Affordable Housing Loan Program for Developers

The City of Elk Grove aims to create housing opportunities affordable to all residents by offering assistance to residential developers through the Affordable Housing Loan Program.  As a progressive community, Elk Grove has realized the need for creating housing units that are affordable to individuals and families of various income levels, and utilizes this program to achieve this end.

The Affordable Housing Loan Program provides financial assistance to experienced residential developers interested in building properties that are affordable to persons at very low and low income levels.  The program is supported by the accumulation of residential and non-residential development impact fees paid by project developers at building permit issuance.

The overall purpose behind the Affordable Housing Loan Program is to provide developers who are unable to secure all financing from non-city resources with the financial support needed for development of projects.  Program goals include establishing affordable housing that is of high quality, good design and energy efficient. Additionally, it aims to provide a foundation that is supportive of homeownership programs while focusing on the needs of very low and low income households.

By applying through this program, developers can obtain a low interest, long term loan that will provide supplemental financing for their projects.  To become eligible, interested candidates must submit an application to the Housing Division.

To date, nine affordable housing apartment projects have been financed by the City.  As of February 2008.  approximately nine million dollars is available for new loans and the City is currently accepting new applications.

Please review the Affordable Housing Loan Program Application, the Affordable Housing Loan Program Guidelines, and the Frequently Asked Questions (FAQ’s) for additional information.  You may contact Jennifer Estrella in the Housing Division, for additional information you may need regarding the program.  Ms. Estrella can be reached at (916) 627-3409.