The Sacramento City Council voted on Tuesday, May 11, in favor of a resolution that will grant a $10 million loan to Mercy Housing California Sacramento, a nonprofit developer.
They will develop an affordable housing project south of Aggie Square at the UC Davis Medical Center.
The housing is part of the city's Aggie Square project, a $1 billion plan to expand UC Davis' Sacramento campus.
"This is a significant step in meeting the needs of the neighborhood and ensuring that the development of Aggie Square becomes a positive for the surrounding communities," said Vice Mayor Jay Schenirer.
Aggie Square is a state-of-the-art medical research facility and is expected to bring in hundreds of jobs to the area.
The project will be funded by a $31.5 million housing fund in the general budget as well as funding from Measure U.
Measure U was approved by voters in November 2018 and is a one-cent sales tax.
According to city leaders, Measure U funds are meant to be used to build and bolster an inclusive economy, create jobs, and provide housing that is affordable to everyone in the community.
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