California is set to spend more than $200 million to speed up the process of building environmentally friendly homes in select regions across the state.

Gov. Gavin Newsom announced Friday that the state would deliver $239 million to build 5,480 climate-friendly homes in the state, including 3,249 that are considered affordable, 2,156 that are considered “market rate” and 75 units that are earmarked for affordable homeownership.

Regions to receive the statewide funding include Los Angeles, San Diego, Fresno, Oakland, San Francisco, El Cerrito and Santa Rosa.

The investment, the governor says, will spur the development of housing projects by cutting into the significant costs of “pre-development,” including the expensive undertaking of setting up utilities, sidewalks, bike paths and other key infrastructure.

“With nearly a quarter of a billion dollars, California is jump-starting the construction of new and affordable housing throughout the state,” Newsom said in a news release. “In a post pandemic world and as we strive to build more housing, California is using this opportunity to reimagine the future of our cities – creating communities where people drive less and live closer to their jobs and kids’ schools.”

The funding will help neighborhoods “build greener, more walkable communities,” by allowing Californians to live closer to work and other important amenities, the state says.

The investment comes months after Newsom announced plans to cut red tape in order to build more green energy projects, particularly in the housing sector, and meet the state’s ambitious clean energy goals.

California is hoping to build more in-fill housing, including 2.5 million green homes, with more than 1 million specifically set aside to be “affordable to people at lower income levels.”

“These awards are just the most recent example of the state clearing the path to create more housing at all income levels,” said HCD Director Gustavo Velasquez. “We are ensuring that lack of infrastructure is not a barrier to infill housing. These awards are a reflection of cities and counties doing the right things so that, together, we continue to build more housing faster.”

In Los Angeles, $35 million was awarded to the Housing Authority. The funds will be used to demolish existing buildings and pay for surface grading, as well as surface and street improvements like curbs, gutters, sidewalks, streetlights and other landscaping amenities. The money will also help with utility upgrades.

For a complete breakdown of how much money each community was awarded, as well as how they intend to use the funding, click here.