College of Law discusses housing project funding and affordable units for Bay Area students

In a pivotal discussion during the Assembly Budget Subcommittee No. 3 on Education Finance meeting, California lawmakers scrutinized the funding and development of affordable housing for students, particularly focusing on the 100 McAllister project. The conversation highlighted the challenges faced by the College of the Law of San Francisco, which has struggled to secure state support for its housing initiatives.

The college's first housing project, completed in 2023, was entirely funded through debt issued by the UC Law College of Law, resulting in rents set to cover that debt. As a result, the institution is now looking to blend its housing portfolio with state-supported projects to offer affordable rents between 50% to 55% of the Area Median Income (AMI) for students, including those from community colleges.

A key point raised was the cost per unit for housing, which varies significantly depending on how state support is factored in. The college's representative noted that the cost could be as low as $159,000 per bed when considering the overall portfolio, but could rise to $254,000 when including seismic upgrades. This discrepancy underscores the complexity of funding and the need for a comprehensive approach to housing development.

Concerns were also voiced about the unique challenges facing the college's construction program, particularly regarding cost overruns and the ability to deliver affordable housing amidst declining enrollment trends at local universities. However, the college maintained that its enrollment remains strong, particularly at UCSF, and emphasized its role in providing housing solutions for students across the Bay Area.

The discussion concluded with a call for continued investment in housing, with the college arguing that failing to fund the tower renovation could leave a significant project unutilized. The representatives stressed that the housing initiative is not just about providing shelter but also about fostering an academic community that supports collaboration among various educational institutions.

As the committee wraps up its discussions, the future of state funding for these housing projects remains uncertain, but the need for affordable student housing in California's high-cost urban areas is clearer than ever.