South LA Gets 37 New Affordable Homes
Eleos and Health Net have broken ground on a new project that will bring 37 affordable homes to South Los Angeles. The development at 5637 S. Broadway is part of a public-private partnership aimed at addressing the city's housing shortage.
This project is notable for being privately financed and delivered without public subsidies, a different approach to affordable housing development. The rapid nine-month approval for entitlements and permits was achieved through Mayor Karen Bass's Executive Directive 1, a measure designed to accelerate the construction of affordable housing. Health Net's involvement includes a $550,000 investment that bridged the final funding gap for the project. This is part of a larger commitment by the company, which has invested $93 million in California housing and homelessness initiatives since 2020. The development at 5637 S. Broadway will be entirely comprised of income-restricted units, targeting low-income households. Developer Eleos focuses on serving residents who have experienced homelessness, rely on housing vouchers, or fall into the "missing middle" income bracket. This four-story building will offer one and two-bedroom apartments. Construction is projected to be completed in the summer or fall of 2027. The project is a response to Los Angeles's severe housing affordability crisis. A recent report indicated that Los Angeles County needs to add 485,667 affordable homes to meet the current demand for lower-income households. Public-private partnerships are increasingly being used as a model to address this shortage. Other examples in Los Angeles County include the conversion of a 150-unit market-rate community in Carson and a 143-unit luxury complex in Glendale into workforce and middle-income housing.
