Los Angeles City Council Approves Record $466.6 Million for Affordable Housing

The Los Angeles City Council has unanimously approved a historic $466.6 million funding round dedicated to affordable housing initiatives. This substantial allocation, the largest in the city's housing department history, is predominantly financed by Measure ULA, the "mansion tax" on high-value property sales. The funds will be distributed to developers, nonprofits, and land trusts for both new construction and renovation projects.

Accountability is a key component of the plan, with an amendment requiring quarterly updates from the housing department on fund utilization, project timelines, and any potential delays. This funding is expected to provide a significant boost to developers in Los Angeles, many of whom have faced challenges in profitability for multifamily projects. Applications for the funds are scheduled to open on October 13 and close on December 4, with recipient announcements anticipated in February.

The approved budget includes $123 million for multifamily affordable housing with 40 or more units, and $115 million for projects leveraging low-income housing tax credits. Additional allocations support alternative construction models, stabilization of existing affordable housing, and the acquisition and rehabilitation of units. This initiative represents a critical effort to expand and preserve the city’s affordable housing stock for working families, seniors, and individuals with disabilities.