Affordable Housing Funds: TOAH & BAPP

MTC has provided seed funding for two regional housing finance programs — the Bay Area Transit-Oriented Affordable Housing Fund (TOAH) and the Bay Area Preservation Pilot Fund (BAPP) — to support the production and preservation of affordable housing near high quality transit.


Photo by Steve Proehl, courtesy of MidPen Housing

To help fight the Bay Area’s housing crisis, MTC is actively working toward the production and preservation of affordable housing, especially near high quality transit. 

The Bay Area Transit-Oriented Affordable Housing Fund and the Bay Area Preservation Pilot Fund are funding tools to help solve this problem.

Transit-Oriented Affordable Housing Fund (TOAH)

In 2011, MTC invested $10 million to establish a revolving loan fund to help affordable housing developers finance land acquisition in select locations near rail and bus lines throughout the Bay Area. 

The TOAH program attracted another $40 million from private foundations and financial institutions to make a total of $50 million available for new loans to affordable housing developers.

In 2017, MTC's original $10 million investment brought about a relaunch of TOAH as a $40 million fund with a wider range of loan products that came from a group of five institutions, and had a streamlined funding process. 

Known as TOAH 2, the relaunched fund can be used by both for-profit and nonprofit developers to help finance the purchase or improvement of properties. They must be located in Priority Development Areas or Transit Priority Areas, to be developed or redeveloped with affordable housing alongside critical services such as childcare centers, health clinics, fresh food outlets or other retail space.

As of 2021, TOAH financing has kickstarted projects in San Francisco, Alameda and Santa Clara Counties, adding almost 2,300 units to the region's affordable housing stock. For more information about TOAH 2, its loan-origination partners and its lending history, visit the TOAH website.

Bay Area Preservation Pilot Fund (BAPP)

In 2018, MTC launched BAPP to help stabilize communities at risk of displacement. BAPP is a revolving loan fund designed to assist mission-driven developers and community-based organizations with the acquisition and preservation of homes that are:

  • Unsubsidized multifamily housing;
  • Located in areas with high-frequency transit service; and 
  • Considered affordable to low- and moderate-income renters. 

MTC has committed $10 million to BAPP, supplemented by an additional $39 million in community development financing institution (CDFI) capital from the program fund managers, Enterprise Community Loan Fund (ECLF) and Low Income Investment Fund (LIIF), making a total of $49 million available for acquisition loans.

Since its launch, the BAPP program has successfully closed loans for two projects in Oakland, supporting the preservation of 71 affordable homes. In February 2021, the Metropolitan Transportation Commission approved several revisions to the BAPP program guidelines, to improve the fund’s ability to quickly deploy funding to a more diverse set of projects across a larger geography.

Staff Contact

Somaya Abdelgany, Associate Regional Housing Planner
Phone: (415) 778-5217

TOAH 2 Public-Private Partners

MTC provided $10 million in seed funding for the Transit-Oriented Affordable Housing loan fund. The fund is sponsored by the Great Communities Collaborative. Originating lenders include:

  • Corporation for Supportive Housing
  • Enterprise Community Loan Fund
  • Local Initiatives Support Corp.
  • Low-Income Investment Fund
  • Northern California Community Loan Fund
Plan Bay Area 2050 Housing Strategies

Plan Bay Area 2050, the region's long-range transportation and land-use plan, identifies several strategies to protect and preserve affordable housing, spur housing production at all income levels, and create inclusive communities throughout the region.