Housing Authority proposes $3.5M loan for Jacaranda Court development in Santa Barbara

During the recent Finance Committee meeting held on August 12, 2025, the City Council of Santa Barbara discussed a significant proposal aimed at addressing the city's affordable housing crisis. The proposal involves a loan of $3.5 million to the Housing Authority for the development of Jacaranda Court, a multifamily rental project located at 400 West Carrillo Street.

This city-owned property, previously utilized for commuter parking, spans 1.1 acres and is strategically situated at the intersection of Carrillo and Castillo Streets. The site has an appraised value of $7.75 million, highlighting its prime location within walking distance of State Street and various retail and service amenities. Additionally, the property offers easy access to the freeway and public transportation, making it an ideal spot for residential development.

The proposed development will consist of 63 rental units, including 21 studios, 37 one-bedroom units, and 5 two-bedroom units, arranged in a three to four-story building. The Housing Authority will take ownership, development, and management responsibilities for the project, which aims to provide much-needed affordable housing options in the area.

This initiative reflects the city's ongoing efforts to tackle housing shortages and enhance community living standards. As discussions continue, the committee's decision on the loan will be pivotal in determining the project's future and its potential impact on local residents. The outcome of this proposal could set a precedent for similar developments aimed at improving housing accessibility in Santa Barbara.