Newsom Announces $694 Million for More Than 2,500 New Homeless Housing Units

Alongside state and local leaders at a new Homekey project in Los Angeles preparing to welcome tenants, Gov. Gavin Newsom today announced the award of $694 million for 35 projects that will create more than 2,500 new units in 19 communities throughout the state.

Today’s Homekey awards include $51.6 million for 204 interim units in San Jose and  $26.6 million for 108 interim units in Palo Alto

Elsewhere in the Bay Area, money will go to projects in San Francisco, Newark and Oakland::

  • San Francisco: Two awards totaling $73.4 million for a total of 221 units
  • City of Newark: $38.1 million for 124 permanent units and one manager unit
  • City of Oakland: $5.6 million for 24 interim units and 10 interim youth units

Including today’s announcement, California’s nation-leading Homekey program has funded more than 200 projects statewide – creating more than 12,500 permanent and interim homes for people exiting homelessness.

“With 12,500 new homes funded in just two years, Homekey is changing lives across the state,” said Newsom. “Homekey’s groundbreaking success is a model for the nation, showing that we can make real progress on ending homelessness in months, not years. In partnership with cities and counties like Los Angeles, we’ll continue to safely house Californians in need faster and more cost-effectively than ever.”

The governor today celebrated Homekey’s recent two-year anniversary at a volunteer workday for a Los Angeles Homekey project, where he assisted in assembling welcome kits as part of the site’s move-in preparations.

“Homekey is more than just another tool in our toolbox in the work to end homelessness – it’s an opportunity for thousands to start anew, and an injection of pride and dignity that can keep Angelenos off the street for good,” said Los Angeles Mayor Eric Garcetti. “Thanks to this latest infusion of funds, hundreds of people experiencing homelessness today will be offered the stability of a permanent home, the safety of a door with a lock, and the services they need to get back on their feet.”

Homekey has become a national model for how to quickly deploy emergency funds to meet the diverse needs of rural, suburban, urban and tribal communities working to expand homeless housing. Building on the program’s success, the state budget signed by the governor this year investsof good government responding with compassion, speed and transformative solutions.”

Newsom today also announced $47 million in housing grants to create more residential care options for seniors and adults with disabilities, including people at risk of or experiencing homelessness. These grants are the first to be awarded through the new Community Care Expansion (CCE) – Capital Expansions Grants Program administered by the California Department of Social Services to help address historic gaps in the state’s behavioral health and long-term care.



  1. Another red letter day for the “non profits.” Too bad none of the funding will ever benefit the homeless.

  2. If Biden spent $40 billion on California instead of Ukraine, Newsom could announce 145,000 homeless units.

  3. So $694M for 2500 units is $277K per unit. These are basically tenement units. This is the most cost effective solution? You could quadruple the number of units if you dropped a bunch of trailers on a property instead. Give them an option to buy it out for a permanent home. Typical government waste and overspend.

  4. The ‘sound’ of $694 Million being flushed down the Giant Open Air Toilet that is now synonymous with California.


    CA, the land of billions invested in the homeless issue that they help create, and the outcome is more homelessness. Project Homekey has not met its intended goal, despite hundreds of millions spent- and the Housing First model doesn’t work for those with severe mental illness and substance abuse.

    What is the definition of insanity?

  6. How can people support this? $51.6 million for 204 interim units in San Jose? That’s $250,000 each. There’s probably 204 “homeless” alone just by the creek by my home, and they will destroy any housing because they are incapable of functioning like humans. Have a little look into the executive salaries of the “nonprofits” to which the government is funneling money to address the “homeless” problem, and you’ll understand where the money is going and what’s actually going on.

Leave a Reply

Your email address will not be published. Required fields are marked *