Social Impact Housing Collaboratives
The Problem: The lack of affordable rental housing
The lack of affordable rental housing continues to be a challenge across the country. In New York City, increasing numbers of homeless families resulted in a massive expansion of the extensive family shelter system over the past few years. In Los Angeles County, shelters cannot accommodate the numbers of homeless families seeking assistance. Street encampments continue to spread. Communities in almost every state are beginning to either ban people from living in vans, motor homes, or cars or providing “safe parking” lots for overnight stays. We cannot “build ourselves out of this mess.” There is more that can be done.
The existing low income housing supply comes nowhere near meeting the demand, and interim crisis housing, while important, is not by itself a viable long-term solution for our current homelessness epidemic.
A Solution: Social Impact Real Estate Investment Collaboratives
In Los Angeles, we are convening a coalition of non-traditional stakeholders from both the public and private sectors to facilitate the development and management of affordable rental housing units through small lot development. This initiative will apply innovative strategies to rapidly expedite the creation of affordable rental housing in the City and County of Los Angeles.
The new initiative has evolved through the efforts of the Home Zone Collective Impact Initiative led by Partnering for Change in the Los Angeles Promise Zone. In response to the increasing prevalence of extreme rent burden, poor housing quality, residential displacement, overcrowding, and homelessness in LA Promise Zone neighborhoods, the Home Zone began prioritizing the development of innovative affordable rental housing strategies that can bring new rental units to the market quickly.
To achieve these goals, Partnering for Change is helping to take to scale the entrepreneurial private sector efforts of social impact real estate investors who are currently acquiring and master-leasing single homes and duplex units to nonprofit organizations at a rapid pace. For more information, please continue reading below.
Welcome to the Neighborhood USA
Forbes Community Voice – Mar 19, 2019
Opportunity Zones: The Antidote To Los Angeles’ Housing Crisis
Written by Ridaa Murad – Forbes Real Estate Council – Founder of BREAKFORM | RE. Co-Founder of BEDROCK | Group.
It’s no secret that there is an affordable housing crisis in Los Angeles, and it doesn’t appear to be getting any better. To help paint the picture, let’s explore a few key statistics regarding the state of the city’s housing needs.
According to a report from the California Housing Partnership and the Southern California Association of Nonprofit Housing, Los Angeles County has a major affordable housing shortfall, with approximately 600,000 new units needed to satisfy the immediate demand from the lower-income rental market.
A Los Angeles Times article published last year reported that the “state will need anywhere from 1.8 million to 3.5 million new homes by 2025 to absorb existing demand and future population growth.”
The solution is simple, right? Just build more homes.
Well, it’s not that easy, as the same article mentioned the current construction pace was 80,000 new homes per year in California, which is 100,000 less than what is needed to satisfy even the lowest estimated needs. While this problem does impact the middle class, it’s the lower-income set that is bearing the brunt of this shortage…..