Expanding California’s Affordable Housing Stock: A Local Perspective
EAH Housing's Welton Jordan reveals the company's secret for 60 years of development success.
The affordable housing crisis in California has only gotten worse over the past decade. Density restrictions, ballooning land prices and high construction costs have forced some developers to postpone their projects or even look for other areas for their developments.
Between 2010 and 2020 alone, the cost of building multifamily housing in the state increased by about 25 percent, according to a report by the Terner Center for Housing Innovation at UC Berkeley. Additionally, recent research from RAND found that California is the most expensive state for multifamily housing production.
Despite all these barriers, EAH Housing—a nonprofit founded in 1968 to address the needs of low-income households and seniors living in California—has delivered 600 new units in the past year alone and has more than 750 units currently under construction.
“Our ability to sustain this pace stems from decades of experience navigating economic shifts and nuanced housing markets,” said Chief Real Estate Development Officer Welton Jordan. “This track record, coupled with our highly skilled team and strategic approach, has helped us overcome challenges like rising costs and shifting conditions.”
We asked Jordan to elaborate on how EAH Housing is navigating through challenges to deliver on its mission to expand the range of opportunities for all.
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How do you identify new construction opportunities in California?
Jordan: Location is paramount. We seek sites that offer residents easy access to public transportation, services and employment. Community and political support is another key factor. We look for areas where local governments recognize the need for affordable housing and offer the resources and incentives necessary to support these projects. Financial feasibility is equally as critical as securing diverse funding sources is key to long-term viability.
This being said, we’re constantly shifting our new development strategy based on market conditions. Today, we’re less focused on acquiring raw land. Instead, we look at pre-identified sites through city or state RFPs and government-owned properties actively seeking development partners. We also pursue entitled projects already in the pipeline, which tend to offer a faster route to development and help avoid unnecessary delays.
Speaking of delays, how do you overcome regulatory hurdles and other challenges to rapidly move your projects forward?
Jordan: Balancing the need for new affordable housing with the realities of high land costs and regulatory hurdles in California is a constant challenge. Still, it is one we’re well-versed in. Strategic partnerships, creative financing solutions and evolving policies to streamline development have helped move projects forward. While the process remains complex, collaboration between public and private stakeholders is essential to prioritizing affordable housing production.
How do you ensure that the needs and preferences of local communities are incorporated into your project plans?
Jordan: For a long-term developer, owner and operator, receiving feedback is an essential part of the development process, particularly for projects involving public land or city-led initiatives. Whether outreach is handled by the city or directly by EAH as the developer, engaging with neighbors and residents is key to understanding priorities and concerns.
Once we’ve gathered feedback, we integrate it in meaningful ways that align with project feasibility. Some aspects—such as exterior design choices or the inclusion of community amenities—can be tailored to reflect neighborhood preferences. At the same time, we must balance input with funding and regulatory requirements. Maintaining an open dialogue ensures that our developments enhance both the lives of residents and the fabric of the surrounding neighborhood. We strive to be a good neighbor.
Can you share details about a recent EAH Housing project that brought change? How did the project impact the entire community?
Jordan: The Laurel in Santa Monica, which officially opened in October 2024, is a powerful example of how affordable housing can be transformative for individuals and entire communities. The Laurel features 57 permanent supportive housing units for previously unhoused or at-risk individuals, many of whom have lived, worked in and contributed to Santa Monica’s vibrant landscape for years.
Beyond providing housing, The Laurel also restored and preserved the historic Nikkei Hall, which now serves both residents of The Laurel and the surrounding area. We’re proud to offer a space where all people can rebuild their lives while helping ease pressure on local services.
Outside of California, we’re preparing to open Hale Nā Koa ‘O Hanakahi in Hilo, Hawaii, a 92-unit senior housing development in partnership with Hawaii Island Veteran Memorial. This project prioritizes veterans and their surviving spouses, addressing the critical need for supportive senior housing in the region.
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You recently developed Greenfield Commons I in Greenfield, Calif., your first modular construction development. What are the benefits of modular construction? Is it feasible anywhere?
Jordan: Modular construction has advantages, especially in areas with labor shortages or logistical constraints. At Greenfield Commons I, modular construction was a strategic choice to navigate challenges regarding the site’s size, location and labor constraints.
By taking the modular approach, we overcame risks and inefficiencies associated with framing—a labor-intensive process requiring skilled workers. Sourcing these workers is a challenge. Waste reduction is another upside of modular construction. Because components are built in a controlled environment, there’s less material waste and room for error.
All this being said, modular isn’t a one-size-fits-all solution. While it reduces on-site labor costs and speeds up certain phases, it requires significantly higher upfront investment and may not always shorten overall development timelines. Modular’s standardized designs can also limit flexibility, making it more suitable for specific project types, such as workforce housing, rather than highly customized, affordable housing developments.
What other projects do you have planned or in the works in California? Were they impacted by the recent wildfires?
Jordan: We have several notable milestones ahead, including projects in West Hollywood, Altadena, Glendale and Santa Monica. One significant project is Agave in Altadena. While construction was disrupted due to wildfire damage, we resumed work and the project is on track for completion in February 2026. Agave will bring much-needed housing to an area with an acute need for supportive housing solutions.
Are there any specific areas in California that are more suitable for new affordable housing development than others? Are there any municipalities that are more open to new construction?
Jordan: The need for affordable housing spans all of California, making it difficult to pinpoint specific regions as the most suitable. However, some areas like Sacramento, Monterey County and parts of the San Francisco Bay Area have been more receptive to development. Local governments in these areas are taking a more proactive approach, recognizing that expanding affordable housing is critical to addressing workforce shortages and economic stability.
Ultimately, every community has an acute need for affordable housing, so our focus remains on identifying opportunities where development is feasible and impactful. While some locations present fewer barriers than others, our goal remains the same: to provide housing that meets the needs of each area and aligns with the broader mission of expanding access to quality, affordable homes.
