California continues to invest billions in supportive housing projects amid rising rental costs and a severe homelessness crisis. The state has the highest number of unhoused people (187,084) in the United States, according to data from the Annual Homelessness Assessment Report to Congress.
To meet urgent demand, California is leveraging adaptive reuse to breathe new life into old buildings and deliver supportive housing at a pace ground-up construction rarely achieves.
A Former Motel Reimagined for Permanent Supportive Housing
Crescent in Long Beach is the perfect example of how adaptive reuse can restore and repurpose old properties. The redevelopment converted a vacant, deteriorating Motel 6 at 5665 East 7th Street into 40 permanent supportive housing units for individuals transitioning out of homelessness.
Imperial Contracting served as Crescent’s general contractor. Having been responsible for completing the project within Project Homekey’s tight deadlines, we can provide insights into Crescent’s successful development and outcome.
First, What Is Permanent Supportive Housing?
Permanent Supportive Housing (PSH) is a cost-effective solution to ending chronic or long-term homelessness. It combines non-time-limited, affordable rental assistance with voluntary, flexible supportive services.
What residents can expect in permanent supportive housing:
- Housing First: PSH follows a “Housing First” program. There are no preconditions like sobriety or treatment compliance to access housing.
- Target Population: Primarily for chronically homeless individuals and families, especially those with disabilities (e.g., behavioral health conditions, substance use disorders, and chronic health issues).
- Supportive Services: Services are voluntary and tailored to the individual, including case management, mental health treatment, substance abuse recovery services, and life skills training.
- Funding: Funded through a mix of federal, state, and local resources.
At Crescent, residents live independently in private, self-contained units. Case managers and service staff are available on-site to assist with employment, healthcare coordination, and housing retention.
From the beginning, Linc Housing, the nonprofit developer behind Crescent, wanted the property to feel like a home. The goal was to create a space where people would feel comfortable and welcomed as they settled into permanent housing. As a customer-centric company, Imperial Contracting executed the project with that vision for the community in mind, all while staying on budget and on schedule.
Now, What Is Adaptive Reuse?
Adaptive reuse is the process of repurposing existing, often historic or abandoned, buildings for new functions while retaining their original structure and character. As a sustainable alternative to demolition, it reduces waste and preserves cultural heritage while meeting modern-day, functional needs. Common examples include turning old factories into lofts, warehouses into offices, or, in the case of our topic, hospitality properties like Motel 6 into residential units.
The process retains the property’s primary structural framework and modifies interiors and building systems to comply with current residential codes. Specifically, developers upgrade fire protection, accessibility, plumbing, electrical, and life safety systems, among others, to meet housing standards.
Why Adaptive Reuse Works for Supportive Housing Projects Like Crescent
Giving old buildings new leases on life aside, the benefits of adaptive reuse versus new construction include the following:
1. Environmental Sustainability and Reduced Waste
Reusing structures lowers the demand for new materials and reduces landfill waste from demolition. It decreases the carbon footprint associated with producing, transporting, and assembling new construction materials.
In Crescent’s case, although Imperial Contracting gutted the entire building to wood framing and rebuilt with new walls, systems, and finishes, our team reused its frame or “skeleton” instead of demolishing everything and starting from scratch.
2. Cost Savings
Adaptive reuse can be 12-15% more cost-effective than new construction because it eliminates building from the ground up. When existing foundations or structures are intact and code-compliant, developers avoid extensive excavation, new framing, and large material orders associated with completely new builds.
3. Preservation of Cultural and Architectural Heritage
The adaptive reuse model preserves historical buildings and cultural landmarks while they serve a new purpose.
Although the former Motel 6 lacked cultural or historic designation, its conversion demonstrates the value of adaptive reuse in meeting current housing needs. This project preserves a piece of the past while creating necessary housing for the future.
4. Urban Revitalization and Community Improvement
Converting abandoned or underutilized properties into supportive housing helps combat urban sprawl, revives neighborhoods, and encourages community interaction.
