Board approves Homekey Plus awards, loans and long-term subsidies for veterans and supportive housing projects

The Board of Supervisors adopted a set of resolutions to accept and authorize Homekey Plus funding and related city commitments to rehabilitate and operate permanent supportive housing.

Key approvals - 1035 Van Ness: The city will execute a standard agreement with the California Department of Housing and Community Development and co-applicants for an approximately $39,000,000 award under Homekey Plus for acquisition and operations; the city will accept anticipated revenue and commit up to $8,000,000 in matching funds for rehabilitation and a minimum of five years of operating subsidy, with a possible 15 years of operating subsidy subject to appropriation. - Loan/grant with 1035 Van Ness LLC: A loan and grant package totaling $11,000,000 (an $8,000,000 minimum term loan and a $3,000,000 grant) was authorized to rehabilitate the property into 124 permanent supportive housing units for veterans. - 835 Turk Street: The board approved a Homekey Plus award of approximately $17,300,000 with HCD disbursing up to $13,700,000 in capital grant funds and the city committing approximately $16,300,000 in matching funds; the board also authorized a 55-year ground lease with nominal rent to enable a 106-unit 100% permanent supportive housing project.

Board action and context Clerk summarized each resolution and the board took the items as "same house, same call" without objection; the motions were adopted. The approvals include long-term subsidy commitments and multi-year loan/grant structures intended to finance rehabilitation and supportive services.

Next steps Departments and co-applicants will finalize agreements with HCD and proceed to rehabilitation, relocation, and operations in accordance with the award and city commitments. Budget appropriations for long-term subsidies are subject to future budget actions.