Building Toward Accessibility and Affordability | September 2025
As the real estate market continues to evolve, we are seeing a convergence of economic pressures, policy changes, and demographic shifts that are reshaping housing dynamics across Southern California. High interest rates, inflation, and regulatory uncertainty have created a challenging environment for buyers, sellers, and developers. Yet one constant remains: the growing need for housing, particularly affordable housing, in high-demand markets like Orange County.
This demand is being driven by multiple factors, including migration trends toward coastal and temperate regions and displacement from events such as the recent Los Angeles wildfires. These pressures are intensifying the urgency for accessible housing solutions. In both my professional work and broader community engagement, the issue of affordability has become increasingly personal and central to our development strategy.
Housing Pressure Across the U.S. and in Southern California
Recent data from the Pew Research Center highlights the growing concern around housing costs.(1) Nearly 70% of Americans now say they are very concerned about the cost of housing, up from 61% just a year ago. According to the U.S. Department of Housing and Urban Development, more than 31% of households are considered cost-burdened, spending over 30% of their income on housing. With home prices continuing to rise, many families are struggling to afford both rent and ownership.
Accessibility is also a growing concern. Southern California is facing a significant housing shortage, particularly in areas experiencing population growth. In Orange County alone, 183,861 new housing units are required between 2021 and 2029 to support all income levels, according to the Southern California Association of Governments.(2) These figures underscore the urgency of building housing that meets the needs of a diverse and expanding population.
Policy Shifts and How They Affect Orange County
In Orange County, the affordability crisis is being compounded by changes in federal housing support. Earlier this year, HUD announced that its Emergency Housing Voucher Program, created under the American Rescue Plan Act to assist households at risk of homelessness, will not receive additional funding beyond 2026. The program currently supports over 800 individuals across 522 households, including more than 200 children – in Orange County alone. With an average household income of just $15,171, many of these families face the real possibility of losing their housing once the funding expires.(3)
This shift in policy places additional pressure on local governments and developers to find sustainable solutions. Without continued federal support, the burden of affordability will fall even more heavily on regional efforts and private sector initiatives.
Working Towards Change
These challenges are deeply personal to me and to our team at Integris’ parent company, Shopoff Realty Investments. We are actively exploring ways to support organizations that provide housing to those in need and to integrate affordability into our development strategy. Our projects, like the former Amway building in Buena Park, which will be redeveloped into single-family housing with an affordable component, and our Fountain Valley site, which will deliver 304 market-rate units alongside 83 affordable units, reflect our commitment to building for both market demand and community impact.
Further supporting this mission is Magnolia Coast in Huntington Beach, a planned mixed-use development that will include over 200 for-sale single-family homes, a 215-key boutique hotel, and 19,000 square feet of retail space. As part of the project, a 50-unit affordable multifamily community will be integrated, with half of those units specifically designated for hotel workers employed on-site and within the surrounding coastal region. This targeted allocation is designed to address workforce housing needs in one of the area’s most economically active corridors.
We continue to seek opportunities that offer both accessibility and long-term value, especially in underserved areas of Orange County. Several new projects are in the pipeline that aligns with these goals, and I look forward to sharing more details in the months ahead.
Looking Ahead
As we move forward, our focus remains on thoughtful, impact-driven development. The challenges facing the housing market are significant, but they also present an opportunity to lead with purpose. By factoring in affordability and staying responsive to policy shifts, we aim to create lasting value for residents and the communities we serve.
Disclosures
(1) Source: Pew Research Center. “A look at the state of affordable housing in the U.S.” https://www.pewresearch.org/short-reads/2024/10/25/a-look-at-the-state-of-affordable-housing-in-the-us/
(2) Source: SCAG. “Regional Housing Needs Assessment.” https://scag.ca.gov/rhna
(3) ABC7. “Hundreds in OC are at risk of homelessness as HUD ends funding for emergency housing voucher program.” https://abc7.com/post/hundreds-oc-are-risk-homelessness-hud-ends-funding-emergency-housing-voucher-program/16116852/
The information provided pertains to the activities and projects of Shopoff Realty Investments, L.P. and its affiliates (or “third-parties”) that may be unrelated to any investment offerings by Integris Real Estate Investments.
This newsletter is for informational purposes only and does not constitute investment advice or an offer to buy or sell securities. Statements reflect the current views of management and are not guarantees of future performance or project success. The examples discussed herein are for illustrative purposes only and do not represent all projects managed by Shopoff Realty Investments.
This is not an offering to buy or sell any securities. Such an offer may only be made through the offering memorandum to qualified purchasers. Any investment in Shopoff Realty Investments programs involves substantial risks and is suitable only for investors who have no need for liquidity and who can bear the loss of their entire investment. There is no assurance that any strategy will succeed to meet its investment objectives. The performance of this asset is not indicative of future results of other assets. Securities are offered through Shopoff Securities, Inc. member FINRA/SIPC.
