Mayor London Breed Announces $40 Million in State Funding for Affordable Housing Developments
Two future housing sites in San Francisco received funding from the State’s Affordable Housing and Sustainable Communities Program to support transit-oriented affordable housing
San Francisco, CA — Mayor London N. Breed today announced that two affordable housing developments in San Francisco received $40 million in funding from the State’s Affordable Housing and Sustainable Communities (AHSC) Program. In addition to providing affordable housing for San Franciscans, the sites are designed to support public transit and make it easier and safer for people to bike and walk in the City.
“These developments are a great example of how working together and leveraging resources can bring more affordable housing to the City, while also making our communities more bike-friendly and walkable,” said Mayor London Breed. “This will help us build 240 additional affordable homes, while making it safer and easier for people to get around without a car. That is how we will build a more sustainable and inclusive San Francisco.”
“We are proud of these collaborative efforts and thrilled to receive two State awards to not only help build more affordable housing but also to foster sustainable, healthy communities,” said Kate Hartley, Director of the Mayor’s Office of Housing and Community Development (MOHCD).
The $40 million will support two projects, which will now both be fully funded. One development is located at 500 Turk St. in the Tenderloin and the other is located on Treasure Island. The funding applications were submitted on February 1, 2019 and were approved by the California Strategic Growth Council on Friday, June 21, 2019.
500 Turk Street
With the City as a co-applicant, Tenderloin Neighborhood Development Corporation (TNDC) worked with MOHCD, San Francisco Municipal Transportation Agency, and Bay Area Rapid Transit (BART) to develop their proposal for the project at 500 Turk St. Once complete, 500 Turk will transform the auto-oriented corner of Turk and Larkin—four blocks from the Civic Center/UN Plaza BART station—into a pedestrian-oriented, community-facing affordable housing development. The project will provide 108 units for low-income families earning an average of 50% of the Area Median Income, including 27 units reserved for families wishing to relocate from HOPE SF public housing sites.
“We are proud to partner with Mayor Breed and other city stakeholders as we increasingly find ways to collaborate on key transportation and housing projects that not only provide more excellent transportation options for people to get around, but help make our neighborhoods stronger, more livable and more diverse,” said Ed Reiskin, Director of Transportation, San Francisco Municipal Transportation Agency.
TNDC purchased 500 Turk St. in December 2016 with funding from MOHCD and the 2015 voter-approved Proposition A, which authorized the City to issue up to $310 million in bonds to fund affordable housing in San Francisco. Of 500 Turk’s $20 million AHSC funds, approximately $14 million will fund the housing development, including resident transit passes for three years. Additionally, $6 million will go to transit-related improvements, which include bike and pedestrian streetscape improvements on nearby 5th and 6th Streets, a canopy for the Civic Center BART station entrance at Market and Hyde, and the Geary Bus Rapid Transit Project.
“500 Turk St. represents the best of equitable transit-oriented development: dense housing in the middle of the City that will reduce greenhouse gases,” said Don Falk, CEO of Tenderloin Neighborhood Development Corporation. “We are thrilled with this AHSC award that will support the housing development as well as transit and streetscape improvements that will benefit the neighborhood as a whole. By partnering with the City to maximize the use of State funds, we can preserve much needed local funds for other affordable developments.”
Treasure Island, Parcel C3.1
The second project, located on the southwest side of Treasure Island, is a joint venture between Mercy Housing California and Catholic Charities, with the Treasure Island Development Authority as a co applicant. The project received $13.7 million for the development of affordable housing. An additional $6.3 million will fund the purchase of buses for AC Transit to operate service between Downtown Oakland and Treasure Island; road-safety improvements, including bike lanes and a pedestrian path; and transit passes for residents of the development.
The proposed development includes 135 units: 66 designated for Catholic Charities’ Continuum of Care supported households, 46 for low-income households, and 23 for existing middle-income Treasure Island residents. Households served by the project will have incomes ranging from 35% to 130% of Area Median Income. Residents currently living on Treasure Island will receive preference for the affordable units during the leasing process.
“This funding could not come at a more critical time for the development of affordable housing at Treasure Island,” said Doug Shoemaker, President of Mercy Housing California. “The State’s investment means that the Island will continue to be a mixed-income community that serves San Franciscans of all incomes.”
The Affordable Housing and Sustainable Communities Program is a competitive State program administered by the Strategic Growth Council and implemented by the California Department of Housing and Community Development. AHSC was created to provide grants and loans to projects that implement housing, land-use and transportation practices that help reduce greenhouse gases. The Program is one of the California Climate Investments supported by proceeds from the State’s Cap-and-Trade program.