Marin’s ambitious Oak Hill workforce housing project, designed to create 135 affordable apartments for educators and county employees, is grappling with a significant budget shortfall. As reported by Richard Halstead in the Marin Independent Journal, the project currently faces a $17.4 million funding gap that threatens to stall progress.

To address this challenge, Marin County and local school districts are considering a guarantor program that would back rental income to secure lower interest rates on project bonds. This strategy could reduce borrowing costs and make the project financially viable without compromising affordability.

Halstead reports:
“A plan has been floated to close the gap by having the county and school districts guarantee the rental income of the apartments in order to lower the interest rates on bonds to finance the project.”

The Oak Hill project is a testament to how collaborative public investment can preserve affordability and ensure that housing serves the needs of essential workers. These types of initiatives align with the community land trust model, where housing is developed and maintained as a long-term public asset, shielded from speculative markets.

As housing costs continue to rise, creative financing mechanisms like this guarantor model will be essential for delivering on the promise of equitable housing solutions for Marin’s workforce.

Article:
Marin Worker Housing Plan Faces Budget Shortfall