California Awards $11.3 Million in Prohousing Grants to Expedite Infill Residential Approvals

SACRAMENTO, CA — Governor Gavin Newsom and the California Department of Housing and Community Development (HCD) announced $11.3 million in grant disbursements to local cities and counties designated under the state's Prohousing Incentive Program.

Rewarding Density and Zoning Modernization

The funding awards provide direct municipal infrastructure capital to jurisdictions that have removed parking minimums, rezoned commercial corridors for mixed-use residential towers, and eliminated discretionary review for deed-restricted affordable housing projects.

Governor Newsom stressed that municipal accountability is central to solving California’s housing shortage, noting that cities removing bureaucratic roadblocks will receive priority state financing for parks and streetscaping.

Municipal Recipient Allocations

Recipient municipalities across Southern California and the Central Valley plan to use grant revenues to upgrade water utility connections and pedestrian crossings adjacent to upcoming affordable developments.

Urban planning advocates praised the performance-based incentives for driving regional zoning compliance.

Next Grant Cycle Milestones

HCD will open applications for the next $25 million Prohousing funding round in January 2027.