Mayor Bass Announces LA4LA Initiative at State of the City Address

LA4LA will target financially distressed multifamily properties that are approved but not yet constructed, properties that are close to opening or properties struggling with high vacancies, with the goal of turning them into affordable housing.

Because LA4LA is a philanthropic venture — overseen by the California Community Foundation, a charitable group — it will be able to offer financing at lower interest rates than a bank, LA4LA leaders said. In certain scenarios, according to LA4LA lead strategist Sarah Dusseault, investors will be offered a small return.

Creating more apartments will also allow the city to take advantage of federal housing vouchers that are now going unused because there is nowhere to house people.

The city has had to return some voucher money to the federal government, frustrating officials.

Hollywood mogul Jeffrey Katzenberg, one of LA4LA’s leaders, has already donated $300,000. He told The Times in a written statement that the initiative uses “the flexibility of philanthropy to activate housing units fast, for those who need it now.”

Donna Bojarsky, co-founder of a nonprofit dedicated to building civic culture in L.A., predicts that Bass’ deep commitment to alleviating homelessness will spur people to give to LA4LA.