1,530 units planned across 20 projects countywide
More than 4,000 low-income residents, seniors to benefit
Funding requests hit $1.5 billion, nearly seven times available amount
Los Angeles County is investing $220 million in affordable housing development as it seeks to ease a severe housing shortage that has been compounded by high land prices, construction costs and financing challenges.
The Los Angeles County Affordable Housing Solutions Agency, or LACAHSA, announced that it will provide funding for 20 affordable housing projects across the county. Once completed, the projects are expected to create 1,530 housing units serving more than 4,000 people.
The developments will primarily serve low-income families, seniors and people who have experienced homelessness, with much of the housing targeted toward extremely low- and very low-income households.
Claudia Lima, LACAHSAโs chief strategic investments officer, said the county faces a shortage of housing across income levels, but the need is particularly acute among households at the lowest end of the income spectrum.
The funding will support both new construction and the preservation of existing housing. Six of the 20 projects involve the acquisition and rehabilitation of existing multifamily rental properties, while the remaining projects involve new construction and are expected to be completed within two to three years.
Depending on the project, LACAHSA will provide between $1 million and $32 million through construction loans, grants and subordinate financing.
Among the recipients is Path Ventures, which plans a 40-unit project in Los Angeles. Linc Housing will develop 120 units in Inglewood and another 109 units in Long Beach, while Mercy Housing plans a 74-unit development in Claremont.
The Cesar Chavez Foundation will receive funding for a 75-unit project in Downey, while the West Hollywood Community Housing Corporation is moving forward with a 64-unit development in the city of Los Angeles.
Funding for the initiative comes from Measure A, approved by Los Angeles County voters in 2024. The measure imposed a countywide 0.5% sales tax to generate revenue for affordable housing, homelessness services and housing stability programs.
The investment comes as affordable housing developers face growing difficulty securing enough capital to move projects into construction. Limited land availability, high property prices and elevated construction costs have made financing developments increasingly challenging throughout the Los Angeles region.
Developers seeking federal and state tax credits must also compete for limited funding, often adding significant time to the development process.
Lima said many developers already have projects ready to move forward but lack the capital necessary to build them.
Demand for LACAHSA funding illustrates the scale of the problem. Applications submitted to the agency would have required approximately $1.5 billion to fully fundโnearly seven times the $220 million available.
LACAHSA expects the investment to help accelerate projects delayed by financing gaps, preserve existing affordable rental properties and add badly needed housing across Los Angeles County.
The funding, however, addresses only a fraction of the regionโs overall need, highlighting the enormous gap between the number of affordable housing projects ready for development and the capital available to build them.
