California Construction News staff writer
California voters have approved $175 million in funding for University of California student housing construction as part of an $11.25-billion state bond measure aimed at expanding veterans’ services and affordable housing.
Proposition 1, the Veterans and Affordable Housing Bond Act of 2026, allocates $350 million for student housing at the state’s public universities, split equally between the University of California (UC) and California State University (CSU) systems.
UC’s $175-million share will be distributed through the state’s Higher Education Student Housing Grant Program and will help campuses develop new housing projects and expand affordable accommodation for students.
UC President James B. Milliken said the funding will support construction as the university expands enrolment of California residents.
“The passage of Proposition 1 is a vital step in addressing the state’s housing crisis,” said Milliken. “As the University of California works with the state to enroll more California students, the demand for affordable student housing has risen. This historic investment will enable the construction of necessary and new housing on our campuses. I am grateful for the state’s partnership and to those across the university community who advocated for Proposition 1. We have much work ahead to address housing in California, but this is an important victory in the effort to bring down costs for students.”
UC enrolled a record 301,093 students in fall 2025, including more than 200,000 California undergraduates. Since 2021, the university has added nearly 19,000 California resident students.
The university currently has more than 13,000 student beds in development across 14 active projects systemwide.
The new funding builds on more than $700 million UC’s nine undergraduate campuses have secured through the state’s Higher Education Student Housing Grant Program in recent years. Those grants have supported the construction of thousands of student beds, including units offered below market rates.
UC has also used a $41.6-million state investment to support student housing debt service, helping add more than 7,000 beds, including 3,000 subsidized beds.
State funding can cover a portion of project costs that would otherwise be financed through student rents, allowing campuses to offer more affordable units. The university also said construction activity will support jobs and economic activity in communities across the state.
State Senate President pro Tempore Monique Limón said additional campus housing will help address student accommodation costs.
“Building new campus housing will expand housing opportunities to help bring down costs for students,” Limón said. “During my time working with college students, I saw the importance student housing has on students success.”
State Senator Christopher Cabaldon said the bond responds to longstanding calls from students for more affordable accommodation.
“Students have continuously advocated for desperately needed affordable housing,” Cabaldon said. “With the passage of Proposition 1, voters are delivering 350 million dollars to address this significant need. Now students can focus on their education and not worry about where they’re going to sleep at night.”
Assemblymember Buffy Wicks said housing availability is closely tied to access to higher education.
“Students should be able to pursue higher education without the added burden of housing insecurity,” Wicks said. “The passage of Proposition 1 brings us one step closer to that reality, funding the affordable housing fundamental to student success.”
Kai Wang, UC Student Association student housing officer and a UC Davis student, said the measure will help advance projects across the university system.
“This measure will authorize several shovel-ready projects across our 10 campuses, placing thousands of our students in beds as they pursue their postsecondary education and strengthen California’s workforce,” Wang said.
UC campuses are expected to apply for available funding to advance additional student housing projects.
