Airbnb ($ABNB) is committing an initial $250 million to a new Housing Accelerator designed to provide below-market financing for stalled U.S. housing developments, with priority given to affordable and mixed-income projects. Airbnb expects the investment to help unlock $5 billion in housing capital over the next decade.
- The program will provide gap financing to projects that have cleared most regulatory hurdles but lack sufficient capital to begin construction.
- Airbnb's first investment is $6.4 million toward 201 affordable units within the larger St. John redevelopment in Austin, Texas.
- Airbnb plans to reinvest returns from the initial $250 million into additional housing projects.
- The company said individual investments will generally represent about 10% of a project's capital.
- The initiative also includes support for zoning, permitting and building-code reforms and an annual housing-policy dataset.
- Airbnb plans to award five $1 million prizes for technologies designed to reduce homebuilding costs and timelines.
Relevant Companies
- Airbnb ($ABNB) - The company is providing the accelerator's initial $250 million investment.
Editor’s Note: This is a developing story. This article may be updated as more details become available.
