Sacramento

South Sacramento Weighs Pricey Five-Story Affordable Complex

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Published on February 10, 2026
South Sacramento Weighs Pricey Five-Story Affordable ComplexSource: Google Street View

A vacant lot on Power Inn Road near Calvine Road could soon host one of South Sacramento’s largest affordable housing projects, pending approval from county supervisors this week. The plan calls for a five-story, 73-unit apartment building aimed at households earning 30% to 60% of the area median income.

The project would feature a mix of one-, two-, and three-bedroom units along with on-site services and shared amenities. Its size, location near the Elk Grove border, and reliance on substantial public subsidies have drawn significant attention.

Board to weigh financing package

County staff are recommending roughly $54.7 million in project financing, which includes an estimated $4.8 million developer fee and pencils out to about $749,000 per unit, according to Sacramento Bee. The project appears on the Board of Supervisors' agenda for a meeting that begins at 9:30 a.m. on Tuesday.

The package also includes a related Housing Authority request that seeks a $2.5 million commitment of HOME funds and authorization to issue bonds. The item, listed as Power Inn Family, is grouped under the Board and Housing Authority section of the agenda, as reported by the County Agenda.

Design and site details

County planning documents on the state's CEQA portal describe a single five-story building with 72 deed-restricted units plus one manager's unit on about 1.44 acres, processed under SB 35 as a ministerial approval. The notice and attachments outline indoor and outdoor amenities that include a community room, fitness center and an inner courtyard, and list Resources for Community Development as the applicant. Those materials are contained in the county's notice of exemption on the state CEQA site.

Who would live there and what it includes

According to the county staff report summarized by the Sacramento Bee, the building would hold roughly 30 one-bedroom units, 23 two-bedroom units and 20 three-bedroom units, with about 86 tuck-under and surface parking spaces.

Tenants would be limited to households earning 30% to 60% of area median income, which the report pegs at about $23,365 to $50,730 per year for an individual under the cited figures, and the service provider Lifesteps would offer after-school programming and other on-site support. Project backers say the unit mix is tailored to families, with services built into everyday building life rather than bolted on after the fact.

Why the debate matters

The proposal lands at a time when regional leaders are under steady pressure to add deeply affordable homes, even as construction costs and financing hurdles keep climbing and push subsidy needs higher. Local governments are trying to square ambitious housing production targets with the reality that getting these projects to the finish line often requires significant public cash.

SACOG has repeatedly highlighted the sheer volume of housing the region is expected to plan for, along with the importance of pairing capital funding with on-site services so developments can actually move forward and stay stable over time.

Supervisors are expected to take public comment Tuesday before voting on the financing measures. If they approve the commitments, the project would move into bond issuance and loan-closing stages handled by the Sacramento Housing and Redevelopment Agency. The agenda packet lays out staff recommendations and attachments for supervisors and includes the related Housing Authority action tied to the Power Inn Family request. For those wanting to dig into the details, the listing and full packet are in the county agenda.