Hillsdale and David Bohannon

The Depression stopped many banks from making construction loans. The houses were built with few frills and on a low budget. No mortgage was taken out. The Depression made lot buyers work with a pay-as-you-go attitude as money was tight and very little was floating around. A banker was the last resort for a homeowner. This attitude fostered slow development of the cities on the Peninsula.

David Bohannon was to change all of this. In the 1930s, the federal government began backing and guaranteeing home loans through the Federal Housing Administration. Bohannon began constructing houses in the early 1930s. He purchased a 540-acre site, called Belle Haven, in what is now East Palo Alto and began the first of 1,305 units for low- to moderate-income families. Costs of these units were around $6,000.

He then purchased the St. Cyr estate in the San Mateo area in the late ’30s and set his sights on a project that was to become the pattern of development on the vast vacant properties still available on the Peninsula.

The Burleigh H. Murray property south of San Mateo was called Beresford. Bohannon acquired 848 acres of the Murray property in 1940 and began planning its development. It called for monumental scales of construction unheard of at the time. He was to build a planned community of 5,000 low, rambling ranch-style houses priced between $5,000 and $6,000, well within the range of the average worker. These would be backed by the FHA, ensuring him of money to continue developing more homes. In addition to the houses, a shopping complex would be developed to supply the homeowners with whatever was needed. The shopping center was to be oriented for the increased car traffic that this new generation of buyers demanded.

Hillsdale No. 1 was started on Hacienda near 31st Avenue and contained 84 houses. Eight were sold immediately. On Oct. 4, 1941, a 15,000-square-foot Andrew Williams store was begun to serve the community developing west of El Camino Real. Due to brisk sales, another 100 homes had been begun earlier in 1941.

World War II began in December 1941 and public construction was almost completely halted. Bohannon began developing houses for the war effort. Thousands of units were needed due to the Bay defense plants, and Bohannon built houses in Napa County, Alameda County, Richmond and other cities. Three thousand homes were built by him during the war. Afterward, he announced Hillsdale No. 3 with another 300 houses would be started immediately. The 274-acre K.O. Grady Laurel Creek Stock Farm — near the county medical center on West 30th Avenue — was purchased in 1946. Hillsdale No. 4, extending north to 27th Avenue and west to Monterey Street, was begun in January 1947, followed by Nos. 5 and 6. The price had increased considerably, now in the $12,000 to $20,000 range. In addition to the new homes, more than 500 garden-style apartments were built on both sides of Hillsdale Boulevard.

To complete his overall plan for his development, a $600,000 store on his 42-acre site at Hillsdale was begun. The Mayfair Market (originally Andrew Williams) was remodeled and expanded, and more stores were begun to complement this supermarket. By 1970, the Hillsdale Shopping Center had more than 150 stores and was considered the finest shopping center on the Peninsula.

Rediscovering the Peninsula runs every weekend. It is compiled through our archives created by Jim Clifford and the late Darold Fredricks.