Proposed $19.5 million County investment and a $10 million commitment from the Schultz Family Foundation will together bring more than 600 shelter and affordable housing units online, accelerating King County’s work to meet the region’s urgent housing needs.
Summary
Executive Zahilay announced new investments to develop shelter and affordable housing throughout the region and a new public-private partnership to expand shelter and housing for youth and young adults.
Story
King County – In March, King County Executive Girmay Zahilay committed to advancing 500 units of shelter and housing in 500 days as part of his Breaking the Cycle initiative. Today, he announced a proposed funding package and new philanthropic partnership that would advance housing and shelter units toward that commitment, putting those investments before the King County Council.
The Executive’s second omnibus budget proposes $19.5 million to support shelter and affordable housing across King County. The funding in total will create 612 new family-sized affordable homes, transitional housing for veterans, and other critical shelter and housing projects throughout the region.
The Executive also announced a significant partnership with the Schultz Family Foundation to significantly increase shelter and housing capacity for youth and young adults. The partnership, which envisages the County and the Foundation each committing $10 million over the next three years, will meaningfully reduce the number of young people experiencing homelessness in King County.
“When we set a goal of 500 units in 500 days, we made a commitment to the people of King County, and we got to work,” said Executive Zahilay. “Today we are proposing the investments to move over 600 units forward. This is what urgency, collaboration and creativity can make possible when government, housing providers, labor, and philanthropy work together. We will work aggressively to bring these units online, and to identify more opportunities for shelter and housing throughout the region. Every additional home or shelter space means another person or family has a chance to build a more stable future.”
If the budget is approved by the King County Council, the investments will fund the following:
- Tiny Home Village – $5 million: King County is partnering with the Low-Income Housing Institute to open an 80-unit tiny home village in early 2027 in Seattle’s Central District neighborhood. Spruce Street Tiny House Village will operate as an enhanced shelter and will include 80 tiny houses, a community kitchen, community space, children’s play area, hygiene facilities, laundry building, and offices for staff and case managers. Approximately 30 tiny houses will serve families with children, and 50 tiny houses will serve singles and couples.
- Pacific Tower Quarters Building – $4 million: King County is partnering with the Pacific Hospital Preservation and Development Authority, the Seattle Chinatown International District Preservation and Development Authority, and the state to develop 18 two- and three-bedroom affordable housing units for intergenerational families with incomes at or below 60% area median income (AMI). The $4M will be in addition to $1.5M the county had previously secured to help bring the project online.
- Mercy Housing Burien – $3 million: King County is partnering with Mercy Housing Northwest to open an 83-unit affordable housing development with an on-site early learning facility in Burien. 65 of the units will be 2-3 bedrooms for families and the units will be deeply affordable with a majority of them for families making 50% AMI. Mercy is also partnering with Mary’s Place to have 17 of the units be affordable at 30% AMI and for families who have a history of housing instability.
- The Glen Shelter – $2.4 million: King County is partnering with Mary’s Place to keep the140-unit family shelter open. The site was intended to be temporary location; however, this investment will allow it to remain in operation after Mary’s Place opens a new facility in Burien in 2027, creating net new shelter beds.
- Kirkland Veteran’s Housing Project – $1.8 million: 100 units of affordable and transitional housing for veterans will open in 2027. This housing will be part of a larger Veterans Service Hub, funded through the Veterans, Seniors, and Human Services Levy, which will create a place where Veterans can connect with benefits, housing assistance, behavioral health supports, employment resources, legal assistance and other services and resources available through the King County Veterans Program (KCVP) and a network of federal, state and community partners.
- 701 S. Jackson Street: King County will develop 111 affordable one-, two- and three-bedroom apartments for families in the Chinatown-International District. The building would be a public-private partnership with OZ Navigator.
With funding identified, several projects will also start essential community outreach to gather input and collaborate with local residents before any development starts.
New Public-Private Partnership for Youth Shelter and Housing
In addition to these investments, the Schultz Family Foundation joined Executive Zahilay to announce a new public-private partnership with King County that will invest $10 million over three years from the County, and $10 million from Schultz Family Foundation to support 92 units of youth-designated shelter and transitional housing, including 80 net new units and 12 which are at risk of closing without this funding.