Motel 6 had long been vacant and deteriorating on a main thoroughfare in Long Beach. Today, the property includes a covered outdoor communal space complete with game tables, a BBQ area, a designated smoking area, and even a dog park (Long Beach is one of the best cities for dogs!). Instead of an eyesore attracting vagrancy, the site became a staffed community helping residents make new connections and get their lives back on track.
5. Optimized Energy Consumption
Old fixtures and appliances typically consume more energy than modern, efficient models, often by 25 to 100% more. Fortunately, existing buildings can be retrofitted with modern, eco-friendly technology. Upgrades like high-efficiency HVAC equipment and LED lighting, for example, reduce overall energy consumption and can lower long-term operating costs for owners and residents.
Each of the 40 housing units at Crescent received new heating and cooling systems as part of the complete interior rebuild. Imperial Contracting also built new bathrooms and kitchens with upgraded lighting and plumbing systems, a shared laundry room with modern equipment, and other common areas with updated lighting fixtures, computers, fire sprinklers, and more.
Not-so-fun fact: It takes 10 to 80 years to offset the energy consumed in the construction of a new building.
6. Faster Resident Move-In
It’s no secret that Project Homekey’s developments run on aggressive schedules. After all, the housing and supportive services they provide are urgent needs. To complete Crescent on time, Imperial Contracting coordinated with all government agencies before construction began, documented their requirements, and executed comprehensive approval checklists. Every agency operates under its own review process and documentation standards, so our team prepared the required paperwork in advance and organized submissions early.
Once construction began, the existing structure allowed us to complete renovations in just over a year, even when we encountered a few hiccups. By comparison, ground-up construction can take several years of design, approvals, and construction before residents move in.
Crescent and the Future of Supportive Housing in California
Crescent is one of four Project Homekey communities Linc Housing has completed in Long Beach, CA, totaling nearly 400 apartments, most with wraparound supportive services. Together with Zephyr (a 137-unit conversion with Imperial Contracting also as general contractor), these developments demonstrate that adaptive reuse can produce large numbers of homes faster and more cost-effectively than traditional construction.
No single project or funding program can resolve California’s homelessness crisis. However, what Crescent has made perfectly clear is that adaptive reuse is an effective intervention to reduce homelessness, particularly when public agencies, nonprofit developers, and experienced construction teams work together under accelerated timelines and with respect for resident dignity.
The broader lesson from Crescent is simple: we already have buildings that can become homes. What’s needed is the will to fund them and the collaborations to execute them. Crescent shows both pieces working together.
Choose Imperial Contracting As Your General Contractor for Permanent Supportive Housing
Imperial Contracting completes affordable housing and adaptive reuse projects that operate under public funding guidelines and accelerated timelines. If your organization is planning a permanent supportive housing development, contact us to discuss construction management and general contracting for adaptive reuse and affordable housing projects.
FAQs
What is permanent supportive housing?
Permanent supportive housing combines long-term affordable apartments with on-site services like case management, employment counseling, and health support.
How is Crescent different from temporary shelters?
Each individual or family at Crescent has their own studio apartment, complete with a kitchen and bathroom, under a standard lease. Residents can settle in, arrange their space, and build routines without worrying about how long they can stay. On-site support is available, and the stability of permanent housing allows residents to plan ahead or focus on long-term goals.
How was Crescent funded and kept affordable?
California’s Project Homekey initiative funded Crescent, with Los Angeles County overseeing the acquisition. The redevelopment also drew support from the American Rescue Plan Act (ARPA), a loan commitment from Freddie Mac through Capital One, a grant from Wells Fargo, and a construction loan from Genesis LA. As for how Crescent stays affordable, the Long Beach Housing Authority committed project-based Section 8 vouchers to the property, which kept the apartments affordable to households earning up to 30% of the area median income.
Why should nonprofit developers work with Imperial Contracting on adaptive reuse projects?
Crescent is one example of Imperial Contracting’s commitment and passion for adaptive reuse and multifamily renovation. The company brings years of affordable housing renovation experience, realistic cost management, and disciplined execution to partnerships with mission-driven nonprofit developers. That combination is what keeps projects deliverable even with strict timelines and constrained budgets.
