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Santa Barbara grants $6M to permanent supportive housing project at local hotel

Posted at 5:16 PM, Feb 14, 2024
and last updated 2024-02-14 20:16:44-05

There are currently 787 homeless people in the city of Santa Barbara, according to the 2023 Homeless Point in Time Count. In an effort to create more affordable housing, the Santa Barbara City Council unanimously voted to grant $6 million toward the purchase of the Quality Inn on De la Vina Street to be used for project Homekey.

Housing Authority CEO Rob Fredricks says this project will be an upgrade for the whole community.

"We’re planning on taking each of the units and converting them into little studios. We’re taking out the swimming pool, enhancing the landscaping and the security around the facility so that it's a benefit to the neighborhood as well," Fredricks said.

The 36-unit motel will be the newest development under Homekey, a statewide effort to provide housing for people experiencing homelessness. Since 2020, Homekey has created 15,009 homes, according to the California Department of Housing and Development.

Fredricks understands that for the project to be successful, the concerns of the community also need to be considered.

"We’ll have 24/7 on-site management and supportive housing case management to ensure they get what they need to be successful residents there. I would want to ensure that our concerns as a neighborhood are heard and that we are listening and adjusting to those issues," Fredricks said.

Residents of the motel will be eligible for Section 8 rental assistance and the property will have a 90-year affordability covenant ensuring it’s exclusively used for residents making less than 30 percent of the area median income, currently around $32,000 a year.

So how much is this all going to cost?

"All in, we’re projecting about a $13 million cost," Fredricks said.

That includes the purchase and the rehabilitation of the property, with the majority of the cost being covered by the Housing Authority.

Once the hotel is sold, things will also change for motel receptionist George Osornio who will lose his job after the sale.

"This is my full-time job, so it's where most of my income comes from," Osornio said.

He says he understands the importance of affordable housing and not to worry, he’ll find another job.

"I’ll probably look for another hotel job," Osornio said.

Escrow on the motel is set to close mid-March and the Housing Authority expects the entire project to be complete as early as December 2024.