The County of Santa Cruz, in partnership with the Santa Cruz County Veterans Memorial Building Board of Trustees, has announced new financing to complete construction of Veterans Village of Santa Cruz County, a 20-unit permanent supportive housing community for veterans and their families in the San Lorenzo Valley.
The project received approximately $13.3 million in federal Low-Income Housing Tax Credits over 10 years from the California Tax Credit Allocation Committee, along with approval for tax-exempt bond financing through the California Debt Limit Allocation Committee. Officials said the combination is essential for developing affordable housing across the state.
The County and Veterans Memorial Building leadership worked with affordable housing developer DANCO Group to secure the funding, accelerate construction and establish an innovative ownership-management arrangement for the project.
Veterans Village will transform the former Jaye’s Timberlane Resort at 8705 Highway 9 in Ben Lomond into a supportive residence for local veterans.
“Veterans Village is such an exciting project for my District and the County overall because it provides affordable housing for our veterans and writes a new chapter for a treasured San Lorenzo Valley landmark,” said Fifth District Supervisor Monica Martinez. “Veterans Village is a great example of what can be accomplished when we think creatively about how to meet our community’s needs.”
The development will renovate 10 existing cabins and a main house, and construct 10 modular one-bedroom units. Additional improvements include office and laundry facilities and an on-site property manager’s unit. Officials anticipate completion in early 2027.
Veterans Village aims to provide high-quality permanent supportive housing to meet the county’s critical need for affordable homes for veterans and their families. The project is part of several initiatives designed to reduce homelessness by pairing stable housing with supportive services.
Initial funding came from a $6.2 million Project Homekey grant, a statewide effort to prevent and reduce homelessness. The project is also supported by 15 Project-Based Section 8 vouchers from the Santa Cruz County Housing Authority, ensuring long-term operational stability.
For more information about Veterans Village of Santa Cruz County, contact the Housing for Health Division at in**@*************************ip.org or 831-454-7312.
