SACRAMENTO, CA — The Sacramento Regional Transit District (SacRT) is proud to announce it has been awarded three grants totaling $25.8 million through the Affordable Housing and Sustainable Communities (AHSC) Round 9 program. In total, SacRT in partnership with the cities of Sacramento and West Sacramento and private development partners including AMCAL Multi-Housing, Community Housing Works, and E. Smith & Company, has secured more than $126 million from this round of awards. This marks a significant milestone for SacRT, which received $1.5 million in the previous round, and reflects the agency’s growing leadership in advancing sustainable, equitable, and transit-oriented development across the Sacramento region. 

The funding will support a range of transformative transportation projects, including: 

• Purchase of four new low-floor light rail vehicles, increasing SacRT’s new fleet from 59 to 63, including two vehicles dedicated to the future Downtown Riverfront Streetcar project. 

• Florin Station improvements that serves the Blue Line, to accommodate the height requirements of the new low-floor vehicles, enhancing safe and accessible boarding for all passengers.  

• Transit Signal Priority upgrades at 33 intersections along the Meadowview corridor and J and L streets in downtown Sacramento to improve service reliability and rider experience. 

• Support for construction at the Sacramento Valley Station (SVS) Transit Center, building on $30 million already secured for this multimodal hub. 

In addition, these investments will directly support 546 new affordable housing units across three developments, expanding on more than 1,000 units of transit-oriented housing already underway along SacRT’s Blue and Gold lines. The projects are expected to reduce greenhouse gas emissions by an estimated 311,883 metric tons of carbon dioxide equivalent — a reduction comparable to removing 67,000 cars from the road annually. 

“This funding is a game-changer for our region,” said SacRT General Manager/CEO Henry Li. “It allows us to close critical funding gaps, expand our clean transit fleet, and support the kind of walkable, affordable communities that make Sacramento a more sustainable and inclusive place to live.” 

“The Affordable Housing and Sustainable Communities grants are meaningful investments for Sacramento families,” said State Senator Angelique Ashby. “Combining affordable housing with dependable transit opens doors to jobs, education, healthcare, economic development, and, importantly, individual independence. These critical housing projects reflect our region’s ongoing commitment to strengthening neighborhoods and making life easier for everyone who chooses to call Sacramento home.” 

“I am very glad to see the Strategic Growth Council approve these grant awards,” said State Senator Christopher Cabaldon. “SacRT’s Downtown Riverfront Streetcar project and the Grand Gateway in West Sacramento will provide much-needed clean connectivity between two fast growing job and entertainment centers in the riverfront zone.” 

“I commend Sacramento Regional Transit for making such a compelling case with these project grant applications,” said Assemblymember Stephanie Nguyen. “Our region is in dire need of more affordable housing adjacent to transit lines and that’s exactly what these projects will provide.” 

“Transit Oriented Development remains one of the best opportunities for Sacramento to construct enough new housing and help local businesses thrive,” said Assemblymember Maggy Krell (D-Sacramento). “The projects receiving these grants will provide more affordable housing without creating more traffic congestion or urban sprawl.” 

Project Highlights 

I Street Apartments – Downtown Sacramento 
Led by Community HousingWorks, this 84-unit affordable housing project will transform a vacant site near the Sacramento Valley Station into a model of climate-resilient, transit-integrated development. The project includes Class IV bikeways, sidewalk repairs, and transit signal priority upgrades. 

Clover Apartments – South Sacramento 
Developed by AMCAL Multi-Housing, Inc., this 348-unit transit-oriented development near the Meadowview Light Rail Station will include sidewalk upgrades, bikeways, and transit signal priority infrastructure. SacRT will add two zero-emission low-floor light rail vehicles to the Blue Line to support increased service demand. 

MOSA Apartment Homes at Gateway – West Sacramento 
In partnership with E. Smith & Company and the City of West Sacramento, this 114-unit affordable housing project will benefit from two new electric low-floor light rail vehicles and station improvements on SacRT’s light rail extension into the City of West Sacramento. The project also includes new bikeways, walkways, and bus shelters, along with workforce and housing stability programs through the city’s Home Run initiative. 

About the Affordable Housing and Sustainable Communities (AHSC) Round 9 Program 
AHSC is administered by Strategic Growth Council and implemented by the California Department of Housing and Community Development. AHSC is part of Cap-and-Invest (formerly Cap-and-Trade) dollars to work reducing greenhouse gas emissions, strengthening the economy, and improving public health and the environment—particularly in disadvantaged and low-income communities. California Climate Investments projects include affordable housing, renewable energy, public transportation, zero-emission vehicles, environmental restoration, more sustainable agriculture, recycling, and much more. Learn more at https://sgc.ca.gov/grant-programs/ahsc/