Governor Gavin Newsom today announced the second set of grant awards from the $736 million Round 3 of Homekey, the Administration’s initiative to help jurisdictions rapidly expand availability of housing for individuals and families experiencing, or at risk of, homelessness.

Today’s $156.4 million in Homekey awards will fund 12 projects in six California counties, creating 556 new affordable homes. Through the first two sets of Round 3 awards approved by the California Department of Housing and Community Development (HCD) this fall, 1,266 homes have been funded, bringing the total of homes funded across three rounds of Homekey to 14,040.

“Homekey continues to demonstrate that we can build quickly, and at a fraction of the usual cost, to deliver much-needed affordable homes for Californians struggling to find a place to live,” said Governor Newsom. "There’s still more work ahead, but the state is taking proactive measures, from implementing accountability standards to offering incentives, to confront this housing crisis head on.”

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 funds additional building types and supports a broader population of people experiencing or at risk of homelessness. This includes young people transitioning to adulthood from foster care or an unsafe environment.

“It has been greatly rewarding to see the growth and impact of Homekey on California’s most vulnerable residents,” said HCD Director Gustavo Velasquez. “To me, the 14,000 homes funded through Homekey represent more than just buildings. They represent real people exiting homelessness more quickly, and the opportunity for housing stability to greatly improve their quality of life.”

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

Approximately $400 million remains to be awarded from the current round of funding. HCD continues reviewing applications, and grants will be announced on a rolling basis until all funds are exhausted.

Alameda County

• The City of Oakland, in partnership with Bay Area Community Services Housing Corp, Memar Properties Inc (dba MPI Homes), and Imperial Homes LP, will receive $15,536,403 for the Imperial Inn, an acquisition and rehabilitation project that will convert an existing motel into 48 permanent housing units serving people experiencing homelessness and chronic homelessness, plus one manager unit.
• The City of San Leandro, in partnership with Housing Consortium of the East Bay, will receive $9,328,250 for the Lewelling, an acquisition and rehabilitation project that will create 29 interim housing units serving individuals experiencing homelessness and chronic homelessness.
• The Cities of Hayward and Union City, in partnership with Bay Area Community Services Housing Corporation, received a conditional award of up to $9,677,000 for an innovative single-family scattered site project. Funds can help purchase up to seven homes to create 37 units serving households experiencing homelessness. Bay Area Community Services will provide supportive services. 

Fresno County

• The City of Fresno, in partnership with UP Holdings California LLC, and Fresno Quality Homekey LP, will receive $16,450,000 in Homekey Round 3 funding for Fresno Quality HK, an acquisition and rehabilitation project that will convert an existing motel into 58 permanent housing units serving people experiencing homelessness and chronic homelessness, plus one manager unit.

Los Angeles County

• The County of Los Angeles, in partnership with Hope the Mission, will receive $19,789,357 in Homekey Round 3 funding for the Sierra Highway PSH Portfolio, an acquisition and rehabilitation project that will convert an existing hotel to create 58 interim housing units serving individuals experiencing homelessness and chronic homelessness, as well as two manager units.
• The County of Los Angeles, in partnership with Covenant House California, will receive $9,762,000 in Homekey Round 3 funding for the Hollywood Downtowner, an acquisition and rehabilitation project that will convert an existing motel into 30 interim studio units serving people experiencing homelessness and youth experiencing and at risk of homelessness.
• The County of Los Angeles, in partnership with the Nest On Exposition LLC and Wellnest Emotional Health & Wellness, will receive $7,681,400 for the Nest on Exposition, a modular new construction project that will create 24 interim housing units for youth experiencing homelessness and one manager unit.
• The City of Los Angeles, in partnership with Hope the Mission, will receive $32,068,000 in funding for the Motel 6 North Hills, an acquisition and rehabilitation project to convert a motel to create 111 interim housing serving individuals experiencing homelessness and chronic homelessness.
• The Housing Authority of the City of Los Angeles, in partnership with Topanga Canyon Housing Partners LP, will receive $5,432,319 for 7625 Topanga Canyon Blvd Phase 2, a modular new construction project that will create 24 permanent housing units serving individuals who are experiencing or at risk of homelessness.

Monterey County

• The City of Salinas, in partnership with Bay Area Community Services Housing Corporation, received a conditional award of up to $8,054,000 for Homekey’s innovative single-family scattered site project type. Funds can help purchase up to eight homes to create 39 units serving households experiencing homelessness, for whom Bay Area Community Services will provide supportive services.

City and County of San Francisco

• The City and County of San Francisco will receive $18,226,702 to reimburse the City and County for the acquisition of a hotel, 685 Ellis, to create 67 interim housing units serving those who are homeless. The project will convert to permanent housing after serving as an interim housing project.

Riverside County

• The City of Riverside, in partnership with Walden Family Services, received a conditional award of up to $4,375,000 for a single-family scattered site project. Funds can help purchase up to five homes to create 25 units serving youth at risk of or experiencing homelessness, for whom Walden Family Services will provide supportive services.

En Español

Contact Details:

Pablo Espinoza
Deputy Director of Communications
HCD Press Office
Media@hcd.ca.gov