State-Owned Land to be used for Affordable Housing in Sacramento

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SACRAMENTO -- It’s not hard to find “for rent” signs in downtown, but it is harder to find something affordable.

It’s why Governor Newsom signed an executive order to build affordable housing on state-owned land. Those projects are now getting started.

A nearly empty parking lot near 14th and O Street will be the site of a new building. The Capital Area Development Authority is set to break ground in December 2020.

Special Project Director Tom Kigar says the building will have 40 affordable studio apartments.

There will also be retail space on the ground floor.

“There’s so much demand for affordable housing in downtown. People want to live here,” Kigar told FOX40. “They work here and can’t afford housing.”

Apartments will be available to people making between 40% and 80% of the median area income. Rent will range from $600 to $1,100 which is based on how much they make.

Kigar says he’s happy to be a part of one of the first projects.

The executive order in January gave out state-owned land across California to be used to build affordable housing.

“We’re paying a token dollar a year for the lease,” Kigar said.

“I’m proud of the fact that Governor Newsom chose Sacramento and Stockton as the first two pilot cities for the new initiative, Mayor Darrell Steinberg said. “After all, we are the state capital”.

Steinberg admits an estimated 40 units are far from all the city needs, but he says it’s a good start.

“It’s the beginning. And I think they chose us because they know we have the will to make it a quality project," Steinberg said.

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