A $5 million grant will enable Housing Trust Fund Ventura County to increase the availability of affordable rental units in the region.
The funds, distributed by the Southern California Association of Governments, will allow the local nonprofit to establish a long-term loan program that makes it easier for affordable housing developers to receive funding.
“These new loans will allow us to increase the depth and duration of our impact—unlocking more units, in more neighborhoods, for longer,” Linda Braunschweiger, CEO of the Housing Trust Fund, wrote in a July 30 news release. “This is about creating housing that stays affordable for generations.”
Linda Braunschweiger
The Housing Trust Fund strives to increase residents’ housing options by providing low-cost, flexible loans to companies that construct affordable units. The fund currently provides only short-term loans, typically between one and five years, to the developers.
With the SCAG funding—originally awarded in 2023 but rescinded—the Housing Trust Fund will be able to increase its lending capacity, offering developers loans that will extend between 15 and 18 years.
The developers have been asking for long-term loans for years, Braunschweiger said in an interview.
When compared to short-term loans, she said, long-term loans significantly increase developers’ chance to receive the highly competitive Low-Income Housing Tax Credit applications. The tax credit is the federal program designed to incentivize the development of affordable rentals for low-income households.
The SCAG funds are expected to cover three to five loans over the next five years. The housing will be constructed on surplus land in locations designed to reduce residents’ vehicle mileage, Braunschweiger said.
“This program exemplifies the kind of lasting, community-rooted investment we envision, that accelerates housing production to benefit everyone in the region,” said Kome Ajise, executive Director of SCAG, wrote in the news release. “Partnerships like this move Southern California forward.”
Makena Huey is an investigative and watchdog reporter for the Ventura County Star. Reach her at makena.huey@vcstar.com. This story was made possible by a grant from the Ventura County Community Foundation’s Fund to Support Local Journalism.
This article originally appeared on Ventura County Star: Housing Trust Fund receives grant for affordable housing
