The California Pacific Medical Center’s proposal to build a $1.9 billion, 555-bed hospital on Cathedral Hill and invest $300 million rebuilding St. Luke’s Hospital in the Mission will be considered Thursday by the Planning Commission.

Under a deal, which is backed by the Mayor’s Office, the medical center will make transit, pedestrian safety and streetscape improvements, and invest in affordable housing, community clinics and other health care services for the underserved.

Yet some community and labor groups are questioning the deal’s local-hiring component and whether the development will negatively impact neighbors.

Planning Department staff recommended project approval, which also would require affirmation by the Board of Supervisors.