Governor Newsom Announces $136.6 Million in Awards for 10 New Homekey Projects 

When completed, approved projects to offer 488 housing units for people exiting homelessness

California Blueprint proposes an additional $2 billion, for a total $14 billion homelessness package, that will create 55,000 new housing units and treatment slots in the coming years

SACRAMENTO – Governor Gavin Newsom today announced $136.6 million in awards for 10 new Homekey projects located across the state. When fully operational, the projects will provide 488 housing units for people experiencing, or at risk of experiencing, homelessness.

Since the announcement of Governor Newsom’s $2.75 billion in new funding to scale Homekey in September 2021, the state has so far approved projects that, when completed, will create nearly 3,000 housing units for Californians most in need of a place to call home. The state has funded 49 projects statewide so far this year, for a total allocation of approximately $830 million.

“Homekey is providing thousands of individuals with the supportive services they need and a safe place to call home,” Governor Newsom said. “We are continuing to act with urgency to fund quality Homekey projects, because that’s exactly what the moment demands – swift, decisive action to assist the most vulnerable Californians.”

“As we have seen time and time again, Homekey demonstrates that homelessness is a solvable issue,” said California Business, Consumer Services and Housing Agency Secretary Lourdes Castro Ramírez. “Communities across the state, like those represented in this round of awards, are rapidly mobilizing Homekey resources to acquire and convert hotels, offices and empty lots into permanent affordable housing with supports to ensure the success of individuals and families exiting homelessness. Thanks to this administration’s commitment to the program, another 488 homes are on the way for families and individuals in need.”

“As we recently laid out in our new Statewide Housing Plan, we have set our sights on adding 2.5 million homes over roughly the next eight years – and of that, 1 million of those must serve lower income households,” said Department of Housing and Community Development (HCD) Director Gustavo Velasquez. “Through Homekey, we use innovation and outside the box thinking to add a variety of housing types to our state’s supply. We commend our local partners for stepping up to the plate to get these projects moving.”

Today’s awards include the following projects:

  • The City of Modesto will receive $3.9 million to acquire and convert a commercial space into 14 units of permanent supportive housing for homeless youth and youth at-risk of homelessness. Off-site amenities include a transit center, grocery store, health facility, library, pharmacy and youth employment center located within one-half mile of the project; and a junior college is located within one mile of the project. Additionally, it is a 12-minute bus ride to the county’s Youth Navigation Center (YNC), a one-stop service hub for youth aged 13-25 in crisis, unstably housed and/or experiencing homelessness. Supportive services include, but are not limited to, comprehensive case management, service referral/linkages, employment readiness, educational support, and behavioral health services.
  • The City of Merced will receive $24 million to acquire and rehabilitate an existing motel with 96 studio units, including a manager’s unit. The project will provide permanent supportive housing to homeless and chronically homeless households with incomes equal to or less than 30 percent of Area Median Income. Fifteen units will be accessible for those with mobility disabilities. Each unit will be furnished and pre-wired for cable and internet access. Off-site amenities located within one-half mile of the project include a public bus stop, grocery store, health facility, and pharmacy. There are several partnerships with providers to provide an array of supportive services to tenants, including on-site case management.
  • The City of Santa Fe Springs will receive $5.6 million to construct a three-story new building providing 19 interim housing and on-site supportive services in Southeast Los Angeles County. The project will serve families experiencing homelessness. Occupants will receive interim housing with easy access to a range of supportive services, which combine permanent housing planning, navigation, placement and supportive services to address the underlying issues of homelessness. The project is located within a half-mile of amenities such as a transit station, grocery, health facility, and pharmacy.
  • The County of Los Angeles will receive $16.8 million to acquire and rehabilitate a 48-unit motel into permanent supportive housing. On-site amenities will include a community lounge, counseling office, laundry, and outdoor community courtyard. On-site supportive services will include intensive case management to provide individualized, trauma-informed, person-centered support to each resident to achieve and maintain housing stabilization and other personal goals. The site’s location is near multiple public transportation options for residents and staff, including a Metro Green Line light rail stop within 1/4 mile for easy access to the entire Metro Rail network throughout Los Angeles.
  • The City of Arcata will receive $18.8 million to acquire and rehabilitate a 79-unit hotel into permanent supportive housing. On-site amenities will include an exercise room, common meeting room with seating and televisions with a non-commercial kitchen, and meeting space. On-site supportive services will provide necessary services with a minimum of two counseling offices or supportive services support space, lobby area, and an office and storage area for the on-site manager. Additionally, there will be approximately 8,045 sq. ft. in community building amenities in the location of the existing covered pool structure, that will be utilized for property management and resident services. The site’s location is near a bus stop and a grocery store.
  • The County of Glenn and City of Orland will receive $8.7 million for a 33-unit new construction permanent supportive housing project. On-site amenities will include a central laundry room, two BBQ areas, and a landscaped community area. On-site supportive services will include several social services to residents, ranging from behavioral health to employment skills. The project will focus on individuals who are elderly, disabled, and veterans. The tenancy is based on a vulnerability index to ensure the most in need are housed first. The site’s location is near a grocery store, a pharmacy, a bus stop, a library, employment center, a medical/dental clinic, and the Glenn County Health and Human Services Agency.
  • The County of Los Angeles will receive $9.7 million to acquire a 40-unit motel as interim housing for people experiencing homelessness or chronic homeless. The Tropicana project includes on-site wrap-around supportive services and close proximity to amenities such as public transit stops, grocery stores, medical facilities, pharmacy, schools, and parks and daycare.
  • The City of Oakland will receive $14.8 million for the Piedmont Place project, a 45-unit hotel acquisition and rehabilitation with 44 studios and one two-bedroom unit, and one studio manager’s unit. The property will be purchased and converted into permanent supportive housing for chronically homeless individuals. The property consists of two buildings on a 17,000 sq ft. site. Five units will have full kitchens and the remaining 40 units will be equipped with a kitchenette with a sink, microwave and fridge. On-site amenities will include space for counseling, a community room and a dining hall. Off-site amenities, located within 1/2 mile of the project, include a grocery store, a healthcare facility, a public library, a pharmacy and access to public transit.
  • The City and County of San Francisco will receive $7.48 million to purchase a project that proposes the acquisition and rehabilitation of a 25-room hotel. This project will provide permanent supportive housing for both transition age youth and persons experiencing homelessness for households with incomes at 30 percent of Area Median Income. The building has ground floor commercial space that will be used as tenant support service offices and space.
  • The Housing Authority of the City of Anaheim will receive $26.5 million to acquire and renovate an 89-unit motel to house people at-risk of homelessness and experiencing homelessness and chronic homelessness. The project will operate for approximately five years as interim housing and then will convert to permanent housing. Each unit will be fully furnished and have a kitchenette. Off-site amenities, located within one-half mile of the project, include a bus stop, a full-service grocery store, a health facility and a pharmacy.

HCD is a member of the California Interagency Council on Homelessness (Cal ICH), whose Action Plan for Preventing and Ending Homelessness in California calls for expanding communities’ capacity to expand the supply of safe, housing-placement focused sheltering and interim housing using innovative programs like Homekey.

Additional Homekey awards will be announced in the coming weeks. Completed applications will be accepted on a rolling basis until funds are exhausted or May 2, 2022, whichever comes first. For more information, please visit the Homekey webpage. The Department of Housing and Community Development has also created the Homekey Awards Dashboard where Californians can track Homekey project awards by dollar totals, project type, progress and region. The dashboard is updated in real time as additional projects are approved.