California's state agencies have deployed a variety of tools to spur the development of new affordable housing in the Golden State, including the use of builder's remedy to overrule local zoning officials and the expansion of higher-density development to neighborhoods of single-family homes.

Now comes an initiative from the California Municipal Finance Authority (CMFA) to make tax-exempt state housing bonds available to finance the purchase of existing luxury apartment campuses for conversion to affordable housing.

According to a report in the Silicon Valley Business Journal, the CMFA last month approved issuing up to $100M in tax-exempt housing bonds to facilitate the sale of Modera The Alameda, a market-rate complex in downtown San Jose located at 787 The Alameda.