In an effort to put a dent in the state’s housing shortage, California is considering something unprecedented: getting into the construction insurance business. The text of the bill refers to a “self-reinforcing cycle” that the industrialized construction industry appears to be stuck in. The state of California operates one loan guarantee program for healthcare facility construction, but none for the housing industry. The housing factory surety guarantee idea is “super innovative,” said Jan Lindenthal-Cox, chief investment officer at the San Francisco Housing Accelerator Fund, a nonprofit that directs philanthropic money toward affordable housing projects. The premise of the bill is that “the state can support the early adopters while the factory-built housing industry builds up its reputation,” said Pullen at Terner.

Source: Los Angeles Times April 04, 2026 14:12 UTC