Our media partner The Mercury News reports the startup Starcity wants to build 800 units in downtown San Jose.
RELATED: Buying home may be unattainable for majority of Bay Area residents, study finds
The rooms feature small private bedrooms.
Residents would share a living room and a kitchen with at least a dozen other units.
Rents could start at $800 and go all the way up to $2,500, which is well below the going rate for a one-bedroom apartment in San Jose.
RELATED: $117,000 a year considered 'low income' in some Bay Area counties, new report finds