Affordable housing projects won’t need three bids

Affordable housing projects on city-owned property will not need at least three bids from developers before the project can move forward, after voters appear to have rejected Proposition P on Tuesday.

Prop. P would have required the Mayor’s Office of Housing and Community Development, which is charged with administering most programs that provide financing to developers to build new and rehabilitate affordable housing on city property, to receive at least three proposals for a project and accept the proposal with the “best value.”

Advocates of the measure had noted that competitive bidding on projects is a citywide policy and until a decade ago, affordable housing projects frequently drew multiple bids from developers.

But opponents had stressed that requiring the submission of at least three bids and the selection of the “best value” bid would hinder the production of affordable homes.

Opponents also noted a project could be indefinitely stalled without three bids, effectively preventing the creation of new homes, and that requiring multiple bidders could also mean the developer that is awarded the project has less experience.

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