The social media site pledges $25 million for teacher and essential worker housing
Facebook announced on Tuesday that it would invest $1 billion in the effort to combat the affordable housing crisis in California.
Over the next 10 years, the social network will support initiatives on creating up to 20,000 new housing units for essential workers, including teachers, nurses, first respondents, and others. Facebook teamed up with California Gov. Gavin Newsom to work towards the goal.
“Access to more affordable housing for all families is key to addressing economic inequality and restoring social mobility in California and beyond,” Newsom said. “State government cannot solve housing affordability alone. We need others to join Facebook in stepping up – progress requires partnership with the private sector and philanthropy to change the status quo and address the cost crisis our state is facing.”
In a statement, Facebook Chief Financial Officer David Wehner said that a family of four with an annual household income of $100,000 is considered low income in San Francisco.
Facebook has previously partnered with community groups and local officials on affordable housing efforts in the San Francisco Bay area and in the Silicon Valley city of Menlo Park.
Part of the investment will go toward a land Facebook previously bought in Menlo Park, where it has its headquarters. Wehner said that the company plans to generate more than 1,500 units of mixed-income housing on the land.
“We’ve learned that the production of affordable housing across the income spectrum is a problem throughout California and must be addressed through partnerships that bring companies, communities, nonprofit organizations and policymakers statewide together to find creative solutions,” Wehner said.
Wehner provided a breakdown of the company’s $1 billion investment in a press release:
- $250 million to a partnership with the state of California for mixed-income housing on excess state-owned land in communities where housing is scarce
- $150 million for the production of affordable housing, including housing for the homeless, in the San Francisco Bay Area.
- $225 million in land in Menlo Park. This is land Facebook previously purchased, which is now zoned for housing.
- $25 million to build teacher and essential worker housing on public land for school districts in San Mateo and Santa Clara Counties.
- $350 million in funds for additional commitments based on the rollout and effectiveness of the initiatives described above. These funds will also be used to support more affordable housing in other communities where Facebook has offices.
