Oakland Awarded $35M from State Climate Action Programs

December 19, 2025

Oakland Awarded $35M from State Climate Action Programs

Oakland, CA — The California Strategic Growth Council (SGC), in partnership with the California Department of Housing and Community Development (HCD), announced the latest awards from the highly competitive Affordable Housing and Sustainable Communities (AHSC) Program for affordable housing and greenhouse gas–reducing transportation improvements. The City of Oakland and the East Bay Asian Local Development Corporation (EBALDC) have been jointly awarded $35.9 million to support a new affordable housing development at 285 12th Street as well as major transportation infrastructure improvements in Oakland’s Districts 2 and 3.  

“This award shows what happens when we align our housing, transportation, and climate goals: 64 affordable homes, including units for neighbors experiencing homelessness, plus over two miles of protected bike lanes and bus-only lanes on Broadway. We’re going to continue building green, resilient communities throughout Oakland where families can stay rooted, and people can get around safely. As a commissioner on the Bay Area Housing Finance Authority at MTC, I see firsthand how regional collaboration can unlock transformative investments like this – bringing together state climate dollars, local housing bonds, and transit improvements to create the kind of integrated, equitable development our region needs. Oakland is on the move — and continues to lead the way on affordable housing development,” said Oakland Mayor Barbara Lee.    

The 285 12th Street development will provide 64 units of affordable family housing, create jobs with prevailing wages, and expand contracting opportunities for local businesses in Oakland’s Chinatown neighborhood. Additional highlights of the award include: 

The development’s studio, one-, and two-bedroom units will be restricted to households earning between 30-60% of Area Median Income (AMI), with 13 units reserved for people exiting homelessness.  

The Martin Luther King Jr. Way Streetscape and 7th Street Connection projects will construct over two miles of protected bike lanes, implement transit access and reliability enhancements, and improve accessibility through reconstructed curb ramps, high-visibility crosswalks, pedestrian lighting, and other safety improvements. 

The Broadway Streetscape Improvements project will deliver a suite of pedestrian safety and transit enhancements, improving service for over 15 AC Transit bus routes in Oakland. Planned improvements include over one mile of dedicated bus-only lanes on Broadway, transit signal priority at intersections along Broadway and 7th Street, and new bus-boarding islands and shelters.  

“From the Chinese Exclusion era to today, Chinatown has fought to stay rooted in Oakland,” said Oakland District 2 Councilmember Charlene Wang. “Affordable housing is a continuation of that struggle—a promise that our elders, workers, families, and neighbors who have been unhoused do not have to be displaced to survive. This project keeps that promise.”  

AHSC funding is supported by proceeds from California’s Cap-and-Trade program. Additionally, the City of Oakland’s Housing and Community Development department recently announced a $8.26 million award for the housing development with the support of Measure U affordable housing and infrastructure bonds. 

“HCD is proud to work with our City partners to deliver affordable housing near transit” said Emily Weinstein, Director of the Housing & Community Development Department. “These coordinated, place-based investments will create lasting impacts, ensuring that low-income Oaklanders have sustainable access to healthy communities. We are grateful for the support of all the project partners that will help make this project a reality.” 

“With this grant, we are upholding our promise to provide safe and reliable transportation options for all residents regardless of income or neighborhood,” said Josh Rowan, Director of the Oakland Department of Transportation. “Receiving this grant also underscores the importance of the City coming together to deliver projects that are interconnected. Residents in affordable housing must have access to high-quality transportation options.” 

EBALDC has successfully implemented similar infrastructure land-use, housing, transportation and agricultural land preservation practices that reduce greenhouse gas (GHG) emissions components in past projects, including Casa Arabella and Prosperity Place. 

“The AHSC award acknowledges the transit-richness of the 12th street project location and EBALDC is proud that we are delivering 64 affordable homes that the Chinatown community advocated for on this site,” said Janelle Chan, CEO of EBALDC. “We are excited new families, regardless of their income, will be able to connect to the many services and amenities available and be a part of a vibrant neighborhood.” 

Another key partner in this joint effort is the Oakland Housing Authority (OHA). To support deep affordability for housing development at 285 12th St., OHA has committed to providing $12 million in project funding as well as 24 project-based vouchers, including eight Veterans Affairs Supportive Housing (VASH) vouchers.  

“OHA Moving to Work (MTW) funding for 285 12th Street helps ensure more Oakland residents have access to affordable, service-enriched homes in a transit-rich neighborhood,” said Patricia Wells, Executive Director of the Oakland Housing Authority. “This investment will make an especially meaningful difference for residents at risk of homelessness, including veterans, and we strongly support the City of Oakland’s commitment to advancing sustainable, community-centered development.” 

About Oakland’s Housing and Community Development Department  

Homelessness and housing affordability are top priorities for Oakland residents. To address these challenges, the City implements a multi-pronged approach. The Housing and Community Development Department is addressing housing affordability issues through its “3P” framework: Protect Oaklanders from displacement; Preserve the existing affordable housing stock; and Produce new, deeply affordable housing units. Oakland HCD also aims to prevent homelessness for vulnerable residents through partnerships with and grants to community service organizations. Read more about Oakland HCD’s Strategic Action Plan and current priorities here. 

About the Oakland Department of Transportation (OakDOT) 

OakDOT is responsible for envisioning, planning, building, operating and maintaining a transportation system for the City of Oakland and assures safe, equitable, and sustainable access and mobility for residents, businesses and visitors. OakDOT’s Strategic Plan guides the department’s work, and is structured around four pillars: Equity, Safety, Sound Infrastructure, and Responsible Governance.