Seven communities will receive funding to create more than 3,200 affordable and 2,150 market-rate homes

SACRAMENTO – Today, Governor Gavin Newsom announced new funding to spur the development of 5,480 climate-friendly homes, including 3,249 affordable along with 2,156 market-rate rentals and 75 units for affordable homeownership. This investment supports urban greening projects, walking and bike paths, promotes public transportation and water management, among other infrastructure needs.

What the Governor said: “With nearly a quarter of a billion dollars, California is jump-starting the construction of new and affordable housing throughout the state. In a post pandemic world and as we strive to build more housing, California is using this opportunity to re-imagine the future of our cities – creating communities where people drive less and live closer to their jobs and kids’ schools.”

WHY THIS MATTERS: Significant pre-development costs, such as utilities, sidewalks, bike paths, and other key infrastructure, regularly stall housing projects. This investment of $239 million will launch projects throughout the state, helping neighborhoods build greener, more walkable communities and allow Californians to live closer to work and other key amenities. These projects will help California reach our goal of 2.5 million new homes – with 1 million of those affordable to people at lower income levels.

This investment complements the work of locals who are reducing red tape in order to meet the state’s housing needs and open more opportunities for private development by reducing the costs to build new housing.

“This funding will speed up and reduce the cost of constructing housing by paying for water and sewer hookups, sidewalk improvements, parks, green space, and other improvements that are the connective tissue for housing,” said Business, Consumer Services and Housing Agency Secretary Lourdes Castro Ramírez. “These investments will allow more people to live in homes that are closer to work, schools, grocery stores and other amenities in a walkable community that is also near transit.”

“These awards are just the most recent example of the state clearing the path to create more housing at all income levels,” said California Department of Housing & Community Development Director Gustavo Velasquez. “We are ensuring that lack of infrastructure is not a barrier to infill housing. These awards are a reflection of cities and counties doing the right things so that, together, we continue to build more housing faster.”

Administered by the California Department of Housing and Community Development, the following communities will receive funding from the Infill Infrastructure Grant Catalytic program for capital improvements:

Click here to learn more about each local project.

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