News & Insights
Photo courtesy of: Greg Land
Housing is no longer just a housing issue in California and beyond
Across the country, rising housing costs are reshaping communities, straining local economies, and creating challenges for public institutions that extend far beyond the residential market. School districts are among those feeling the pressure most acutely.
Teachers as well as support staff are commuting longer distances and are being priced out; unable to live in the communities they serve. Enrollment patterns are shifting due to declining enrollment, and families seeking more affordable housing options. Recruitment and retention challenges are becoming increasingly tied to the availability of attainable housing. For many districts, the question is no longer whether housing affects educational outcomes. The question is what role schools can play in helping address the challenge.
Historically, school facilities have been viewed through a narrow lens: classrooms, athletic fields, administrative offices, and support spaces designed to advance educational missions. That mission remains paramount. But today’s realities are forcing many districts and municipalities to think differently about the assets they already control.
Across the nation, school systems collectively own thousands of acres of land, often occupied by aging and underutilized facilities. Many districts have recently closed or consolidated school sites leaving acres of land Many have assets occupied by closed school sites and surplus sites. At the same time, communities are grappling with workforce shortages and housing affordability challenges that directly impact the ability of schools, local governments, healthcare providers, and public safety agencies to attract and retain employees.
Increasingly, educational leaders are recognizing that these challenges are interconnected. When housing costs prevent teachers from living in the communities where they work, student outcomes are affected. When districts struggle to recruit employees because housing is unattainable, operational performance suffers. When families are forced to relocate, schools experience enrollment instability that can ripple across an entire system.
Viewed through this lens, housing becomes more than a community issue. It becomes a strategic educational issue.
A growing number of districts are exploring new approaches to leverage real estate assets in support of broader community priorities. Some are evaluating surplus properties for workforce housing development. Others are pursuing public-private partnerships that allow housing to be integrated into larger mixed-use projects. Still others are identifying opportunities to create housing near schools, transit corridors, and community-serving facilities.
What makes these initiatives compelling is that they can advance multiple objectives simultaneously. They can provide housing opportunities for educators and essential workers. They can create long-term revenue streams that support district priorities. They can activate underutilized assets. And they can strengthen the connection between schools and the communities they serve.
Most importantly, they can help ensure that the people who teach, support, and care for students have the opportunity to live in the communities where they work.
The most successful projects are not simply residential developments. They are community investments. When thoughtfully planned, school-adjacent housing can become part of a larger strategy that supports neighborhood vitality, economic development, and public service delivery. Housing can be integrated with childcare facilities, community health services, recreation amenities, workforce development programs, and educational partnerships that create value beyond the project boundaries.
This approach reflects a broader shift in how public institutions think about land and facilities. Rather than viewing assets solely as places where services occur, leading organizations are beginning to view them as platforms that can help advance multiple community outcomes at once.
Los Angeles Unified School District provides a compelling example of this shift in thinking. In 2024, after identifying significant demand for affordable housing among employees and families, the district explored whether underutilized district-owned properties could support workforce housing development.
Rather than jumping directly into a project, LAUSD first examined housing demand, evaluated surplus sites, analyzed development feasibility, assessed affordability requirements, and explored financing pathways that could support employee-focused housing. The effort reflects a growing recognition among educational leaders that real estate assets can serve broader strategic goals—not only supporting educational missions, but also helping address workforce recruitment, retention, and community stability challenges.
Of course, housing development is not simple. District leaders must navigate land use considerations, community engagement, financial feasibility, political realities, development partnerships, and long-term operational implications. Every community has unique priorities and constraints.
In fact, LAUSD’s analysis also highlighted many of the challenges districts face when pursuing workforce housing initiatives, including financing constraints, affordability requirements, development costs, and the complexities of aligning housing goals with long-term financial viability. Those realities underscore an important point: while housing may be a strategic opportunity, it is rarely a straightforward one.
But complexity should not be mistaken for impossibility. Many of the ingredients needed to support successful housing initiatives already exist within public institutions: strategic land holdings, trusted community relationships, and a mission-driven commitment to long-term community success.
The challenge is creating a framework that aligns those assets with achievable development opportunities. That requires careful planning, rigorous analysis, and a willingness to think differently about what educational facilities can accomplish.
For decades, conversations about school facilities have centered on what happens inside the classroom. Those conversations remain critically important. But as communities face increasingly interconnected challenges, educational leaders have an opportunity to expand how they think about the role of their physical assets.
A school can be more than a place where learning occurs. It can be an anchor for community stability. A catalyst for economic opportunity. A platform for workforce development. And increasingly, part of the solution to one of the most pressing challenges facing communities today.
The districts that embrace this broader perspective will not simply respond to the housing crisis. They will help shape stronger, more resilient communities for generations to come.
Al Grazioli is a vice president in B&D’s Southern California PK-14 practice, where he leads initiatives to repurpose underutilized educational assets, particularly in affordable housing, to support school priorities. With over 20 years of experience in real estate and educational facility development, including leadership roles at LAUSD, he is recognized as an expert in workforce housing and resource management. He can be reached at agrazioli@bdconnect.com.
