Los Angelean here: I make pretty good money as a software engineer and I have a shower and 350 beautiful square feet. I don't pay a huge amount, comparatively speaking, but that's because I'd rather spend my money servicing my student loans and other debts and making sure my retirement is being taken care of. The "luxury" apartments don't appeal to me all that much.. I mean, they're nice, but not worth spending half or greater my income on it (I mean, what's the point of making a lot of money if you're just spending it right back out on a fucking apartment?) and I certainly don't want roomates to bring the cost down. If I could find a place to buy for around the same that I pay in rent, I'd definitely consider it.
I've looked at moving up to SFO for the tech industry. My friends are making extremely nice paychecks up there, but all of them bemoan the fact that even with those generous paychecks, housing eats up a huge amount of it, especially if you've got kids and the like. So, if you have to make $200k to live like you make $150k in Los Angeles, to live like you make $100k in, I dunno, Denver, it's a very hard decision. The benefit of SFO is that if you become unemployed in the tech industry, currently you don't have to wait very long to get another job. Los Angeles tech is a little different, and living in Denver, I'm sure the employment opportunities are even more limited.
Hey Google X: Why don't you work on building the Google House: Affordable housing for middle class people? Update Frank Lloyd Wright's Usonian Automatic with modern building techniques and modern building codes (steel and concrete are still cheap, add some SIPS and maybe ICFs for modern versions), make the whole house "network aware", put a Tesla Charger in the carport, and subsidize the cost of building or buying and just collect the data. I'm sure people would love it. Build a whole subdivision of those in Mountain View with a Google Apartment Complex done the same way, open it up to more than just Google employees, and maybe you'll find it easier to get approval?