California Department of Housing and Community Development Awards $220 Million for Affordable Multifamily Housing Developments
Affordable Housing Project: Sugar Pine
In the ongoing effort to address California’s housing affordability and homelessness challenges, the California Department of Housing and Community Development (HCD) today announced $220 million in awards from the Multifamily Housing Program (MHP) to preserve and build new affordable homes.
The announced funding will assist with new construction of affordable homes and acquisition, rehabilitation, and preservation of permanent and transitional rental housing for lower-income households.
“For years, California has been underbuilding homes, especially multifamily housing. This lack of supply and skyrocketing rents and home prices have created heavy, overwhelming cost burdens on families,” HCD Director Gustavo Velasquez said. “The funding announced today will hopefully kick start a variety of affordable projects that will help keep roofs over the heads of vulnerable California families.”
The Department has awarded a total of 20 projects located in 12 counties, including:
- Seven projects located in Los Angeles County.
- One project located in San Diego County.
- Two projects located in El Dorado County.
- One project located in Nevada County.
- Three projects located in the Bay Area.
The Department has awarded its first MHP Tribal entity project to Burbank Housing Development Corporation and Kashia Band of Pomo Indians of the Stewarts Point Rancheria, which was located in Sonoma County.
The two El Dorado County projects noted above are located in South Lake Tahoe. These excess site projects meet the requirements set forth in Governor Newsom’s Executive Order N-06-19.
The Multifamily Housing Program awards are funded from Proposition 1 — the Veterans and Affordable Housing Bond Act of 2018 — which California voters approved on November 6, 2018, authorizing bonds providing $1.5 billion in new funding for housing. The Department anticipates two additional rounds of MHP awards before Proposition 1 funding is exhausted.
An additional $200 million in available funding for the Multifamily Housing Program will be released in March as part of the AB434 Super NOFA, with awards announced sometime in late 2022.
For more information, please visit the Multifamily Housing Program webpage.