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ARTICLE · 21 JANUARY 2016

West Coast Real Estate Update: Jan. 19, 2016

California state senators put forth a proposal on Jan. 4, 2016, to spend $2 billion to build or rehabilitate permanent housing for homeless people, specifically those with mental illnesses.

United StatesReal Estate and Construction

Karl J. Lott, Susan Jennifer Booth and Douglas A. "Doug" Praw are Partners and Paul J. Park and Ashley K. Jason are Associates all in our Los Angeles office and Stacie Andra Goeddel is a Partner in our San Francisco office.

California Senate Proposes $2 Billion on Housing for Homeless

California state senators put forth a proposal on Jan. 4, 2016, to spend $2 billion to build or rehabilitate permanent housing for homeless people, specifically those with mental illnesses. Senators also proposed spending $200 million over four years to provide temporary rent subsidies to bridge the gap until the permanent housing can be built.

If enacted, these funds – when combined with federal and local monies – could spur a construction boom in the state, with the construction of between 10,000 and 14,000 new affordable housing units. California has approximately 116,000 homeless people, with more than 60 percent living outdoors, so even with this construction, the need for

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