Trust Will Fund Affordable Housing in Trust Member Cities
The South Bay Cities Council of Governments (SBCCOG) has received council approval from 10 cities—El Segundo, Hawthorne, Hermosa Beach, Inglewood, Lawndale, Lomita, Manhattan Beach, Rancho Palos Verdes, Redondo Beach and Torrance—to form a Joint Powers Authority (JPA) to create a South Bay Regional Housing Trust (SBRHT). Hermosa Beach is the latest city to approve joining the SBRHT at its council meeting last night. Four signed agreements were needed to form the SBRHT. The first trust meeting is scheduled to take place Thursday, April 23 at 4 p.m. at the SBCCOG’s offices in Torrance.
As part of Regional Early Action Planning (REAP) 2.0 funding, funded by the California Department of Housing and Community Development and administered through the Southern California Association of Governments (SCAG), the SBCCOG has been working to develop the SBRHT. The SBRHT will help fund the development and construction of affordable housing units in cities who are members of the trust, exclusively for projects supported by the city in which they are proposed. Although the SBCCOG is leading the early feasibility work, the SBRHT will be a separate joint powers authority with its own board of directors.
“By joining the South Bay Regional Housing Trust, our cities, including my City of Lawndale, can benefit from a coordinated, regional approach to housing production and homeless services, while explicitly maintaining full control over local land-use decisions,” said Bernadette Suarez, Lawndale Council member and SBCCOG board chair.
The need for a SBRHT rose as a proposed tool to help South Bay cities meet requirements of the state’s Regional Housing Needs Allocation which mandates that every local jurisdiction ensure there are enough sites appropriately zoned for affordable housing construction to accommodate projected growth as calculated by the state every eight years. A regional housing trust has already been successfully implemented by other local subregions, such as San Gabriel Valley.
Over the past year, the SBCCOG’s consultant, CivicHome, has been developing a SBRHT strategic plan, staffing plan, budget and programs for the SBRHT board to consider adopting if formed. A strategic plan advisory committee consisting of SBCCOG board members, city staff, and housing experts/affordable housing developers provided input over a series of four meetings throughout the process. CivicHome presented an update to the SBCCOG board at its October 2025 meeting and to the South Bay City Managers Group on November 19. At its meeting on November 20, 2025, the SBCCOG board of directors voted to recommend member agencies move forward with the formation of the SBRHT.
Measure A as Funding Source
Since the SBCCOG began working on the SBRHT, more information about funding coming to the South Bay through Measure A has become available. In particular, the SBCCOG will be receiving approximately $7.3 million annually through the Los Angeles County Affordable Solutions Agency’s (LACAHSA) Production, Preservation and Ownership (PPO) program. LACAHSA also has agency matching funds that may be available and could increase that amount to nearly $14 million.
Additional Benefits of the SBRHT
The SBRHT will have lending authority and can provide soft development loans, construction pre-development loans, preservation/acquisition stakes, master leasing, and direct service/homebuyer assistance programs. These approaches will generate revenue and allow for these public dollars to come back to the trust over time and be reprogrammed to maximize their use. The San Gabriel Valley’s regional housing trust (formed in 2020) is generating more than $230,000 annually in interest and loan fee revenue.
There is no immediate fiscal impact associated with developing a South Bay Regional Housing Trust Joint Powers Agreement. For the first year, startup costs for the SBRHT will be covered with LACAHSA Measure A funds that the SBCCOG has received with SBCCOG board approval.
ABOUT SOUTH BAY CITIES COUNCIL OF GOVERNMENTS:
The South Bay Cities Council of Governments (SBCCOG) is a joint powers government agency of 16 cities and the County of Los Angeles which share the goal of maximizing the quality of life and productivity of the subregion. Within this structure, cities and Los Angeles County maintain the qualities and characteristics that make them unique and independent, while also coming together collectively to address issues of common interest for a greater good of the communities through partnership, persuasion, performance, and advocacy. For more information about the SBCCOG visit http://southbaycities.org.
###