The U.S. Department of Housing and Urban Development will grant the city of San Diego $9.4 million to help restore neighborhoods blighted by foreclosures. KPBS reporter Alison St John has more.
The money is San Diego’s share of a national Neighborhood Stabilization program.
Rick Gentry, the new CEO of the San Diego Housing Commission, says, though San Diego got a bigger slice of the money than many cities, it wont be enough to help all the neighborhoods suffering from foreclosures.
Gentry: Certainly not, but it’s a good first step and a good start
Gentry says the money must be spent in areas where half the residents make less than 120 % of the median income.
The city will decide over the next couple of weeks how to use the money. Because home prices are so high here, $9 million wont go far.
For example, if the money is used to help families with a 20 percent down payment on a foreclosed home, it could help purchase only about 135 homes.
There were just under 3,000 foreclosures county wide in San Diego last month.
Alison St John, KPBS News