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Council authorizes joint Homekey Plus application for 20-unit Mac Road permanent supportive housing project
Summary
The council unanimously authorized a joint application with Gateway Development Group for up to $35 million in State Homekey Plus funding to build 20 permanent supportive homes at 4290 Mack Road; the project includes 14 studios and six two‑bed units with on‑site supportive services and a 55‑year deed restriction at 30% AMI.
Sacramento City Council authorized the City to submit a joint Homekey Plus application with Gateway Development Group for a proposed 20‑unit permanent supportive housing project at 4290 Mack Road.
Department of Community Response Director Bridal Pedro and staff presented the proposal: a modular, ADA‑compliant housing development with 14 studio units and 6 two‑bedroom units on a 9.85‑acre site. The developer and city requested the maximum Homekey Plus capital award of $35 million for the project; staff said they expect capital costs to be near $200,000 per unit and that the city would contribute $1.5 million in matching funds to leverage the Homekey Plus grant. The project targets 30% AMI tenants and will include two on‑site property managers, security for after hours, case management, behavioral health services and coordination with Alta California Regional Center to house individuals with developmental or behavioral needs. The property would carry a 55‑year deed restriction at 30% AMI.
Public speakers included neighborhood and service‑provider organizations supporting the project, and some residents raised concerns about follow‑up services and long‑term outcomes; staff emphasized on‑site wraparound services and coordination with community providers. Councilmember Maple moved to authorize the joint application; the council voted 9‑0 to approve the authorization.
Votes at a glance
- Motion: Authorize joint application for Homekey Plus funding for 4290 Mack Road permanent supportive housing project; city contribution of $1.5M local match to leverage state funds. Vote: 9‑0.
Why it matters
If funded, the project would add 20 units of permanent supportive housing aimed at people experiencing homelessness and people with special needs, with on‑site services and a long‑term affordability commitment. The City called the proposal one of several efforts to address unsheltered homelessness by using state Homekey resources.
What’s next
Staff will submit the Homekey Plus application for the state bond program; if the award is secured, the city and developer will finalize financing, execute required contracts and proceed with site development and services planning.