“I’m proud to work with the Schultz Family Foundation to open new dedicated beds for youth and young adults – one of the most vulnerable groups experiencing homelessness,” said Executive Zahilay. “This partnership builds on the tremendous progress to reduce youth homelessness that the Schultz Family Foundation and philanthropic funders have made through the Built for Zero initiative. We owe it the public to ensure we are spending our money wisely, and when we find the right partners, we’re able to accomplish even more.”
“The leadership of King County has made real progress reducing youth homelessness because service providers, philanthropy, government and community partners have worked together around a shared goal,” said Vivek Varma, CEO of the Schultz Family Foundation. “But there is much more work to do. This partnership is a great example of what can happen when the public and private sectors come together to solve a problem. We are grateful for Executive Zahilay’s leadership and proud to be part of the broader community working to ensure every young person has a safe place to call home.”
Today, approximately 1,000 youth and young adults are experiencing homelessness in King County, underscoring the urgency of this partnership.
Building on Recent Investments
The Executive’s proposed budget also includes funding to extend the lease of the Salvation Army’s SODO Shelter through the end of 2027, preserving over 200 shelter beds. The shelter was at risk of closure due to one-time funds expiring and keeping it open is a top priority for the Executive.
The new investment and partnership build on King County’s broader work to expand affordable and supportive housing across the region. Through the Housing Finance Program , projects currently in the pipeline are expected to deliver 3,205 affordable homes across King County between 2026 and 2029, including 839 homes expected to come online this year and another 601 in 2027. Six Housing Finance Program-supported projects have already opened in 2026, creating 522 affordable homes, including 120 permanent supportive homes at Birch Grove in Seattle. Other recent and upcoming county-supported projects include 235 homes at Copperleaf Northgate in Seattle, 332 homes at Prisma in Redmond, and 154 homes at Trailhead Apartments in Issaquah.
Through King County’s Health Through Housing initiative, another 187 permanent supportive housing units opened this year at Sheila Stanton Place in Kirkland and Booker House in Federal Way.
As part of his Breaking the Cycle initiative, the Executive has also convened a workgroup of diverse leaders that are exploring the feasibility of a new dedicated revenue source to support the siting, construction, preservation, and maintenance of emergency shelter and housing.
What People Are Saying:
Councilmember Jorge Barón
“During my first term, families and providers have made it clear that the need for child and family homelessness services outpace our available resources, leaving too many young people and their parents sleeping outdoors or staying in unsafe home environments. On Wednesday, I will be presenting legislation creating a funding mechanism to increase shelter capacity for family and youth, authorized by the state legislature. While the federal government steps away from providing essential services to our community, I am hopeful that King County can rise to the challenge and bring young people and families indoors.”
Councilmember Rhonda Lewis
“Housing continues to be the challenge of our time. Finding affordable housing is an uphill battle for families in all parts of King County. Some families face a greater struggle than others whether it be medical issues, financial strain, or unexpected changes of events. In this time of history, in this country – this is unacceptable. I am proud to support this partnership to take the steps forward to provide stable affordable housing and look forward to many more steps toward housing security.”
Councilmember Teresa Mosqueda
“Creating the housing units our region desperately needs requires strong leadership and collective action over time—and that is exactly what these investments show. I’m proud to have partnered with our housing providers, county colleagues, and jurisdictional partners to help spur the creation of these units, and I thank Executive Zahilay for showing strong leadership now to bring these investments across the finish line and expedite the new homes our community needs.”
Dr. Susan McLaughlin, Director, Department of Community and Human Service
“For decades, King County has worked alongside cities, housing providers and community partners to create and preserve affordable housing across the region. That commitment has not changed, and today there are more than 16,000 affordable homes in the portfolio, with more than 2,000 housing units in the development pipeline. Executive Zahilay’s commitment to advancing 500 units in 500 days builds on that foundation and brings additional focus and agency to this critical work. We are grateful to have an Executive who recognizes the scale of the housing and homelessness crisis and is committed to working alongside DCHS and regional partners to move more housing forward. Every one of these homes represents greater stability and opportunity for a person or family in our community.”
Dominique Alex, CEO, Mary’s Place
“Families call us every day looking for a safe place to stay, and we need more shelter and housing to meet the need. We are grateful to Executive Zahilay for seeing that need and for being a champion for children and families in King County. His proposed investments in shelter and housing for people across our region will make a real difference, and we look forward to continuing to partner with the Executive and the Council to help families find safe, stable places to live.”
