Los Angeles

Governor Newsom Allocates $101 Million for Affordable Housing Rebuild after Los Angeles Wildfires

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Published on July 09, 2025
Governor Newsom Allocates $101 Million for Affordable Housing Rebuild after Los Angeles WildfiresSource: Government of California, Public domain, via Wikimedia Commons

In a move to quickly address the housing crisis sparked by the devastating January wildfires, Governor Gavin Newsom has allocated $101 million toward rebuilding affordable multifamily rental homes in Los Angeles. With thousands of families currently without a stable place to call home due to the fires, this funding aims to rapidly to provide a roof for those affected. According to a government announcement, the focus is on assisting displaced residents to find safe, affordable housing in the fire-ravaged areas.

Tomiquia Moss, Secretary of the California Business, Consumer Services and Housing Agency, highlighted the state's commitment, stating that the California Department of Housing and Community Development (HCD) is set to "galvanize the collective public-private response to the wildfires in Los Angeles County, expediting and expanding opportunities to build affordable housing for low-income residents." She emphasized the urgency to bolster both household stability and climate health outcomes in the process.

This funding boost comes via the HCD's special Multifamily Finance Super NOFA (MFSN), an initiative that streamlines the application process for housing developers aiming to contribute to the reconstruction effort. The so-called MFSN-LA Disaster NOFA, exclusively designed for the LA fire recovery, simplifies access to significant financial resources. These include grants for vital infrastructure and low-interest loans targeted at developing new units for low-income communities, as conveyed by HCD Director Gustavo Velasquez. He lauded his team's efforts to refine the program "to provide housing stability for fire-displaced families as quickly as possible."

The MFSN-LA Disaster NOFA operates on a two-phase award system to ensure the timely delivery of affordable housing. Echoing the urgency, Velasquez added, "If funds remain after all applications for shovel-ready projects have been assessed, applications will continue to be accepted for all eligible projects until the funds are expended." This approach underscores the state's dedication in addressing immediate housing needs while promoting long-term sustainability, with units earmarked to remain affordable for a minimum of 55 years.

Developers ready to take on the challenge can find application materials for the MFSN-LA Disaster on HCD's website starting July 21, 2025, and must submit all required documents by the deadline of August 21, 2025, at 4:00 p.m. PDT. The state's investment in the MFSN also builds upon Governor Newsom's larger strategy to expedite home and business reconstruction following disasters. "Yesterday, the governor announced the substantial completion of the public debris removal program from more than 10,000 fire-damaged parcels — marking the fastest major disaster cleanup in American history," the government's release notes, adding to the support framework for communities in crisis.