California’s housing landscape saw a dual development this week as state officials touted the creation of 380 new affordable housing units across the Bay Area and Coachella Valley, even as independent reports from San Diego painted a sobering picture of a market still deeply in crisis. Governor Gavin Newsom’s administration continues to lean on the ‘Cap-and-Invest’ program, utilizing climate-focused funding to bridge the gap between transit-oriented development and residential affordability.

The projects, including the 179-unit Middlefield Junction in Redwood City and the 81-unit Lazuli Landing in Union City, represent the state’s strategy of integrating housing with existing public infrastructure. By leveraging funds from the Affordable Housing and Sustainable Communities (AHSC) program, the state aims to reduce individual carbon footprints while addressing the chronic undersupply of housing.