New Mexico will distribute $120 million for housing and homelessness projects across the state beginning this month, Gov. Michelle Lujan Grisham announced Tuesday.
The Office of Housing at the New Mexico Department of Workforce Solutions will oversee the distribution, which aims to expand affordable housing options while reducing homelessness and improving public safety, according to the governor’s office.
The $120 million is part of $140 million in general fund, Government Results and Opportunity Fund and capital outlay appropriations approved by the New Mexico Legislature over the past two years, according to a press release.
“These investments prioritize solving New Mexico’s housing crisis through focused investments in affordable and attainable housing, support for prevention, and proven solutions to the challenge of homelessness,” Lujan Grisham said in a statement. “When we face a challenge of this magnitude, we must take an ‘all the above’ approach.”
More than $80 million will go toward housing and homelessness projects in the Albuquerque-Bernalillo County metropolitan area, while more than $11 million is allocated for the Las Cruces-Doña Ana County area. An additional $13 million will fund housing projects in other areas of New Mexico.
The funding also includes $7.8 million for McKinney-Vento programs supporting families experiencing homelessness in Albuquerque, Las Cruces and Santa Fe public schools.
State officials said the investments are expected to create more than 1,500 affordable housing units and more than 1,500 shelter beds paired with housing navigation programs. The funding will also support more than 150 transitional housing units for people leaving shelters and prevention programs to help more than 3,500 families through rapid rehousing, case management and home repair.
“We know what works to address the complex issues around housing and homelessness, and we need to invest more in those proven strategies,” NMDWS Cabinet Secretary Sarita Nair said in a press release.
The Office of Housing will partner with local governments, developers and service providers to make formal project announcements as agreements are finalized. Requests for proposals and applications for additional projects will be issued over the next month, according to the announcement.
Future funding opportunities will focus on site readiness and housing innovations, with the goal of building a pipeline of projects eligible for funding by June 30, 2026.