City offering $25 million for affordable housing projects

Published July 14 2026

As part of an ongoing effort to increase affordable housing in Bellevue, the city's Office of Housing is requesting project proposals from affordable housing developers and operators for up to $24.95 million in funding.

From the total, up to $13.95 million is available from Bellevue's Housing Stability Program and up to $11 million is available from city housing reserves. Project proposals are due by 5 p.m. on Friday, Sept. 11, with a required pre-application conference occurring no later than Friday, Aug. 14.

The Housing Stability Program is funded through a 0.1% sales tax required by the state and approved by the City Council in 2022. Administered by the Office of Housing and the Parks & Community Services Department, with support from ARCH (A Regional Coalition for Housing), HSP invests capital funding into targeted affordable and supportive housing developments that serve the city's most marginalized residents and funds services critical for housing stability.

Eligible uses for HSP funds include capital for site acquisition and new construction, as well as operations, maintenance and related on-site services for households earning below 60% of the area median income, with a preference for projects with units for households below 30% AMI.

This year, eligible HSP projects can also qualify for up to $11 million from city housing reserves. Housing reserve investments represent a limited opportunity to accelerate local affordable housing production by providing gap funding for qualified development projects.

These funds come from one-time sources and are not guaranteed in future funding rounds. For the 2026 cycle, housing reserve dollars will only be awarded to development projects that also receive funding from the HSP and include a proportion of units that meet HSP's eligibility criteria.

The city's Affordable Housing Strategy identified a need to build or preserve 5,700 affordable units over the next 10 years, with the greatest area of need for households earning 50% or less of AMI. This year's funding round, along with the city's capital investment of $37 million in 2025, will continue to accelerate progress toward the city's goal of expanding housing opportunities for all.

ARCH: A Regional Coalition for Housing RFP

In addition, approximately $7.2 million is available in the 2026 round from the ARCH Housing Trust Fund for creating and preserving affordable housing projects that meet the needs of low-income households earning up to 50% of AMI in East King County, including Bellevue. At least once a year, ARCH holds a competitive application round for these resources, in coordination with King County and the state's Department of Commerce and Housing Finance Commission.

To learn more about the Housing Stability Program and housing reserve funds, contact Sabrina Velarde at [email protected] or visit Housing Stability Program. For information about the ARCH Housing Trust Fund, contact Chris Keneen at [email protected] or visit ARCHHousing.org/housing-trust-fund.