Everyone’s talking about small-scale housing, with one of the biggest questions being how to fund it. On May 15, we brought together over 120 participants for a Virtual Roundtable on Finance to tackle that exact challenge. Panelists Jean Lu (US Bank), Josh Morrison (Frolic Community), Carlos Plazola (Buildzig), Sibley Simon (New Way Homes), and Elizabeth Wampler (Bay Area LISC) led a conversation on what’s working, what’s not, and where the opportunities are for making small, community-rooted housing financially feasible.
This wasn’t a lecture. It was a candid, chat-filled session where participants shared challenges, resources, and strategies for getting projects off the ground—whether it’s one backyard unit or a dozen community benefiting homes.
Much of the conversation focused on real financial hurdles. Many attendees reported cost estimates between $300K and $500K for building a single accessory dwelling unit (ADU). For smaller developers or homeowners, that’s often too high—especially when traditional lines of credit or home equity loans aren’t readily accessible. Several participants called for the creation of an “ADU mortgage” product that reflects the real needs of this scale.
Participants also explored alternatives like paper development—getting entitlements approved and then selling the project to reduce risk. Modular and prefab construction came up frequently, but many noted that financing these construction methods is difficult unless a lender has dealt with them before.
Some shared efforts about how to reach net-zero energy standards or use passive house design. Others are working on buildings that integrate food, energy, and water systems. But even with these long-term benefits, the upfront cost is a barrier—and lenders aren’t yet incentivizing this kind of forward thinking development.
Land owned by faith institutions and community organizations came up as a promising but underused opportunity. Several participants shared examples of faith-based partnerships and pointed to helpful resources like Gone for Good, LISC’s Faith & Housing Cohort, and lenders such as the Church Building & Loan Fund and Cornerstone Fund. These collaborations can lower acquisition barriers and help unlock deeply affordable, community-centered housing.
At the same time, many attendees flagged ongoing challenges with local permitting and zoning. Even with supportive state policies on the books, like the Density Bonus Law, projects often stall when cities don’t update their processes or planning departments push back on nontraditional models.
Despite these challenges, participants also pointed to strategies that are helping move projects forward. Some have found traction working with local community banks or CDFIs that better understand small-scale development. Others are reducing risk by partnering with landholders and aligning early with city staff to keep plans code-compliant and straightforward. While state-level tools like Builder’s Remedy and the Density Bonus can create leverage, it’s relationships, timing, and shared learning that often tip the balance. The conversation made it clear: success is possible—and often starts with knowing who to talk to and when.
Many participants saw themselves as both developers and community members—driven not just by building projects, but by a commitment to place, equity, and lasting community benefit.
This event was part of the East Bay Small Development Incubator
The purpose of the East Bay SDI program is to engage small, independent developers, government officials, and others from the residential development ecosystem (suppliers, financiers, etc.) to build the skills and relationships that will enable the industry to thrive and play its role in nurturing communities that are affordable, equitable, and environmentally vital.
We’re hosting our next session on July 24, 2025.
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Let’s keep moving—together—from ideas to action.
When the 2021 Dixie wildfire swept through Northern California, it left Greenville devastated. Over 97% of the town was destroyed, along with nearly a million acres of surrounding forest. For Tyler Pew, a Greenville native and founding principal at LMNOP Design Inc., the destruction wasn’t just a community loss—it was deeply personal. Amid the ruins, Pew asked himself the question that would guide a multi-year journey: “Should we rebuild?”
Rebuilding Greenville wasn’t about merely restoring what was lost. The wildfire not only destroyed the physical fabric of the town but also magnified long standing challenges that had already weakened the community’s resilience. Issues like depopulation driven by lack of affordable worker housing, insufficient economic opportunities, and an increasingly fragile social fabric highlighted why returning to “business as usual” wasn’t an option. Outdated insurance systems, permitting delays, and funding mechanisms designed to replicate the past only reinforced the urgency to rethink the approach.
Inspired by Greensburg, Kansas—a town that was devastated by a tornado and used the natural disaster as a catalyst to build back stronger—Tyler Pew saw an opportunity to do more than rebuild. He envisioned a regenerated Greenville [and the broader region], one that addressed the preexisting crises exposed by the wildfire while balancing the urgency of housing recovery. His vision sought to preserve the town’s strong cultural roots and spirit, while creating a path toward a more resilient and equitable future.
“We’re running a marathon, not a sprint. Each home we build today must solve a short-term need while laying bricks for the future,” Pew explains. This philosophy became the foundation of a recovery effort designed to create something better, and go beyond just replacing what was lost.
Pew’s connection to Greenville shaped every step of his approach. The town wasn’t just where he lived; it was his hometown, tied to a community he deeply valued. This commitment helped propel his focus on creating a regenerative recovery for the area. One way he thought about this was through identifying four key areas of recovery—or “trains,” as he called them: infrastructure, businesses, economic development, housing, and community engagement. Though each train moved at its own pace, all needed to be aligned toward a shared vision of a thriving, resilient Greenville in order for the community to not only build what was lost, but come back stronger.
