Bill aiming to add rental supply for ‘missing ‘middle’ moves forward


A bill aiming to help moderate-income families — or the “missing middle” — find housing within their price range continues to advance in the Legislature.

Assemlyman David Chiu

Last week, AB 3152 by Assemblyman David Chiu, D-San Francisco, won unanimous passage in the Assembly Housing and Community Development Committee and now heads to the Appropriations Committee.

Under AB 3152, nonprofit developers would qualify for a property tax exemption when they build rental housing in high-cost areas exclusively for people earning between 80 percent and 120 percent of the area median income.

High-cost areas are defined as areas identified as having high fair market rents as determined by the U.S. Department of Housing and Urban Development.

California’s housing crisis disproportionately affects extremely low- and very low-income households, however, many low-and moderate-income households also struggle to rent a home at an affordable level, particularly in high-cost areas. According to the National Low Income Housing Coalition, California has a short-fall of 61,000 moderate-income housing units.

During the housing crisis, middle-income Californians are in a very tough spot,” said Chiu, as reported in this Mercury News story. “They don’t qualify for low-income affordable housing, but also can’t afford market rents.”


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