Low-Income Housing Construction In Murrieta Could See Uptick With Help From $4.1M Infusion

MURRIETA, CA — Murrieta officials and other government agencies are hoping to spur the development of low-income housing in the city.

On Wednesday morning, the city is hosting a virtual meeting to share details about the launch of a new "Revolving Loan Fund" that aims to expand long-term affordable housing projects within Murrieta.

The $4.1 million loan program will offer early-stage and gap financing to accelerate affordable housing development. Loan funds may be used for activities such as land acquisition, predevelopment costs, construction, and rehabilitation, according to the city.

Eligible applicants include nonprofit organizations, private developers, other nonprofit organizations, for-profit affordable housing developers, public entities, social service agencies, faith-based organizations, and other community groups.

Eligible projects include, but are not limited to: new construction of affordable for-sale housing, conversion of commercial to affordable rental housing, and the acquisition and rehabilitation of existing affordable housing.

The city anticipates the first loans under the program will be funded early next year.

Murrieta's new Revolving Loan program is funded by the Southern California Association of Governments via the state's Regional Early Action Planning Grants 2.0 Lasting Affordability Program. The program was established as part of the 2021 California Comeback Plan under Assembly Bill 140.

Across California, cities and counties are required under state law to plan for their share of housing, including units for low-income households.

This fair share is determined through a regional housing needs allocation process. For the 2021-2029 period, the California Department of Housing and Community Development, with input from the Southern California Association of Governments (SCAG), determined each region’s total housing need. SCAG then determined the housing allocation for each Southern California city and county through the Regional Housing Needs Assessment (RHNA).

Murrieta's RHNA allocation for the 2021-2029 period is 3,043 planned dwelling units spread across four household income categories:

• 1,009 units - Very low income (0-50% of county median family income)
• 584 units - Low income (51-80% of county median family income)
• 545 units - Moderate income (81-120% of county median family income)
• 906 units - Above moderate income (120% or more of county median family income)

During the Wednesday, Sept. 24 meeting, participants will learn about eligibility to receive a loan under the "Revolving Loan Fund," eligible project types, and how the city's new program will support Murrieta’s housing future.

The meeting takes place at 10 a.m. on Zoom. To join the meeting, copy and paste this link in your browser: https://us06web.zoom.us/j/89876238612?pwd=CQoMymVmMbjkyGZdCYcApTCUvtN7vY.1

Registration for the meeting is not required but is preferred, according to the city. For more information or to register for the meeting, contact Carl Stiehl at cstiehl@murrietaca.gov

More information is available on the City webpage: https://www.murrietaca.gov/1545/Revolving-Loan-Fund

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