The Boston City Council approved a $110 million housing accelerator fund filed by the mayor and aimed at spurring housing production for projects that have already been greenlighted, but lack the financing to begin construction.

The Council voted, 10-0, this week to approve the fund, which, according to the councilor who first introduced the idea, Brian Worrell, will seek to kickstart the “more than 30,000 permitted but unbuilt housing units across Boston.”

“To build a bright future for Boston, we need more housing options to keep young people, seniors, and workers in our city,” Worrell said in a statement. “This fund should help get shovels in the ground and send a strong message to the development community that Boston is a great place to invest.”

Worrell first introduced a proposal last June for a $150 million housing accelerator fund. Mayor Michelle Wu filed an order last month with the City Council seeking approval for the creation of the accelerator fund, at $110 million.

The new fund, per Wu’s office, draws from surplus money from the city budget, an investment that will be matched by the Commonwealth’s housing momentum fund. As of June 30, 2023, the city had a surplus, or free cash, balance of roughly $515 million.

Wu, in a statement, said she was “grateful to the City Council and Chair Worrell for vetting and advancing this smart investment that will deliver much-needed affordable and market-rate housing that has already been approved through the community process but stalled due to challenging economic conditions.”

“Through this historic collaboration between city government, state partners, and leaders in the real estate community, Boston is proactively putting resources to tackling affordability at this scale for the first time ever,” Wu said. “With the funds returning to the city plus interest after projects are complete, this housing accelerator fund will make a difference for generations of families to be able to put down roots and call Boston home.“

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