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Home»Opinion»Santa Monica Initiative: A Path to Alleviate California’s Housing Shortage
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Santa Monica Initiative: A Path to Alleviate California’s Housing Shortage

By March 31, 2026No Comments3 Mins Read
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Innovative Modular Housing Solution in Santa Monica Tackles California’s Affordability Crisis

Recently, Santa Monica celebrated the opening of Berkeley Station, a 13-unit apartment complex designed to provide affordable housing for low-income families and young adults. This initiative marks a significant step toward addressing California’s ongoing housing crisis, particularly in affluent areas that often resist high-density developments.

A Notable Achievement in Housing Development

Located in one of California’s wealthiest coastal cities, Berkeley Station represents a pioneering effort in overcoming the resistance to increased housing density. Many coastal municipalities, such as Huntington Beach and Half Moon Bay, have historically opposed such projects despite the pressing need for affordable housing solutions.

“Berkeley Station is proof that Santa Monica can take on the housing crisis with urgency and results,” stated Santa Monica Mayor Caroline Torosis.

Modular Construction: A Game Changer

What sets Berkeley Station apart is its construction using modular units built in a factory located an hour northeast of Santa Monica. These units were assembled on-site in a mere three days, showcasing the potential of modular construction to streamline housing development.

According to a study from UC-Berkeley’s Terner Center for Housing Innovation, modular construction methods could significantly reduce the high costs associated with apartment development in California, which typically exceed $400,000 to $500,000 per unit in metropolitan areas facing housing shortages.

Financial Insights and Time Efficiency

While Berkeley Station’s cost came in at approximately $1 million per unit, largely funded through a loan from the city, its construction approach illustrates a time-saving methodology conducive to more efficient housing development.

Tara Barauskas, executive director of the Community Corporation of Santa Monica, explained, “We were able to build the onsite elements at the same time as the offsite elements, saving considerable time. The entire process took about nine months, compared to the normal 20 months required for ground-up construction.”

Barriers to Modular Adoption

To fully realize the cost-efficiency of modular construction, California would need to embrace its use more systematically, allowing for economies of scale. Challenges include altering state laws, encouraging housing lenders to adapt, and navigating pushback from construction unions.

While public-funded projects must adhere to state-determined prevailing wages, using union labor is not legally mandated. Unions have pressured local officials to secure commitments to hire union members for these projects.

In San Francisco, a local construction trades council leader once criticized modular construction, labeling it “crap” and vowing to oppose similar initiatives in the future.

Legislative Efforts to Facilitate Modular Housing

Interestingly, as Berkeley Station was officially opened, Assemblymember Buffy Wicks was introducing a trio of bills aimed at easing barriers to modular housing development. Wicks, who chairs the Select Committee on Housing Construction Innovation, has become an advocate for prefabricated housing after touring various modular projects across the country.

The three proposed bills aim to:

  • Modify building codes to be more accommodating to modular designs.
  • Prevent local governments from using building codes to obstruct modular housing initiatives AB 1815.
  • Streamline the transportation of modular units across state highways AB 2012.

This legislative package serves as a litmus test for California’s commitment to resolving its housing crisis through innovative and efficient construction methods.


In conclusion, the unveiling of Berkeley Station in Santa Monica illustrates a growing trend in California towards modular housing solutions as a means to combat the ever-present issue of affordable housing. With ongoing legislative support and advances in modular technology, California may be inching closer to a solution that meets the housing needs of its residents.

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