Construction is underway for a new 52-unit housing project in South Wrigley meant for low-income people at risk of becoming homeless.

City leaders gathered earlier this month to celebrate the groundbreaking, in what they see as another manifestation of a long-awaited renaissance to the neighborhoods immediately north of Downtown Long Beach.

Navigating around the mud and tire tracks from the passing dozers, a small crowd toured the future site, which they hope will brim with newly housed families by the end of 2026.

“This development by Jamboree Housing will bring much-needed stability, services and dignity to low-income individuals and families who are experiencing or at risk of homelessness,” said 6th District Councilmember Suely Saro. “Transforming a long vacant site into a place of healing and opportunity reflects our commitment to equity and community investment. I’m proud to support projects like this in District 6 that put people first and strengthen the fabric of our neighborhoods.”

The $40-million project will be a low-income community on a .39 acre plot at the corner of Pacific Coast Highway and Pine Avenue. The 51 one-bedroom units will be fully furnished, designed for small families and individuals who have Project-Based Vouchers for housing.

Residents will pay a portion of their rent based on 30% of their income, not to exceed $852 per month.

Within a quarter mile of the complex, there are two bus stops, the Metro A Line, post office, a mental health center and pharmacies, according to a release. Onsite amenities will include a communal lawn, barbeques, laundry room and dining area. Case workers will be staffed at the building for counseling and classes on financial literacy classes and physical wellness.

The city’s Community Investment Company dedicated $4.1 million to help acquire the land for the project. Chase Bank provided $19.6 million in construction financing, the California Department of Housing and Community Development invested $13.5 million from the National Housing Trust Fund and Boston Financial financed a $20 million tax credit equity.

Demand for affordable housing in Long Beach remains high. City officials, recognizing the need, have approved a swathe of similar projects in recent years. Long Beach approved a record 878 affordable housing units in 2023 and is planning for more than 11,000 affordable homes by 2029 under its Housing Element, according to a release.

Still, the area’s housing crisis remains among the worst in the nation, according to census data compiled by the activist group LiBRE (Long Beach Residents Empowered). More than half of all renters in the city spend more than 30% of their income on rent, and more than a quarter spend at least half of their income on rent.

About 37,299 people are on waiting lists for the approximately 1,100 Project-Based Voucher units across the city’s various public housing projects, as of 2024 city data. An additional 6,000 households are on a waiting list for Section 8 federal subsidies to help them rent private apartments.