Critical to Pew’s strategy was restoring the town’s social and cultural identity. “Our job is to meet the urgency of now without losing sight of the horizon. It’s a balance between action and aspiration,” he says. To engage residents in shaping Greenville’s future, Pew incorporated innovative tools, including a game concept that emerged during the Dixie Fire recovery process. While not directly used in the recovery itself, the idea was developed and its potential realized through the process. The resulting Mix and Match Toolkit provides a way for communities to explore their values and the decisions that would shape their built environment. Now supported by Build It Green’s 2024 Innovation Fund, the tool has expanded its reach to other communities across California, fostering collaborative approaches to housing development.
At the heart of Pew’s recovery effort was the support of Build It Green’s Innovators Network, which provided critical resources and connections to think differently about housing, development and the relationship between human and natural systems. Through the Innovators Network, Pew was introduced to new ways of thinking about what was possible, from housing models and workforce housing systems to regenerative design principles. These tools helped him shift from a reactionary rebuilding approach to a holistic, long-term vision for Greenville.
“Working with the Innovators Network expanded my perspective,” Pew shared. “It gave me the tools to explore housing models that were not only affordable and functional but also aligned with our community’s values. The frameworks I discovered helped me connect the dots between what we need now and what we want to build for the future.”
One of Pew’s most significant breakthroughs came from analyzing Greenville’s existing zoning regulations. They reviewed many possible approaches for how to build back the most housing, the most quickly and affordably — from big developments on larger parcels external to the city center to large multi-family buildings on lots near the center. His team discovered that under the town’s 7R zones (a designation allowing residential lots with minimum sizes of 1/7 acre) they could place up to five homes on a single lot without requiring rezoning (a complicated and time-consuming process. This strategy allowed them to increase housing density and build rapidly while preserving Greenville’s character, so beloved by residents.
Surveys revealed that residents prioritized single-family homes with private yards, space for gardening, and room for recreational vehicles like ATVs. At the same time, affordability and resiliency demanded creative solutions. Pew’s team designed clusters of 3-5 units per lot, including accessory dwelling units (ADUs), junior ADUs, and detached units above garages. These configurations met community preferences while addressing urgent housing needs.
Navigating resistance was part of the process. Some residents expressed concerns that denser housing models would alter Greenville’s character. Pew addressed these fears through transparent communication and thoughtful design, ensuring that homes felt like traditional single-family units while incorporating shared spaces to subtly increase density. “We had to show people that density doesn’t mean losing our identity—it can reflect who we are while giving more families a chance to stay here,” he explains.
Greenville’s recovery efforts are now moving from vision to reality. Pew and his team have secured a development partner and are preparing to move forward on plans. This first phase of development is not just about providing immediate housing; it serves as a prototype for the next phases of Greenville’s regeneration. Pew’s team is using an iterative approach, ensuring that each home built informs the next, creating a model for thoughtful, community-driven rebuilding.
Beyond just housing, this development is laying the groundwork for a more resilient Greenville. The project is designed to balance density with the rural character residents cherish, incorporating a mix of single-family homes and accessory dwelling units that provide flexibility for homeowners and renters alike. With the first home set to move forward in June, this shared vision is taking shape—not just as a response to disaster, but as a foundation for a stronger, more connected community.
The recovery effort was shaped by the tension between addressing immediate needs and laying a foundation for long-term regeneration. “This is not about perfection. It’s about testing, learning, and moving forward—one home, one family at a time,” Pew says.
While some residents pushed for quick fixes, Pew emphasized the importance of deliberate, iterative development while honoring residents’ desire to just ‘get back to normal’ as soon as possible. Using tools like the Mix and Match Toolkit game developed for Plumas County, he helped residents understand the complexities of housing ecosystems, fostering trust and collaboration. “People want quick fixes, but real change takes time and trust,” Pew reflects.
The process also allowed for adaptability. Each phase of housing development informed the next, creating a cycle of learning and improvement. Pew’s focus on balancing urgency with aspiration ensured that Greenville’s recovery would not just meet today’s needs but lay the groundwork for a stronger, more resilient community.
Pew’s work in Greenville offers valuable insights for other disaster-stricken communities. His approach demonstrates the power of tailoring solutions to local needs, leveraging existing resources, and fostering resilience through social and cultural ties. “Every place is different, but the principles of regeneration—social ties, cultural roots, and long-term vision—are universal,” he explains.
As Greenville moves forward, Pew’s efforts highlight how recovery can become an opportunity for transformation. By combining community engagement, creative problem-solving, and a focus on resilience, Greenville’s recovery is showing what’s possible when regeneration is prioritized — communities that build back better because they’re meeting needs not just for today, but also many tomorrows to come and considering resiliency, sustainability and community.
Pew’s journey illustrates that rebuilding is not just about restoring what was lost—it’s about creating a future that reflects the values, needs, and aspirations of the community.
Alex Coba
Communication Associate
As a proud California native from Stockton, Alex brings a wealth of experience and a versatile skill set. He has a solid communication background with a Bachelor of Arts in Journalism and Public Relations from California State University, Chico. Alex is adept at strategic communications and media relations, with experience gathering and sharing stories from his local communities that uplift the unique spirit and values of those places. He is excited to join Build It Green, where he can apply his talents to further BIG’s mission to help communities across California thrive