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Technology Apple aims to ease California housing crisis with $2.5 billion

17:05  04 november  2019
17:05  04 november  2019 Source:   cnet.com

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Apple will do its part to help with the California housing crisis by donating $2.5 billion. The price for houses continues to rise in parts of the state resulting in a growing homeless population.

a close up of a logo: Apple is giving back to California. Getty Images© Provided by CBS Interactive Inc. Apple is giving back to California. Getty Images

The company announced its $2.5 billion commitment to California to help the state with its housing crisis. The commitment will take two years to be fully utilized by the state and will be spread out to help develop new housing projects, fund first-time homebuyers and address the issues with the homeless.

a close up of a logo: Apple is giving back to California.© Getty Images

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"Before the world knew the name Silicon Valley, and long before we carried technology in our pockets, Apple called this region home, and we feel a profound civic responsibility to ensure it remains a vibrant place where people can live, have a family and contribute to the community," said Tim Cook , Apple's CEO. "Affordable housing means stability and dignity, opportunity and pride. When these things fall out of reach for too many, we know the course we are on is unsustainable, and Apple is committed to being part of the solution."

Apple will use $1 billion as a housing investment fund that will give the state and other with a line of credit to develop and build new lower-cost housing for low- to moderate-income families. Another billion will help first-time homebuyers with financing and down payment assistance. The iPhone maker will also give some of its land in San Jose worth $300 million. It will also provide $150 million to fund long-term forgivable loans and grants for the Bay Area. The last $50 million will go to help the homelessness Silicon Valley.

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a screenshot of a cell phone: A breakdown of the $2.5 billion. Apple© Provided by CBS Interactive Inc. A breakdown of the $2.5 billion. Apple

Facebook made a similar donation last week. The social media company pledged $1 billion to help the region where housing prices have skyrocketed. In June, Google donated $1 billion to help with the housing shorts in the Bay Area.

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