Homekey+: A place to live — and thrive
Housing stability is vital to mental health wellness. With safe, affordable housing, and supportive services to address behavioral health challenges, California’s most vulnerable residents will have the foundation they need to thrive. With $2.2 billion in funding allocated from the passage of Proposition 1, HCD will expand on the success of its Homekey Program to help support the development of permanent supportive housing for veterans and individuals at risk of or experiencing homelessness and with mental health or substance use challenges. For more information on the Homekey+ program, including eligible applicants and uses for funding, please see the program factsheet (PDF).
Tribes and Tribal Entities, see the Tribal Homekey+ program.
HCD Connect (HCDC) is now open.
Pre-application consultations are a program requirement that must be met prior to application submittal. Please see section 401 of the Homekey+ NOFA.
Program Overview
Each of the following entities may apply independently, or each entity may apply jointly with a nonprofit or for-profit corporation, a limited liability company (LLC), and/or a limited partnership (LP) as a Co-Applicant.
- Cities, counties, cities and counties, and all other state, regional, and Local Public Entities, including councils of government, metropolitan planning organizations, Public Housing Authorities, and regional transportation planning agencies designated in Section 29532.1 of the Government Code.
- Tribes and Tribal Entities. Tribes and Tribal Entities are encouraged to apply for Homekey+ via Tribal Homekey+ NOFA.
Including but not limited to:
- Conversion of nonresidential structures or commercially zoned structures, such as office or retail spaces, to residential dwelling units.
- Conversion of buildings with existing residential or interim uses that will be used to create PSH units.
- Multifamily rental housing projects.
- Scattered site housing on multiple contiguous or non-contiguous sites is permitted as long as the resulting housing has common ownership, financing, and property management.
All Homekey+ Permanent Supportive Housing (PSH) project types require a 55-year affordability term.
Awarded funds must be used to provide housing for the target population of individuals and families experiencing homelessness or who are at risk of homelessness and experiencing a Behavioral Health Challenge. Projects targeting funds allocated for Veterans Projects must provide housing for Veteran households including experiencing a Behavioral Health Challenge and experiencing or At Risk of Homelessness.
Eligible Homekey+ uses include:
- Acquisition or Rehabilitation, or Acquisition and Rehabilitation, of motels, hotels, hostels, apartments or homes, assisted living residences, manufactured housing, commercial properties, and other buildings with existing uses that could be converted to Permanent Supportive Housing (PSH).
- Master leasing of properties for PSH.
- Conversion of units from nonresidential to residential PSH. (i.e. adaptive reuse) and conversion of Interim Housing to PSH.
- New construction of dwelling units (see Section 501).
- Gap financing (see Section 502).
- The purchase of affordability covenants and restrictions for units.
- Relocation costs for individuals who are being displaced because of the Homekey+ Project.
- Capitalized operating subsidies for PSH units purchased, converted, constructed, or altered with funds provided pursuant to HSC Section 50675.1.3
Additional Information
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What is Proposition 1?
California voters passed Proposition 1, which included $6.38 billion in funding to develop and expand behavioral health treatment, residential care settings, and supportive housing. Watch the video to learn more.
HCD is partnering with various state agencies and departments in implementing Proposition 1 including the Business, Consumer Services, and Housing Agency, California Department of Veterans Affairs, and California Health and Human Services Agency.
