Community Housing Services NAICS 624221, 624229

May 11, 2026 - Major Hotels-to-housing Program Results Mixed

• California's hotels-to-housing program has had uneven results, according to the LAist news site. The Homekey program awarded more than $3.8 billion to local governments to convert motels and other buildings into homeless housing. Cities and counties could hire outside contractors to help or do the work themselves. Some projects were huge successes but others were total failures, according to LAist. Nearly 13,500 people now live at successful Homekey sites, according to the state Housing Department. Projects involving about 3,000 homes, roughly 1 in 5 promised by the program, weren’t finished as of January 1, 2026, however. State officials say that they have extended deadlines and improved vetting for the program’s latest bond-funded iteration, Homekey+.
• East Hampton, NY, officials are considering the creation of a new use under the town code called an "accessory staff housing development" that would allow employers to build housing for their employees. No income restrictions would be placed on residents and rents would need to be "affordable," not exceeding 130% of "fair market rent." Apartments, single-family homes, or even rooming houses with bedrooms as small as 70 square feet, having the potential to accommodate up to 16 residents on a single acre, could be built on employer-owned properties if a law is passed. The housing could only be built as accessory to the principal use on a lot and would need to be built on the same land where the business operates.

• A national movement called Yes in God’s Backyard (YIGBY) encourages churches to use their land to build affordable housing. The YIGBY movement began when advocates for the unhoused worked with lawmakers to make it easier for churches to build housing without needing local planning board approval. Congregations looking to build affordable housing face a host of financial and procedural hurdles, however, including high impact fees, restrictive land-use regulations such as height and bulk limits, and lengthy approval processes for site plan reviews and permits, according to David Garcia, a researcher at the Terner Center for Housing Innovation at University of California Berkeley. These challenges drive up costs and often discourage smaller faith-based organizations from pursuing housing projects.
• Community housing service industry employment decreased slightly and average wages for nonsupervisory employees increased slightly during the first two months of 2026, according to the US Bureau of Labor Statistics. Community housing services industry sales are forecast to grow at a 4.73% compounded annual rate from 2026 to 2030, faster than the growth of the overall economy.