Governor Invests $736 Million to Build on Successes of Homekey in Addressing Homelessness Statewide

Initial Round 3 Grants of $179.7 Million to Create 710 Homes in Seven Counties
October 10, 2023
$179.7 million will fund nine projects in seven California communities creating 710 new homes.

Homekey Round 3


Sacramento, CA —  

Governor Gavin Newsom today announced the first grant awards from Round 3 of Homekey, the Administration’s initiative to help jurisdictions rapidly expand availability of permanent or interim housing for individuals and families experiencing, or at risk of, homelessness.

Of $736 million in Homekey grants available in Round 3, today’s $179.7 million in awards will fund nine projects in seven communities up and down the state, creating 710 new homes.

Originally launched months into the COVID-19 pandemic as an extension of Project Roomkey – to eliminate the need for congregate shelters and curb the spread of disease among a particularly vulnerable group of Californians – Homekey funded 12,774 new homes through its first two rounds. Round 3 will build on those successes.

“Governor Newsom’s signature Homekey program continues to demonstrate progress through partnership on solutions that rapidly create deeply affordable homes for people exiting homelessness,” said Business, Consumer Services and Housing Secretary Lourdes Castro Ramírez. “Under this third round of Homekey, our partnership with these seven communities will result in more than 700 affordable interim and permanent places for unhoused Californians to call home with access to vital supportive services. Congratulations to all!”

“Created to respond to an unprecedented public health crisis, Homekey has grown and evolved to house a broader population of Californians at risk of homelessness, including young people transitioning to adulthood from foster care or an unsafe environment,” said Gustavo Velasquez, Director of the California Department of Housing and Community Development (HCD.) “Nearly 13,000 homes were created through Rounds 1 and 2. My team at HCD is proud to shepherd this Administration’s ongoing investment in quickly and safely housing California’s most vulnerable in communities statewide.”

A map of the state of california with numbers showing the communities receiving funding. 1 - Housing Authority of the city of sacramento $20.3 million; 2 - housing authority of the county of sacramento $20 million; 3- city of modesto $16 million; 4- city of fresno $21.9 million; 5 - city of visalia $13.8 million; 6 - city of san buenaventura $32 million; 7 - county of los angeles $34.6 million; 8 and 9 - san diego housing commission $3.9 million and $16.8 million.

 

Homekey Round 3 grant funding – administered by HCD – is available to local public entities including cities, counties, tribal entities, and housing authorities to develop a broad range of housing types including hotels, motels, hostels, single-family homes, multifamily apartments, adult residential facilities, manufactured housing, and to convert commercial properties and other existing buildings to permanent or interim housing.

Applications received by the July 28, 2023, Notice of Funding Availability deadline requested a total of nearly $1.27 billion. HCD continues its review of applications, and grants will be announced on a rolling basis until all funds are exhausted.

  • The Housing Authority of the City of San Buenaventura will receive $32,076,607 in Homekey Round 3 funding for the Valentine Road project, an acquisition and rehabilitation project that will convert an existing hotel to create 136 permanent housing units to serve people who are homeless, at-risk of homelessness, and chronically homeless.
  • The Housing Authority of the County of Sacramento,in partnership with the John Stewart Company and TLCS, Inc., will receive $20,000,000 in Homekey Round 3 funding for the Arden Star Hotel Homekey Conversion, an acquisition and rehabilitation project that will convert an existing hotel to create 122 permanent housing units, as well as two manager units, to serve people who are homeless or are at risk of homelessness.
  • The Housing Authority of the City of Sacramento, in partnership with TLCS, Inc., will receive $20,386,000 for the Roadway Inn Homekey Conversion, an acquisition and rehabilitation project that will convert an existing hotel to create 69 permanent housing units, as well as one manager unit, to serve people who are homeless or at risk of homelessness.
  • The City of Fresno, in partnership with Valley Teen Ranch, will receive $21,983,607 for Welcome Home, a modular multifamily new construction project that will create 95 permanent housing units, along with one manager unit. Thirty-five units will serve people experiencing homelessness, and 60 units will serve homeless youth and youth at risk of homelessness.
  • The City of Visalia, in partnership with RHCB Development, will receive $13,835,376 for Majestic Gardens, an acquisition and rehabilitation project that will convert an existing motel to create 41 housing units serving people who are chronically homeless, as well as one manager unit.
  • The City of Modesto, in partnership with RHCB Development, will receive $16,059,562 for the Travelers, an acquisition and rehabilitation project that will convert an existing motel to create 55 permanent housing units serving those who are homeless and youth who are homeless or at-risk of homelessness, with the addition of one manager unit.
  • The County of Los Angeles, in partnership with the Weingart Center Association, will receive $34,629,600 for The Weingart Sycamore, an acquisition and rehabilitation project that will convert an existing hotel to create 107 studio units to serve 54 chronically homeless and 53 at-risk of homelessness, as well as two manager units.
  • The San Diego Housing Commission will receive $3,900,000 for Abbott Street Apartments, an acquisition and rehabilitation project of an existing multi-family building to create 13 housing units serving those who are chronically homelessness and one manager unit.
  • The San Diego Housing Commission will receive $16,850,000 for Pacific Village, an acquisition and rehabilitation project that will convert an existing Ramada Inn Hotel to create 62 housing units serving those who are homeless, chronically homeless, and youth who are homeless or at risk of homelessness and one manager unit.

 

Contact Details:
HCD Press Office
Media@hcd.ca.gov

 

Hear two stories of people positively affected by Homekey! Make sure to click the images to watch the videos!

Resident Alice

 

Meet Alice and her husband Alfredo. They lived in a tent for two years. Alice is moved to tears sharing her joy to now have a place they can call home thanks to the Homekey program by HCD.

Residents Heather and Robert

 

Heather and Robert had a long journey, moving from periods of being unhoused and on the streets, to being separated from each other in a shelter situation. Now, they get to live and enjoy each other's company thanks to a unit made possible through Homekey.