Oakland just scored a nearly $36 million state grant that is set to reshape a key corner of Chinatown and parts of downtown. The funding will back deeply affordable family housing at 285 12th Street and pay for a slate of street upgrades, including protected bikeways on Martin Luther King Jr. Way and bus-only lanes on Broadway. City officials say the package is designed to keep families in place while cutting greenhouse-gas emissions.
The money comes through the state’s Affordable Housing and Sustainable Communities program, which uses revenue from California’s Cap-and-Trade system to link new housing with low-carbon transportation projects. According to the California Strategic Growth Council, Round 9 of awards approved more than $866 million statewide, with over $835 million going to AHSC projects that combine homes with bikeways, bus shelters and transit-priority upgrades. The California Strategic Growth Council said this latest round will support thousands of rent-restricted homes and dozens of miles of new bike and bus infrastructure.
The City of Oakland and the East Bay Asian Local Development Corporation were jointly awarded $35.9 million for the 285 12th Street development. The city reports that the project will include 64 units of affordable family housing, with 13 of those reserved for people exiting homelessness. “This award shows what happens when we align our housing, transportation, and climate goals,” Mayor Barbara Lee said. District 2 Councilmember Charlene Wang said the project helps Chinatown “stay rooted.” City of Oakland
Project scope and transportation upgrades
The state’s project summary lists the AHSC award to EBALDC at $35,873,066 and describes the development as a 65-unit, 100% affordable infill project located next to BART in downtown Oakland. The California Strategic Growth Council profile outlines the transportation improvements: more than two miles of protected Class IV bikeways on Martin Luther King Jr. Way and 7th Street, over one mile of dedicated bus-only lanes on Broadway, transit signal priority at key intersections, and new boarding islands and shelters.
The Oakland Housing Authority has committed $12 million and 24 project-based vouchers, including eight VASH vouchers, to deepen affordability at the site. The city’s Housing and Community Development department has also announced $8.26 million in Measure U bond support for the project. City officials say the development is expected to provide prevailing-wage construction jobs, expand contracting opportunities for local businesses and offer residents free transit passes for three years as part of anti-displacement and workforce-development efforts. City of Oakland
Why the grant matters
Supporters say AHSC shows how the state can cut vehicle miles traveled by placing homes near transit and investing in safer bike routes and better bus service, which in turn reduces greenhouse-gas emissions and local air pollution. Local leaders cast Oakland’s award as part of a larger strategy to direct state climate dollars into disadvantaged communities while expanding affordable housing and transportation options for low-income residents. They frame this funding as one piece of a broader wave of statewide investments that officials say will mean cleaner air, more jobs and better-connected neighborhoods.
