Facebook to build 1,500 homes in California

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Facebook has announced new plans to build 1,500 houses in California, as they attempt to combat the housing shortage.

The social media giant will be creating a purpose-built village, complete with swimming pools and supermarkets, near its base in California’s Menlo Park.

The plans, which have been published online, show a large space with parks and homes.

The Silicon Valley area has been completely transformed by the likes of Google and Facebook over the last decade or so, with house prices rising dramatically due to the influx of workers. Unfortunately, this has led to limited housing and has increased the pressure placed in transport routes.

Locals believe that the changes created by these companies have the made the area completely unaffordable.

“The problem with Silicon Valley is you don’t have enough supply to keep up with the demand,” said real estate economist Sam Khater.

John Tenanes, Facebook’s vice president for global facilities, says the plan for homes is part of the social network’s vision “to create a neighbourhood centre that provides long-needed community services”.

Mr Tenanes, in a statement released online, said the project would be designed and planned in conjunction with community leaders, and confirmed that they plan to price 15 per cent of the homes below their market value.

It was suggested that the transport issues had been caused, or at least exacerbated, by a regional “failure” to invest in local infrastructure.

Previously, Facebook had tried to address the problem by offering transportation and incentives for people moving closer to the office.