A familiar Midtown Sacramento motel is about to get a very different kind of guest. The former Travelodge on 16th Street will reopen this week as Camellia Village, a permanent supportive-housing project that turns short-term rooms into long-term homes linked with services. Anthem Blue Cross and a Bay Area nonprofit are listed as partners in the effort, and move-ins are slated to begin Thursday, June 18, 2026, shifting the property from roadside stopover to steady housing for people exiting homelessness.
According to Sacramento Business Journal, the development, branded Camellia Village, will operate as permanent supportive housing and is scheduled to begin opening on June 18. The outlet reported that Anthem Blue Cross is among the backers and that a Bay Area nonprofit will help run or operate services at the property.
Business listings place the former motel at 623 16th Street in Midtown, according to BringFido. The project will reuse the existing guest rooms as permanent units instead of short-stay lodging.
Who’s Behind The Conversion?
Anthem Blue Cross is listed among the project’s backers, and a Bay Area nonprofit is partnering on the conversion, as reported by Sacramento Business Journal. Early coverage did not name the nonprofit or spell out a detailed service plan, with operators expected to release more about how the building will be run as opening day approaches.
What Supportive Housing Includes
Permanent supportive housing combines long-term housing with voluntary services such as case management, health care connections and benefits navigation, all with the goal of keeping people stably housed. Federal researchers and policy briefs describe PSH as a Housing-First model that reduces costly public services by stabilizing tenants. Experts note that services can be funded through a mix of Medicaid, local grants and nonprofit supports, according to ASPE.
Why It Matters In Sacramento
The conversion lands as Sacramento works to add both housing and shelter capacity. The city and its regional partners recently secured roughly $31.7 million from the state’s latest Homeless Housing, Assistance and Prevention awards, a funding stream local leaders have called critical for beds and services. recent HHAP distribution coverage highlighted how that money is expected to fuel new housing moves like the Camellia Village project…