San Jose will use $25.2 million in new point out funding to convert a downtown hotel into housing for homeless residents, the city announced this week.
The 90-place Arena Resort on The Alameda will be procured by the city using funding from Gov. Gavin Newsom’s Homekey method, which will help cities, counties and nonprofits get motels, apartments and other buildings and switch them into homeless housing. The method has awarded funding for 10,000 housing units so significantly, and this 7 days Newsom stated he intends to pour an additional $150 million into Homekey coffers.
“We’re doubling down on our nation-major efforts to deal with the homelessness crisis,” he wrote in a news release. “Homekey has been lifetime-transforming for 1000’s of people — and $150 million in supplemental funding will shelter hundreds additional, offering them with the important sources and risk-free residing ailments they have earned.”
Homekey doled out $846 million in 2020. In September, Newsom introduced a different $2.75 billion would go out more than the program of two yrs — with about $200 million reserved for Bay Region initiatives in the 1st 12 months. If approved by the legislature, the extra $150 million Newsom proposed this 7 days will make a overall of $1.5 billion in grants obtainable following yr.
“We seem forward to an extra $150 million as proposed by the Governor to guidance even much more models for individuals hunting for hope, healing and a position to phone property,” California Enterprise, Customer Services and Housing Company Secretary Lourdes Castro Ramírez wrote in the launch.
Other Homekey awards this 7 days went to the city of Los Angeles, Los Angeles County, San Joaquin County, Fresno and Vallejo.
In San Jose, the Arena Resort quickly will dwelling homeless people today as perfectly as couples.
“In 2016, San José pioneered a new tactic to housing our unhoused neighbors by acquiring and changing accommodations and motels into dignified residing accommodations for our most vulnerable residents. That model efficiently moved thousands of San Joséans off the road,” Mayor Sam Liccardo mentioned in an emailed assertion. “Governor Newsom’s motivation to spend in motel conversions statewide by way of Homekey presents us an opportunity to scale this alternative.”
San Jose obtained $14.5 million in Homekey funds to invest in the SureStay hotel in 2020. That hotel, which experienced been giving susceptible inhabitants cost-free rooms to shelter in spot all through the COVID-19 pandemic, has struggled to changeover to a long-term housing model in which residents shell out below-marketplace-fee rent. The transition stalled when a state lawmaker accused the city of proposing rents that were far too substantial and alerted the state’s Division of Housing and Neighborhood Advancement, which agreed. The town disagreed with the state’s assertion, but acquiesced to reassessing its hire construction.