In a bold move to address the ongoing substance use disorder crisis, Santa Cruz is set to transform urban healthcare with a revolutionary 50-bed residential treatment facility. The city has secured a whopping $30 million state grant to develop the Coral Street Substance Use Disorder Treatment Center, marking a significant milestone in addressing addiction and homelessness.

The facility, located at 125 Coral St., aims to provide comprehensive, around-the-clock care for some of the region’s most vulnerable residents, including unsheltered individuals, veterans, and people with disabilities. Mayor Fred Keeley emphasized the project’s critical importance, noting that access to residential substance use disorder treatment has long been a missing piece in the city’s approach to homelessness.

Currently, individuals seeking residential care often face extensive wait times, sometimes while living on the streets. The new treatment center promises to dramatically reduce these delays and improve recovery outcomes by offering stable, continuous support. City Manager Matt Huffaker highlighted the project’s potential to create lasting infrastructure supporting recovery and community well-being.

Funded through the Behavioral Health Continuum Infrastructure Program and backed by Proposition 1 - a bond measure approved by California voters in March 2024 - the initiative is part of a broader $3.3 billion statewide effort to enhance behavioral health services. Santa Cruz was among 124 recipients in the “Launch Ready” round of funding, signaling the project’s strategic importance.

Construction funding is expected to become available in 2026, marking a pivotal moment in Santa Cruz’s commitment to compassionate, comprehensive healthcare. By addressing substance use disorders with a holistic, supportive approach, the city is setting a powerful example of community-driven solutions to complex social challenges.