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Mutual Housing California's new multifamily housing community in Stockton is set to become the most innovative positive net energy permanent affordable housing project in the State of California. The 76-unit senior housing project took another leap forward at the November 19 Stockton City Council meeting with Mayor Kevin Lincoln and the councilmembers voting unanimously to approve $6.19 million in HOME Investment Partnerships Program (HOME) funding for Mutual Housing at Fairview Terrace.
The groundbreaking project by Mutual Housing and general partner STAND will uniquely pair energy innovation through emerging microgrid, solar, and battery technology with deeply affordable, mission-driven housing.
There have been residents in the weeds for this project for decades. I’m excited about the possibility. I’m excited about seeing that vacant property have something on it,” remarked Vice Mayor Kimberly Warmsley at the November council meeting. “This is going to revitalize the whole entire neighborhood not for decades to come but, for centuries, because this is historic. I just want to thank all of the residents and community members who have been fighting for this for so long. I think that this is definitely justice in terms of this project.
The funding approvals also included a Permanent Local Housing Allocation Program (PLHA) loan of $843,432. Opening the door to next pursue Tax Credit allocations, the City’s investment comes on the heels of Mutual Housing being approved for $10 million in project funding by the California Energy Commission for their Electric Program Investment Charge (EPIC) Challenge program—including $1 million awarded for the Design Phase and $9 million for the Build Phase in March 2024. The project was awarded largely in consideration of its cutting-edge energy reduction and net positive energy elements.
At the March 13 Energy Commission Business Meeting, Commissioner Patty Monahan remarked on the project, “California is in a housing crisis, and we know that the lowest income people are most vulnerable to being pushed out of their housing, and so to combine the benefits of clean energy with providing housing to people who need it at an affordable price. I just feel like this is a perfect example, again, of the kinds of investments we want to make.”
“Mutual Housing is honored to partner with the City of Stockton, STAND, and our architect partners at Architectural Nexus to realize the vision of this community that has been more than 5 years in the making,” said Mutual Housing Interim CEO Anne Marie Flynn. “With STAND’s deep commitment to inclusive community development and Architectural Nexus’ drive to push the envelope on innovative housing solutions, we are excited to grow our sustainability and community impact and maximize this incredible alignment with both the City and State. Mutual Housing at Fairview Terrace will be the first of Mutual Housing’s upcoming ZNE projects that push the envelope in creating positive net energy housing and cultivating community.”
Located on the 2200 block of South Airport Way, the community design centers on sustainability and resiliency, and aims to reduce electricity bills by up to 85%. Both the design of the project and designation for seniors were deeply informed through feedback from area residents after multiple rounds of community engagement efforts in the Southeast Stockton neighborhood.
“We had over 100 residents come to a neighborhood meeting. We listed over twenty possible uses for the vacant lot. They looked at us like we were stupid, and they said as much,” said STAND Administrator Fred Sheil. “They said, ‘We need a big health care clinic for sick kids, and we need housing for our seniors.’ And so, it was decided.”
In response, Mutual Housing at Fairview Terrace will bring new sustainable design concepts to the surrounding area and built as an all-electric, positive-net energy, highly resilient and grid-interactive, equitable, affordable, and human centered community. The sustainability features serve as a catalyst for economic empowerment as well, enabling residents earning between 30% to 60% AMI to spend on other vital needs such as groceries, health care, and transportation costs. A portion of the project site is also designated to become the future home of a health clinic developed and operated by Community Medical Centers bringing additional health services to the entire neighborhood.
"This project isn't about us; it's about the community,” explained Megan Repka, Project Architect at Architectural Nexus. “We sat down with folks, listened to their ideas, and poured their vision into every inch of Fairview Terrace. It's a place where people feel at home because they helped build it."
"When you look at the exterior designs for Fairview Terrace, it's hard not to smile. The colors, the shapes, the way the sunlight plays on the façade – it's like a piece of art that changes with the day. It's a place that feels alive," said Megan Repka, Project Architect at Architectural Nexus.
The 4-story permanently affordable housing, infill project is slated to begin construction in early 2026, pending approval of tax credits allocations. Mutual Housing plans to submit in February 2025 for 9% Low Income Housing Tax Credit financing.
Other cutting-edge and sustainability features within the new Mutual Housing at Fairview Terrace development include the use of Ephoca heat pumps. Icarus Quartet, enhanced domestic water heaters and refrigerators that all use refrigerants with low global warming potential. The project will also incorporate advanced technology features such as a microgrid with a 300 kilowatt solar PV System with pre-mounted inverters and a 600 kilowatt hour battery, dynamic window sheeting technology using thermo bimetals, all electric appliances, vampire switches, and an automated building energy management system that balances energy consumption against energy pricing while considering occupant comfort.
"Fairview Terrace isn't just a building; it's a vision of sustainable living," added Repka. "We've packed it with cutting-edge tech and energy-saving features, creating a place where people can thrive while treading lightly on the planet."
Said Flynn, “Together with our architect partners at Arch Nexus and STAND, and through critical investments from the State and City of Stockton, we will create the most innovative affordable multifamily housing development in the State of California. We hope to inspire all Californians to make climate action a priority.”
More about Mutual Housing California’s sustainability and climate action goals:
Mutual Housing is committed to reducing both energy consumption and carbon footprint across their portfolio and pipeline. They joined the US Dept of Energy (DOE) Better Building Challenge and Better Carbon Challenge to memorialize and formalize this goal. The challenge also comes with technical support from US DOE and other consultants. They have pledged to lower energy use by 20% over 10 years and greenhouse gas emissions by 50% over 10 years.
Mutual Housing has deep experience in pursuing their sustainability and climate action goals. Mutual Housing at Spring Lake, located in Woodland, CA. provides 101 one-, two-, three-, and four-bedroom flats and townhomes for agricultural workers and their families earning between 30%and 60% AMI. The three-story garden-style project was developed in two phases, with the first phase completed in February 2015 and the second in June 2019. Mutual Housing at Spring Lake was the first certified Zero Net Energy multifamily rental community built in the United States. The first phase of the project received the Housing Innovation Award from the U.S. Department of Energy and was one of two housing developments internationally to receive the United Nations World Habitat Award as an exemplary model of innovative and sustainable housing as well as resident leadership development. The company continues to partner with the local university, UC Davis, to measure performance and track tenant satisfaction.
Additionally, Mutual Housing California believes in developing and contributing to dense, walkable neighborhoods. These goals directly tie into carbon footprint and tenant health. Their recent projects and pipeline reflect an increasing emphasis including their Cornerstone project, completed earlier this year, with 37 units per acre and Monarch at 220 units/acre, set to break ground in March 2025.