Santa Monica Approves Costly Homeless Housing Project Amid State Audit Concerns

Just days following the publication of an audit revealing that California had mismanaged $24 billion allocated for homelessness between 2018 and 2023, officials in Santa Monica have sanctioned a new homeless housing project. This audit criticized the state’s lack of transparency in tracking the effectiveness of the funds spent.

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Details of the New Homeless Housing Project

The approved project entails constructing a 122-unit building that will house a range of apartments from studio to three-bedroom units. It will also feature retail spaces on the ground floor and both residential and commercial parking.

The project, showcased in a design on the city’s website, is estimated to cost over $123 million, averaging more than $1 million per unit. An alternative design, proposing 196 units, would have escalated costs to over $200 million.

Mayor Phil Brock emphasized the initiative’s alignment with broader affordable housing goals, stating,

“Moving forward in bringing affordable and permanent supportive housing to city-owned land is a key step in our strategy to fulfill our Housing Element requirements. I look forward to the next steps and ultimately seeing families move into these new homes and thrive.”

People’s Reaction to the Project

In light of the recent audit’s findings, inquiries took place about Santa Monica’s measures to ensure the efficient use of funds. A city spokesperson defended their strategy, explaining,

“The state – like many other places – is experiencing a housing and homelessness crisis, and all cities across the state are required to adopt a Housing Element that includes affordable housing.”
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The spokesperson added,

“Santa Monica has dedicated several city-owned sites for affordable projects, a key strategy to lower costs to develop this needed housing and meet the mandates in the council-approved Housing Element. The city is following this strategy with council recently approving the agreement to move forward with developments on three city-owned sites along Euclid Avenue.”

Accusations from State Agency

The California Interagency Council on Homelessness (Cal ICH) has pointed fingers at local governments for their part in the inefficient handling of homelessness programs, stressing the need for greater accountability at the municipal level.