of marginalized people on the Coastside and work with them to create change. Many farmworkers older than 55 continue to work in the fields because they cannot afford to retire. These are the people 555 Kelly will serve. We urge you to vote Yes on Measure Q.”
How to Help
Donate
Support Measure Q with a secure online donation, or make checks payable to Yes on 555 Kelly and mail to Yes on 555 Kelly, PO Box 172, Half Moon Bay, CA 94019.
On check, please provide address and note employment status (e.g. retired or occupation/employer). Thank you for supporting our senior farmworkers!
Contributions to Yes on 555 Kelly are not tax deductible as charitable donations for federal or state income tax purposes.
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