The state has awarded $32.4 million in Homekey+ funds to the San Diego Housing Commission to purchase a short-term rental property and convert it to affordable rental apartments for the homeless.
The state funds, in combination with money from the city and county of San Diego, will allow the SDHC to buy and convert Starling Place, a property at 7798 Starling Drive, in the Birdland neighborhood.
"This $32.4 million grant from the state will help us move veterans and people experiencing mental illness off the streets and into safe, stable homes — creating the foundation for recovery, stability and a better life," said San Diego Mayor Todd Gloria. "It's another example of how we're expanding housing opportunities and delivering on our commitment to ensure every San Diegan has a place to call home."
The property would be turned into 80 affordable rental apartments — 40 for homeless veterans and 40 units for San Diegans with mental health or substance use disorder challenges who are at risk of becoming or are homeless. There will also be one manager's unit.
"Starling Place delivers the exact type of housing San Diego needs most: affordable homes for veterans and others experiencing or at risk of homelessness, paired with supportive services to help them stay housed," said City Councilman Raul Campillo, who represents the district with Starling Place. "This project shows what's possible when the city, county and state work together in strong collaboration."
San Diego has pledged $11.5 million in Community Development Block Grant funds toward the project, added to $12.5 million from the county — consisting of $7 million in capital funds and $5.5 million for ongoing operating expenses.
"Our region is making meaningful progress on affordable housing solutions that reach our most vulnerable residents," said County Board of Supervisors vice chair Monica Montgomery Steppe. "I'm proud that San Diego is once again stepping up to meet this need, and doing so in a location that offers strong access to transit, services and opportunity."
The housing commission also added 40 Veterans Affairs Supportive Housing Project-Based Vouchers to assist veterans at the property to pay their rent. Veterans Affairs will provide services for the veterans staying at Starling Place.
"This $32.4 million award is great affordable housing news, especially following just weeks after we all gathered for the opening of our newest regional Homekey development, the 62-unit Pacific Village complex in the Midway," said Dr. Kimberly Giardina, the county's deputy chief administrative officer for the Health and Human Services Agency. "Our partnership with the city and San Diego Housing Commission has now resulted in 688 supportive units across seven developments focused on positively changing people's lives."
SDHC will oversee the conversion of the property, and will own and operate the property when it is completed.
"An affordable, stable home of your own is the foundation that provides a better opportunity to thrive in other areas of life, such as work, school or community connection," said SDHC President and CEO Lisa Jones. "Starling Place will provide that foundation for our unhoused neighbors."