Oregon Housing and Community Services (OHCS) selected five projects through the Factory-Produced Housing Initiative to support the construction of 117 affordable rental and for-sale homes for Oregonians throughout the state.

The initiative, created out of House Bill 3145 in the 2025 Legislative Session, seeks to spur awareness and adoption of factory-produced housing across Oregon and will fund up to five factory-produced housing (FPH) projects with Local Innovation and Fast Track (LIFT) set-aside funds for a total of $25 million. Factory-produced housing, such as modular homes, is an alternative to traditional site-built construction, with the potential to produce homes more quickly and at a lower cost.

AGE+ was approved for a plan to build 40 fully accessible, affordable homes for older adults in Phoenix, Ore., replacing housing lost in the Almeda Fire. The project, Phoenix Commons, will be built using modular housing construction, reducing per-unit costs and cutting the construction schedule by several months.

Illahee Timber Townhomes is a 27 home, permanently affordable, for-sale housing development in Gresham being built by Hacienda CDC and CedarStone Build & Design. All homes are built off-site using Cross Laminated Timber (CLT) panels produced at CedarStone’s facility in Eugene. These panels form the walls, floors, and roofs, making the homes stronger, more airtight, and faster to assemble than conventional construction. This approach allows a three-person crew to build an entire home in just two to three days.

These factory-built projects are still in the early stages of the funding process and were selected for potential access to the Local Innovation and Fast Track (LIFT) set-aside. In addition to more information about the Factory-Produced Housing Initiative, a list of the projects that were selected, are alternates, or not selected can be found at this link.