Salt Lake City approves new loan program to help ease affordable housing shortage
Mar 25, 2025, 11:18 AM
Apartment housing construction in Salt Lake City on Tuesday, May 30, 2023. (Scott G Winterton, Deseret News)
(Scott G Winterton, Deseret News)
SALT LAKE CITY — The Salt Lake City Council has approved a first-of-its-kind funding program for accessory dwelling units (ADUs) construction on Salt Lake City’s west side.
Austin Taylor with the Community Reinvestment Agency said the west side was picked because the funding was generated there and because the homes tend to have larger lots to accommodate the units.
“The west side has bigger lots than the east side, generally. The west side has these larger single-family home lots that are underutilized. We thought it’d be a great place to start this program.”
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Sarah Beaumont with the Community Development Corporation of Utah explained that this program could help those struggling to find affordable housing options.
“Maybe they have aging parents or, on the other side, they have kids that are getting ready to go to college and they need a place to live. And we know how difficult the housing environment is in Salt Lake City.”
Beaumont said qualifying residents could get up to $200,000 in 30-year low-interest loans for construction.
“We are looking at a restriction where they would have to run to the ADU to individuals who are making at or below 80% of area median income,” Beaumont said.
Nearly $3 million is allocated for the program, which is expected to help fund up to 20 ADUs.
The program launches in June and will last for two years, or until the funding runs out.
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