The Seattle City Council has voted unanimously to approve an interlocal agreement with the Seattle Social Housing Developer, transferring $115 million to acquire and develop publicly owned, permanently affordable housing for working residents across the city. The vote marks the first major funding milestone for the agency, which was created by voter-approved Initiative 135 in 2023 and further empowered by Proposition 1A in 2025.
Seattle Mayor Katie Wilson said the investment reflects a shared commitment to tackling Seattle’s housing affordability crisis with long-term solutions.
“Housing is far too expensive in this city. We need more housing of all types and all sizes, and social housing is part of the solution,” said Wilson. “With a robust revenue source, new leadership, and a mayor’s office committed to its success, the Seattle Social Housing Developer is now set up to fulfill its promise and deliver the mixed-income, permanently affordable, publicly owned housing that Seattle voted for.”
The agency was first established through I-135, which passed in February 2023 with 57 percent of the vote. The measure tasked the new public developer with building, owning, and maintaining mixed-income housing that is permanently removed from the private real estate market. Unlike traditional affordable housing models, social housing under this framework is publicly owned and resident-stewarded, drawing inspiration from Vienna’s globally recognized system of housing that serves a broad range of income levels.
The latest funding, approved through Proposition 1A in 2025, levies a 5 percent tax on salaries exceeding $1 million per year. The tax is paid by employers, not employees, and is projected to generate tens of millions annually to fund social housing in perpetuity. The City of Seattle began collecting the first installment of Proposition 1A revenue in January from approximately 170 qualifying employers.
Wilson and Seattle Social Housing Developer leadership said the council’s vote affirms the city’s obligation to carry out the mandate of the voters.
Interim CEO Tiffani McCoy said the agency is now in position to act.
“This money will allow us to begin the process of acquiring our first building, and house hundreds of Seattleites this year alone,” McCoy. “We plan to house people at a variety of income levels as quickly as possible and intend to use our dollars carefully to be able to do just that. We are grateful for the support of the mayor, the city council and the trust of the public, whom we look forward to serving.”
The council vote coincides with a public town hall hosted by Wilson and McCoy at El Centro de la Raza, where city leaders are engaging directly with residents on what social housing can deliver in the years ahead. As housing prices continue to climb and private market supply struggles to meet demand, local officials and voters have embraced social housing as a way to build stability and affordability for future generations.
Unlike traditional models that rely on time-limited subsidies or public-private partnerships, the Seattle Social Housing Developer is designed to create a stock of housing that is publicly owned and insulated from speculation. The goal is to serve residents earning a wide range of incomes, with rental rates based on ability to pay and reinvestment of excess revenue back into the housing system itself.
To begin that work, McCoy has appointed several senior leaders with deep experience in housing development and finance. Ginger Segel will serve as Chief Real Estate Development Officer. Segel brings nearly four decades of experience in the field, including as Housing Director and Director of Advocacy and Resident Services at the Low Income Housing Institute, Executive Director of the Washington Low Income Housing Network (now the Housing Alliance), and Chief Development Services Officer at Community Frameworks.
McCoy said Segel’s track record of delivering affordable housing and her work on both advocacy and operations made her an ideal fit for the developer’s mission.
Also joining the leadership team is interim Chief Financial Officer Koll Husemoen. With more than 30 years of experience in real estate finance, development, and construction, Husemoen has overseen large-scale capital projects and implemented cost control strategies across a wide range of housing portfolios.
Seattle Social Housing’s next steps include identifying and acquiring its first properties, issuing its first tenant selection guidelines, and establishing a structure for long-term community oversight and transparency. The agency is expected to publish regular progress reports and financial disclosures in accordance with its public charter.
For many residents and officials, the launch of the developer marks a turning point in how Seattle addresses housing equity and stability.
Wilson said the public has made its priorities clear and that City Hall must deliver on the promise.
“Voters gave us a clear mandate to take bold, lasting action on housing,” said Wilson. “We now have the tools and the leadership to turn this vision into reality.”
