California awarded $20.75 million in Homekey program funds for two San Diego housing projects for the homeless, with additional funding under consideration for other projects, it was announced on Wednesday.
The state awarded the funds from Homekey — a "statewide effort to sustain and rapidly expand housing for persons experiencing homelessness or at risk of homelessness," according to the California Department of Housing and Community Development — to the San Diego Housing Commission for projects intended to provide 75 new affordable rental housing units with supportive services at properties in City Council District 2 serving people experiencing homelessness.
"Outreach and shelter are critical components of our efforts to address homelessness, but what truly will solve this crisis is housing," said Mayor Todd Gloria. "That's why this Homekey funding is crucial to our progress in meeting our city's top challenge. "I'm grateful to Governor (Gavin) Newsom and our partners at the county and state for helping us put a roof over people's heads with supportive services to permanently end their homelessness."
The state awarded $16.85 million for SDHC's proposed purchase and rehabilitation of the Ramada Inn at 3737-3747 Midway Drive in the Midway Community to create 62 affordable single-room occupancy units, to be known as Pacific Village, according to a city statement. An additional $3.9 million will support SDHC's collaboration with Wakeland Housing and Development Corporation to rehabilitate a vacant multifamily housing property at 2147 Abbott Street in Ocean Beach to create 13 affordable housing units.
"We know that housing ends homelessness, and the state's Homekey program is a solution that works," said San Diego City Councilwoman Jennifer Campbell, who represents District 2. "It's the collaborative effort between the state, county, and the city that will resolve homelessness in San Diego."
The San Diego County Board of Supervisors also approved funding to support the projects.
The housing commission has committed rental housing vouchers to help residents pay their rent at both properties when they are completed.
SDHC will request approval from the city council, sitting as the Housing Authority of the city, to accept and expend the funds for the purchase and rehabilitation of the properties before proceeding.
The housing commission also applied for $63.5 million through a statewide competition for the current round of limited Homekey funding for the proposed purchase and rehabilitation of two additional properties that would produce 266 affordable housing units:
— $28.5 million for 3860 Murphy Canyon Road in Kearny Mesa, which would create 105 affordable SRO units with supportive services, to be known as Willow Canyon; and
— $35 million 2087 Hotel Circle South in Mission Valley, which would create 161 affordable SRO units with supportive services, to be known as Presidio Palms.
The state's decision on those Homekey applications is expected by the end of the year, according to the city.
San Diego has received more than $49.5 million from the Homekey program in previous rounds of funding to create 372 affordable rental apartments.
