Amazon has announced a substantial commitment of $1.4 billion through its Housing Equity Fund to construct 14,000 affordable homes in the Seattle, Nashville, and Washington metro areas. This new investment elevates Amazon’s total housing pledge to $3.6 billion.

Amazon CEO Andy Jassy stated, “We hope that our additional commitment—coupled with other public and private resources—will help make a meaningful difference for thousands more people and enable these regions to thrive.”

In 2021, Amazon dedicated $2 billion to low-interest loans and grants aimed at increasing affordable housing in high-cost West Coast cities. The company has exceeded its initial goal, providing $2.2 billion to create and preserve over 21,000 affordable homes in just two years.

Amazon’s strategy focuses on housing for families earning 30% to 80% of the area’s median income. The company often collaborates with nonprofit organizations to acquire existing apartment complexes, reserving them for low-income families, which is generally more cost-effective than new construction. Jenny Schuetz, a senior fellow at the Brookings Institution, highlighted that building a single affordable unit can cost up to $1 million in expensive markets, making even significant pledges quickly exhausted.

The company reports that 92% of the homes it has funded are near bus or rail stations, reducing transportation costs for residents. Additionally, 41% of the homes feature two or more bedrooms to better serve families.