California Repurposing 3 Government Buildings in Capital Into Affordable Housing
Unused Government Office Space in Sacramento to be Transformed into Affordable Housing
In an exciting announcement on August 9, Governor Gavin Newsom revealed plans to renovate unused office space in three government buildings on the Capitol Mall in Sacramento into at least 400 affordable housing units. This initiative aims to address California’s housing crisis and provide homes for those in need.
According to Governor Newsom, “We need to build more housing, faster. Everyone in California deserves to have a home, and in just a few years we’ve made significant investments and progress to address the state’s housing crisis. Projects like these are reimagining what our cities look like—creating more housing near transit, work, and shops—all while increasing affordability and fighting climate change.”
The specific costs and funding sources for the renovations were not mentioned in the announcement.
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The three buildings selected for redevelopment are the Employment Development Department (EDD) at 800 Capitol Mall, the EDD Solar Building at 751 N. St., and the State Personnel Board Building at 801 Capitol Mall.
Sacramento Mayor Darrell Steinberg expressed his support for the project, stating, ”The transformation of these large office buildings on the Capitol Mall into housing will help Sacramento achieve two important goals: Bringing more residents downtown and creating more places where people can afford to live. We are eager to partner with Governor Newsom’s administration on this project and many others.”
The plans include the construction of 400 to 800 affordable housing units, ranging from studios to three-bedroom apartments. Approximately 370 units will be designated as affordable, while 170 will be reserved for very low-income residents. The developers also envision community rooms, large roof decks, and a childcare center to cater to mixed-income families.
McCormack Baron Salazar, Inc., a reputable firm with extensive experience in building homes and commercial spaces, has been chosen to oversee the renovations by two state agencies.
This initiative aligns with Governor Newsom’s executive order issued in 2019, which prioritized the conversion of unused state properties into affordable housing units. The order aimed to address the high cost of living burdening many California residents.
Advocates of the project believe that reimagining downtown and repurposing vacant space can have a transformative impact on the metropolitan area. Gustavo Velasquez, the Director of the Department of Housing and Community Development, stated, “The re-envisioning of these office buildings will reinvigorate a downtown that is walkable and close to transit, services, and amenities, and will create more climate-friendly housing for all. This project will assist hundreds of working families struggling with housing security and will attract new businesses while giving a boost to existing ones.”
The downtown areas were significantly affected by the pandemic, with remote work leading to high office vacancy rates. State government operations continue to utilize teleconferences and remote meetings, with three bills currently under consideration in the Legislature to extend these practices.
With the shift towards remote work reducing the demand for office space, repurposing vacant office buildings into affordable housing is seen as a mutually beneficial solution for communities and those in need of housing.
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