Will Social Housing In Silicon Valley Find Funding To Break Ground?

San Jose Spotlight

September 26, 2023

A local assemblyman’s goal of establishing social housing in California is one signature away from fruition, but lingering questions remain about how these projects will be funded.

Assembly Bill 309 author Assemblymember Alex Lee said social housing—a method where governments own, manage and maintain homes designed as affordable housing—will help alleviate California’s housing crunch. But supporters and critics alike question how AB 309 will succeed without deep government investment.

“This will cost money to do and we need to identify those sources, we need to identify more affordable sources across the board,” Ray Bramson, chief operating officer of Destination: Home and a San José Spotlight columnist, said.

While social housing’s mixed-income approach is a pivot from the state’s status quo, Bramson told San José Spotlight it’s similar to public housing projects already being developed locally. He emphasized that the state should find local partners to help build, finance and operate these developments.

If Gov. Gavin Newsom signs the bill, it will create a Social Housing Program under the Department of General Services. The program will establish three pilot sites. The sites would be publicly owned, and residents would have eviction protections and rent control, as well as a right to make decisions pertaining to property management and operations.

Sandy Perry, president of the Affordable Housing Network of Santa Clara County, said the social housing concept is called “decommodification,” which means approaching housing as a basic human need. Perry told San José Spotlight most housing models operate as an investment vehicle.

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