City Council Approves New Affordable Housing Project
In a significant move to address the city's housing crisis, the Sacramento City Council has approved $15 million in funding for a new affordable housing development in Midtown. The project, which will be located at 2200 J Street, will include 120 units of affordable housing for low and moderate-income residents.
The development, named "Midtown Commons," will feature a mix of one, two, and three-bedroom apartments, with 30% of units reserved for households earning less than 50% of the area median income. The remaining units will be allocated for households earning between 50% and 80% of the area median income.
Mayor Darrell Steinberg, who championed the project, called it "a critical step forward in our efforts to ensure that Sacramento remains affordable for all residents."
"This project demonstrates our commitment to creating inclusive neighborhoods where people of all income levels can live and thrive," said Mayor Steinberg. "By investing in affordable housing in our central city, we're ensuring that working families, seniors, and essential workers can continue to be part of our community."
Council Vote Breakdown
The funding was approved by a 7-2 vote, with Councilmembers Eric Guerra and Sean Loloee voting against the measure. Councilmember Guerra expressed concerns about the project's cost per unit, while Councilmember Loloee questioned whether the location was the most effective use of affordable housing funds.
The development will be built by Community Housing Partners, a non-profit affordable housing developer with a track record of successful projects throughout Northern California. Construction is expected to begin in early 2026, with completion anticipated by mid-2027.
Community Impact
The project has received strong support from housing advocates and community organizations, who have highlighted the urgent need for affordable housing in Sacramento's central city neighborhoods.
"This is exactly the kind of investment our city needs," said Maria Rodriguez, Executive Director of the Sacramento Housing Alliance. "By creating affordable housing opportunities in amenity-rich neighborhoods like Midtown, we're helping to build a more equitable and inclusive city."
In addition to the residential units, the development will include ground-floor community space, a childcare center, and sustainable design features such as solar panels and electric vehicle charging stations.
The funding package includes $10 million from the city's affordable housing trust fund and $5 million from federal HOME funds. The developer will also utilize Low-Income Housing Tax Credits and other financing sources to complete the project's estimated $45 million total cost.