Costa Mesa Approves $3.6M for Affordable Housing Projects

Funding will support two new affordable housing developments in the city.

Mar. 21, 2026 at 12:53am

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The Costa Mesa City Council has approved an additional $3.6 million in funding for two affordable housing projects in the city. The majority of the funds, $3.25 million, will go to Jamboree Housing Corporation's planned Westside Costa Mesa Senior Housing complex, while $750,000 will support American Family Housing's Avon River Apartments project. The funding will be distributed as 55-year loans with 3% interest rates.

Why it matters

The additional funding will help address the ongoing housing crisis in Costa Mesa by increasing the city's stock of affordable housing units, especially for seniors. The projects are seen as crucial investments in the community's future.

The details

Jamboree's senior housing development had been approved last March, but the project became ineligible for $3.5 million in federal funding due to delays in certifying the city's housing element. The new city funding will help fill this gap. Meanwhile, the Avon River Apartments project involves the conversion of a former Travelodge motel into 76 affordable units, with the additional $750,000 loan covering unexpected construction costs.

  • The Jamboree senior housing project is expected to begin construction this summer.
  • The Avon River Apartments project is scheduled for completion this summer.

The players

Jamboree Housing Corporation

An affordable housing developer that is planning the Westside Costa Mesa Senior Housing complex.

American Family Housing

An affordable housing organization that is developing the Avon River Apartments project.

Costa Mesa City Council

The local government body that approved the additional $3.6 million in funding for the two affordable housing projects.

Kelsey Brewer

The vice-president of business development at Jamboree Housing Corporation.

Laura Archuletta

The president and chief executive of Jamboree Housing Corporation.

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What they’re saying

“This project experienced a massive hole appear in it because of the loss of a federal funding program that we had been anticipating.”

— Kelsey Brewer, Vice-president of business development, Jamboree Housing Corporation

“This is your project. This is your land. ... This is a concrete thing you can do that will add units to housing stock that will be rented at below market rate for your residents, for the people who were lined up there and went home to put their kids to bed.”

— Elizabeth Hansburg, Co-founder, People for Housing — Orange County

“What your decision is is more important than Jamboree housing and the motel conversion. ...It's the future.”

— Jeff Butcher, Real estate broker and affordable housing investor

What’s next

The Jamboree senior housing project is expected to begin construction this summer, while the Avon River Apartments project is scheduled for completion this summer.

The takeaway

The additional $3.6 million in funding for these two affordable housing projects in Costa Mesa demonstrates the city's commitment to addressing the housing crisis and increasing the availability of below-market-rate units for residents, especially seniors. The projects represent crucial investments in the community's future.