The Sacramento City Council voted Tuesday to commit $10 million to a new affordable housing complex on Stockton Boulevard. It was the first expenditure from the $31.5-million housing fund created in the mid-year budget at the request of Mayor Darrell Steinberg.
The money will come from general fund/Measure U dollars. The 220 affordable apartments and townhomes planned by Mercy Housing will help fulfill the City’s commitment to invest at least $50 million in affordable housing along the Stockton Boulevard corridor to prevent displacement that might otherwise occur as construction of the new Aggie Square innovation district nearby increases demand.
That commitment is contained in a Community Benefits Partnership Agreement crafted by the City, UC Davis and Aggie Square developer Wexford Science + Technology that was approved by Council on April 6.
“This is a significant step in meeting the needs of the neighborhood and ensuring that the development of Aggie Square becomes a positive for surrounding communities,” said Vice Mayor Jay Schenirer.
In addition to the $10 million from the City, another $5 million from the Sacramento Housing and Redevelopment Agency will round out a $15-million loan to Mercy to build the complex on Stockton Boulevard just north of Fruitridge Road.
Seventy five percent of the units will be reserved for low, very low and extremely low-income tenants. Another 25 percent will be priced for those with moderate incomes, defined as up to $60,410 for a family of four.
“This investment is the first many housing commitments made to neighborhoods surrounding the Aggie Square Project and communities around Stockton Blvd,” said Councilmember Eric Guerra. “Addressing the housing crisis head-on and offering job opportunities is the only way we can help our neighbors find economic freedom and help them realize their dreams in this city.”