Pretty messed up, as this report from the Wall Street Journal shows. When someone proposed building a new football stadium in Santa Clara, San Jose took "the rare step of publicly opposing the project, saying it would add far too many jobs, exacerbating the region's housing shortage." As Vox points out:
The really strange thing is that the city's officials aren't being irrational. The Silicon Valley region has added about 385,000 new jobs over the past five years and approved a bit fewer than 60,000 housing units. That means it really is in an upside-down economic universe where creating new jobs can be construed as bad for many existing residents of the area.