In March 2023, California Governor Gavin Newsom pledged to deploy 1,200 tiny homes across Sacramento (350), Los Angeles (500), San Jose (200), and San Diego (150) by fall, costing $750 million in taxpayer funds to combat homelessness. The California National Guard was tasked with delivering the units, with local governments handling maintenance. However, two years later, by March 2025, the plan has unraveled.
Only Sacramento received state-purchased homes—175 under construction by May 2024 on Stockton Boulevard, with another 175 planned on Watt Avenue—while Los Angeles, San Jose, and San Diego got cash grants instead of direct deliveries. San Jose’s $13.3 million grant falls short of its $22.7 million need, delaying its site to July 2025. San Diego lost $10 million due to inaction, and Los Angeles hasn’t secured locations.
Of the 1,200 promised homes, none are complete or occupied. The state blames local governments for delays, while cities cite unclear guidance. No clear accounting exists for the $750 million, mirroring California’s broader struggles to track homelessness spending. Critics see this as a failure of execution, leaving both the homes and funds effectively missing.
Gavin Newsom March 2023: We are deploying 1200 tiny homes by Fall at a cost of 750 million taxpayer dollars.
— Kevin Dalton (@TheKevinDalton) February 28, 2025
Reality: Two years later neither the 1200 tiny homes or 750 million taxpayer dollars can be found pic.twitter.com/4f0XQQRjmV