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Casa Azul

Casa Azul is one of four Project Homekey sites in Santa Cruz County. Originally a single-family Victorian home built in 1903, Housing Matters acquired the long-vacant property in 2019 and began a major renovation effort to create seven separate living spaces — two one-bedroom apartments and five studios.

7

UNITS OF PERMANENT HOUSING FOR
OUR MOST VULNERABLE NEIGHBORS

$2.24M

FUNDING FROM PROJECT HOMEKEY, A STATE PROGRAM FOR PERMANENT HOUSING DEVELOPMENT

2023

CONSTRUCTION COMPLETED &
FIRST RESIDENTS MOVED IN

Casa Azul, located across the street from the Housing Matters Campus, at 801 River St. in Santa Cruz’s Harvey West area, is the first completed Project Homekey-funded development in Santa Cruz County.

Project Homekey is a $1.2 billion state program that provides local government agencies with funds to purchase and rehabilitate housing and convert properties into permanent, long-term housing for people experiencing homelessness. 

Casa Azul is one of four Project Homekey sites in Santa Cruz County. Originally a single-family Victorian home built in 1903, Housing Matters acquired the long-vacant property in 2019 and began a major renovation effort to create seven separate living spaces — two one-bedroom apartments and five studios. 

This is permanent supportive housing for those who have been chronically homeless. Casa Azul residents have experienced homelessness for at least a year – or repeatedly over a period of years – while struggling with a disabling condition such as a serious mental illness, substance use disorder, or physical disability.

There are a lot of false promises when you’re homeless. People get their hopes up about housing or some opportunity and then it doesn’t happen. That’s why you see people sitting outside crying, because everything just falls apart over and over again. For Casa Azul to come along is great because it gives everyone out there hope. Casa Azul is going to give me security. It makes me feel excited. We all need hope, especially the homeless. Hope is really lost out there on the streets.”

Clifton, Permanent Resident at Casa Azul

The folks who moved in are among the most vulnerable and they would not see an opportunity like this in another housing situation. This place seems tailor made for them — it’s in the neighborhood that they’re familiar with and has ongoing support from the recuperative care staff. These are people who have had a really tough time in the last few years, and it’s their time to get a break.

Housing Matters staff made thoughtful choices when selecting apartments for the seven individuals. The one who enjoys cooking has a larger kitchen. The gardener’s apartment has a lot of natural light. The guitar player has a porch.

The renovation was funded through donations and grants, including a $2.24 million Project Homekey award, in collaboration with the County of Santa Cruz. Additional funding for Casa Azul was received from New Way Homes, Community Foundation Santa Cruz County, Santa Cruz County Bank, Common Spirit and Kaiser Permanente.

See exterior and interior photos of the facilities and more in our gallery.

VIEW PHOTO GALLERY

Housing Matters believes housing absolutely is a human right. People should have the ability to lock their door at night, make themselves meals, lay down on a comfortable, safe mattress in bed, and be able to decorate a space the way they like. Permanent supportive housing provides one of the best opportunities for people experiencing chronic homelessness to establish housing stability and begin meeting life goals, such as recovering from health issues, achieving sobriety and securing employment. 

Casa Azul is rental housing — not a temporary shelter — designed specifically for residents with ongoing healthcare needs. The space has the added benefit of supportive services available at the Housing Matters campus, such as help accessing health care, life skills and other services, provided by dedicated service providers.

Housing Matters owns Casa Azul. Residency there is managed by the John Stewart Company, a multifamily property management company, and Casa Azul residents can live in their apartments for as long as they choose.

FREQUENTLY ASKED QUESTIONS

Points & Perspective

Permanent supportive housing, or PSH, combines affordable housing with on-site support services for people who need assistance in order to maintain their housing. Participants often struggle with physical disabilities or issues of behavioral health that affect their ability to live independently. Based on national data and evidence-based best practices, PSH has been shown to be one of the most effective solutions for homelessness among this population.

The 7 units of permanent supportive housing at Casa Azul at 801 River Street are just the beginning. Housing Matters will soon break ground on the Harvey West Studios, a 121-unit, 5-story permanent supportive housing project on the Housing Matters campus. The project, financed through $55 million in state and federal grants as well as a robust capital campaign, will include a recuperative care center and a health clinic on the ground floor, as well as community space for case management and peer support services. The studio apartments will have individual kitchenettes and ADA accessible bathrooms. Essential to the project’s success are the support services provided on campus.

The County-operated Homeless Persons Health Project clinic and Recuperative Care Center for unhoused people recovering from hospitalization also will be located in the building.

The project will serve Santa Cruz County’s most medically vulnerable community members who are experiencing chronic homelessness. All tenants have been high-utilizers of the healthcare system, in need of on-site services. Prospective tenants will be evaluated by professional case managers to determine eligibility.

This is permanent housing and leases will not have expiration dates. However, we expect natural rental turnover of 8-10 percent per year.

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