Apartment house owners and builders have launched a pilot program to lend money for security deposits to low-income renters.
Under the program, owner and builder organizations are to put up $45,000 for a revolving fund to guarantee the security deposits. After a deposit has been guaranteed, the renter is to pay it off in up to 18 months.
The program was presented at a City Hall press conference by Los Angeles City Councilman John Ferraro. Participants include Housing Network-LA, the San Fernando Valley Apartment Assn., the San Fernando Valley Board of Realtors, the Los Angeles Board of Realtors and the Los Angeles Housing Council.
The Housing Council, made up of owners of large apartment houses, put up $25,000 and promises to raise an additional $10,000. Homestead Group, an apartment builder, pledged $10,000.