Location: Healdsburg, Sonoma County, California

Problem:  California has a severe affordable housing crisis.

Solution: Rural Community Assistance Corporation’s (RCAC) Loan Fund provided a $465,000 multifamily housing loan to rehabilitate eight affordable rental units.

The United States is in the midst of an affordable housing crisis, and California is one of the least affordable states in the country. Healdsburg, Sonoma County, has a population of just more than 11,000 and a median household income (MHI) of $65,638. Despite the MHI being slightly higher than Sonoma County’s, low-income renters in this high rent community are spending up to 68 percent of their income for housing costs.

The City of Healdsburg purchased Center Street Apartments in 2016 to prevent it from being lost to redevelopment and to preserve affordable rental housing. The city leased the building to Burbank Center Street Apartments, LLC, with a requirement to renovate the apartments and maintain affordable rents for a 55 year period.

Rural Community Assistance Corporation’s (RCAC) Loan Fund provided a $465,000 multifamily housing loan to finance the improvements. The renovated apartments will provide affordable housing in a tight rental market.