$8M Project Expands Family Homeless Shelter As Demand Surges In Phoenix

PHOENIX, AZ — Phoenix is expanding one of the only family homeless shelters in Arizona, as city leaders say demand continues to rise.

City and Salvation Army leaders gathered Tuesday near 24th and Van Buren streets to mark the start of a third wing at the Phoenix Family Shelter, a project that will increase capacity by 50 percent.

The expansion will grow the shelter from 24 to 36 rooms, bringing total capacity to up to 216 beds.

The $8 million project, funded through a City of Phoenix HOME American Rescue Plan grant, will add a 9,356-square-foot building to the campus.

Many of the new rooms will include adjoining doors, allowing larger families to stay together while maintaining privacy, officialsa said.

Mayor Kate Gallego said the project addresses a growing need.

"I'm grateful to The Salvation Army for their partnership in helping expand this family shelter to be an even better place for residents to turn to in times of crisis," she said. "Together, we are investing in a brighter future for parents and children who deserve stability and hope."

Vice Mayor Kesha Hodge Washington said the expansion is part of a broader effort to move families into permanent housing.

"All roads to ending homelessness lead to creating more housing," she said. "This project reflects the City's commitment to supporting pathways out of crisis and into stable housing."

Lt. Colonel Henry Graciani of the Salvation Army Southwest Division said the expansion will provide more than just shelter.

"This is about providing hope and a safe, supportive environment for families to overcome homelessness, build self-sufficiency and find long-term housing," he said.

The Phoenix Family Shelter is one of only a few facilities in Arizona that accepts families with children. In addition to housing, it offers case management, meals, clothing, medical and dental care, employment assistance and children's programs.

According to the Salvation Army, about 85 percent of families who entered the shelter in 2025 transitioned into stable housing.