In a move aimed at bolstering Seattle's affordable housing efforts, Mayor Bruce Harrell has put forth legislation for a $2 million bridge loan to aid the Seattle Social Housing Developer. This Public Development Authority, established by voter-mandated Initiative 135, focuses on developing and maintaining mixed-income housing that is fully funded and owned by the public. According to a statement released by Mayor Harrell's office, the loan is a stopgap measure, enabling the organization to maintain essential operations and possibly to quickly pursue property acquisitions before revenue from the recently raised Payroll Expense Tax becomes available in 2026.
Mayor Harrell emphasized the need for diverse housing options, saying, "Increasing housing supply and diversity have been top priorities for my administration, creating more safe, affordable places for people to call home." The loan is expected to provide the necessary backing during a critical planning and capacity-building phase, setting the stage for the developer's success in operating publicly owned housing.
The City has already contributed $870,000 in financial assistance, supplemented by $180,000 from the Washington State Department of Commerce, for a total of $1,050,000 in start-up support. As the Social Housing Developer's CEO, Roberto Jiménez articulated, this move will allow the developer "to build out the staffing and operational support needed," he told Mayor Harrell's office, showing commitment to inclusivity and affordability for residents, from low-income citizens to firefighters and teachers.
The formal authorization process for this loan is making its way to the City Council and will undergo deliberations in the Finance, Native Communities & Tribal Governments Committee. Echoing the voters' sentiments, Councilmember Dan Strauss stated, "Voters have been clear – Seattle is ready for social housing." He believes the loan to be an essential component, ensuring the developer's resource availability "to hit the ground running next year," as per his comments to Mayor Harrell's office.
Moreover, as part of progressing the One Seattle Housing Agenda, Mayor Harrell has been active in extending affordable housing options in 2024, boasting the addition of 14,683 new homes to Seattle's real estate inventory. With an array of strategic initiatives, including amendments to the One Seattle Comprehensive Plan and incentives for alternative housing solutions like ADUs and micro-housing, the City aims to further bolster its commitment to affordable housing development.
