Rendering of Serenity Village in Olivehurst, a planned 124-home affordable housing development that recently received $25.3 million in state funding. Rendering courtesy of Mutual Housing California/Habitat for Humanity Yuba-Sutter

YUBA COUNTY, CA (MPG) - A planned 124-home affordable housing development in Olivehurst has received more than $25.3 million in state funding, moving the project closer to a targeted 2027 groundbreaking.

The California Department of Housing and Community Development awarded $25,342,598 to Serenity Village through the state's Multifamily Housing Program Gap Funding program.

Mutual Housing California and Habitat for Humanity Yuba/Sutter are developing Serenity Village as a family-oriented multifamily community for extremely low-income households.

Plans call for 124 homes along with supportive services, an on-site community center and day care facilities.

The latest award builds on $11.6 million in previous state funding secured for the project in partnership with Yuba County. That includes $6,593,300 through the state's Infill Infrastructure Grant Program and $5 million through the Permanent Local Housing Allocation Program.

Combined, the three awards represent nearly $37 million in state funding committed to Serenity Village.

The developers still have another financing step ahead. Mutual Housing California and Habitat for Humanity Yuba/Sutter plan to pursue tax credits, with the goal of beginning construction in 2027.

The $25.3 million award comes through a state program intended to close financing gaps for affordable multifamily housing developments.

Yuba County's Prohousing Designation also played a role in supporting the development. The state designation recognizes jurisdictions that adopt policies intended to accelerate housing production beyond requirements under state housing law.

According to the county, the designation gives qualifying grant applications priority processing and a competitive advantage for several state funding opportunities. Yuba County also has adopted prohousing policies intended to reduce barriers to housing projects.

Mutual Housing California develops and operates affordable housing in Northern California and advocates for affordable housing and community development.

Habitat for Humanity Yuba/Sutter provides affordable homeownership and other housing opportunities in Yuba, Sutter, Glenn and Colusa counties.

The latest funding does not mark the start of construction, but it closes another portion of the financing needed to move Serenity Village forward. The developers' pursuit of tax credits will serve as the next step toward their goal of breaking ground next year.