"Housing is a human right, not a privilege." – Leilani Farha, Former UN Special Rapporteur on Adequate Housing
Introduction
Homelessness remains a critical issue in the United States, particularly in high-density urban areas such as Oakland, Los Angeles, and San Francisco. The real estate industry plays a pivotal role in both contributing to and alleviating this crisis. For real estate professionals, understanding the systemic causes of homelessness, as well as emerging policy solutions, can offer opportunities to make a meaningful impact while aligning development strategies with social responsibility.
This article compiles insights from leading experts, analyzes recent data, and explores actionable strategies that developers, investors, and policymakers can leverage to combat homelessness effectively.
The Current State of Homelessness in the U.S.
According to the National Alliance to End Homelessness – 2024 State of Homelessness Report, over 22.6 million renter households were cost-burdened in 2023, spending more than 30% of their income on housing (endhomelessness.org). These financial pressures frequently result in eviction, leading many families and individuals into homelessness.
In California, the state with the largest homeless population, over 161,000 people are estimated to be experiencing homelessness on any given night. Factors exacerbating this issue include high housing costs, insufficient affordable housing stock, and systemic inequities that disproportionately affect marginalized communities (chpc.net).
The implications are not only humanitarian but also economic: communities with high rates of homelessness incur significant public costs through emergency services, healthcare, and law enforcement, emphasizing the need for proactive, data-driven solutions.
Expert Insights on Addressing Homelessness
1. Jeff Olivet – Executive Director, National Alliance to End Homelessness
Olivet stresses the importance of housing-first initiatives, which prioritize providing permanent housing without preconditions. Research shows that access to stable housing improves outcomes in healthcare, employment, and social integration. Developers and investors can support these programs by incorporating affordable units into mixed-use projects or dedicating land and resources to housing-first developments.
2. Leilani Farha – Former UN Special Rapporteur on Adequate Housing
Farha emphasizes the need for a human-rights-based approach. She argues that recognizing housing as a fundamental right is crucial to creating policies that protect vulnerable populations. Developers can take actionable steps by ensuring equitable access to housing and collaborating with community organizations to design inclusive projects.
3. Matt Schwartz – President and CEO, California Housing Partnership
Schwartz points to the effectiveness of Low-Income Housing Tax Credits (LIHTC) in expanding the affordable housing supply. He notes that recent federal policy adjustments could potentially double the number of low-rent units produced in California, provided developers are equipped to navigate financial and regulatory complexities (chpc.net).
Recent Developments and Real-Life Models
1. California Housing Agency Formation
California recently established a state-level housing agency to streamline housing policy and production, targeting affordability gaps more efficiently. This centralized approach provides developers with clearer guidance on permitting, zoning, and subsidies, creating a more predictable environment for affordable housing projects (latimes.com).
2. Enfield Manor Senior Housing Redevelopment Project
In Enfield, Connecticut, the $48.9 million redevelopment will replace outdated units with 99 modern, energy-efficient homes, including units for homeless veterans. This project illustrates how targeted redevelopment can meet both affordable housing needs and support specific populations (ctpost.com).
3. Low-Income Housing Tax Credit Expansion
The recent federal spending package expands LIHTC incentives, allowing more low-rent units to be built nationwide. Developers in California and other high-cost markets can capitalize on this change to increase the number of affordable units available to homeless or near-homeless populations (apnews.com).
Tactical Strategies for Real Estate Professionals
1. Integrate Housing-First Models
Embedding housing-first units in mixed-use projects is a sustainable approach to reducing homelessness while maintaining financial feasibility. Developers can partner with local nonprofits to provide supportive services on-site.
2. Leverage Incentives
Tax incentives like LIHTC, Opportunity Zone investments, and municipal grants can make affordable housing development economically viable. Professionals should remain up-to-date on policy changes and federal programs to maximize financial leverage.
3. Collaboration and Policy Engagement
Working with city planners, social service agencies, and community boards ensures projects address actual local needs. Early collaboration reduces regulatory hurdles and enhances social impact.
4. Supportive Housing Integration
Combining counseling, job training, and healthcare access with housing solutions improves long-term stability. This model is increasingly recognized as cost-effective due to reductions in emergency services and hospital admissions.
Real-Life Success Stories
San Francisco's “All In” Campaign: Vacant housing units were repurposed for homeless populations with tech company partnerships providing temporary support. This initiative demonstrates how private-sector engagement can amplify public efforts.
Portland Housing Innovations: Adaptive reuse of commercial spaces has provided transitional housing for individuals experiencing homelessness, highlighting creative urban solutions.
Enfield Manor: Modernizing senior housing while allocating units for homeless veterans combines urban development with social responsibility.
Call to Action
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Get involved: Participate in local housing initiatives and nonprofit collaborations.
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Invest strategically: Use financial tools like LIHTC to maximize impact.
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Lead with innovation: Pilot mixed-use or supportive housing models to create replicable success.
Real estate professionals have a unique opportunity to reshape the housing landscape, reduce homelessness, and drive both social and financial returns. Act now to contribute meaningfully.
FAQs
Q1: What is “housing-first”?
A1: A policy providing permanent housing to homeless individuals without preconditions, improving long-term stability.
Q2: How can developers participate?
A2: Develop affordable units, collaborate with nonprofits, leverage tax credits, and engage in supportive housing projects.
Q3: What are the benefits of supportive housing?
A3: Reduces homelessness recidivism, improves health outcomes, and lowers public service costs.
Myth-Busting Section
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Myth: Homelessness is caused by individual failings.
Fact: Systemic issues such as affordability, wages, and social support drive most cases. -
Myth: Homeless individuals are unwilling to work.
Fact: Many are employed but cannot afford housing in high-cost areas. -
Myth: Housing-first is too expensive.
Fact: Studies show housing-first reduces overall public costs and increases community stability.
References
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National Alliance to End Homelessness – 2024 State of Homelessness Report
Access the official 2024 State of Homelessness Report with detailed data and analysis: https://endhomelessness.org/state-of-homelessness/ -
California Housing Partnership – Affordable Housing Needs Report 2025
Read the official 2025 California report (PDF version): https://chpc.net/wp-content/uploads/2025/04/CHP_2025-Subsidized-At-Risk-Report.pdf
News coverage with key highlights: https://apnews.com/article/adf839e5ad5dcd18c02189f267f431bc -
Enfield Manor Senior Housing Redevelopment Project
Connecticut Post coverage: https://www.ctpost.com/journalinquirer/article/ct-enfield-manor-senior-disabled-housing-20811741.php
CT Insider coverage: https://www.ctinsider.com/journalinquirer/article/ct-enfield-manor-senior-disabled-housing-20811741.php
Hashtags
#HomelessnessSolutions #AffordableHousing #RealEstateInnovation #HousingFirst #CommunityDevelopment #UrbanPolicy #SocialImpact #RealEstateProfessionals #PublicPrivatePartnerships #SupportiveHousing
About the Author:
Dr. Daniel Cham is a physician and medical-legal consultant with expertise in healthcare management, smart housing, and affordable housing advocacy. He focuses on delivering practical insights that help professionals navigate complex challenges at the intersection of healthcare and housing. Connect with Dr. Cham on LinkedIn: linkedin.com/in/daniel-cham-md-669036285
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