Prop. 1, combined with other funding, would support over 40,000 new rental units in California.
Not only does California not have enough affordable housing, but affordable housing developers are struggling to build new units: a recent report states that almost 40,000 affordable units are stalled because developers can’t get enough funding to finish the projects. Prop. 1, which California residents will vote on in November, would allow California to sell $11.25 billion in general obligation bonds to fund housing, including housing designated for veterans, renters and students.
“It would cost the state between $500 million and $600 million each year for about 25 years to repay the cost of the general housing bond, according to the legislative analyst. That money would come from the state’s general fund, and factors in interest,” Marisa Kendall writes for Cal Matters.
The legislation, combined with other funding, would support over 40,000 new rental units. Vivian Wan, chief executive of affordable housing provider Abode, said passing Prop. 1 would be “huge,” but that California needs a permanent source of funding for new housing.
Read the full story: There’s a $11.25 billion housing bond on the ballot this November. Here’s what you should know
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