Deal for 1,900 new rentals on Market meets resistance

Supervisor wants developer to add more below-market-rate units

The proposed development of 1,900 rental apartments on Market Street was held up Wednesday by a Board of Supervisors committee, which raised a number of concerns about the project, including the need for more affordable units.

The existing rent-controlled Trinity Plaza apartment building, which currently houses 360 tenants, would be demolished to make way for the larger development. Earlier this year, Supervisor Chris Daly, whose district includes the four-acre development site at Market and Eighth streets, helped broker a deal with project developer Angelo Sangiacomo, who agreed to place the 360 tenants in the new complex under The City’s rent control rules.

The deal was expected to quell opposition to the project. Last month, the Planning Commission approved the project.

The Board of Supervisors Land Use and Economic Development Committee, however, refused to vote the project out of committee on Wednesday, and continued the hearing on the project until next month, with members saying they would like further negotiations with the developer.

Supervisor Jake McGoldrick said he would like to see additional below-market-rate housing added to the mix, and pointed out that the 360 rent-controlled units could turn to market rate as soon as a tenant moved out.

McGoldrick said the existing proposal requires 185 below-market-rate units, but he would like to see 46 more, to reflect a recent amendment of The City’s affordable housing law that requires a development to provide 15 percent of its units at a below-market rate.

Daly said the concerns raised by his colleagues will not jeopardize the project, and expected resolution over the next few weeks.

Once the previous agreement was made over the rent-controlled units, there was a sense that the project was a done deal, Daly said. “It wasn’t a done deal,” he said, adding that there were now other hurdles to overcome.

Allan Lacayo, senior economist with the Controller’s Office, said putting 1,900 additional rental units on the market would have a significant impact on San Francisco’s housing market. The development “should have such a positive effect on our city’s economy because it makes such an incredible dent on the lack of affordable units of housing,” Lacayo said. “By their mere presence in the market, they will either slow down the rate of rental price increases or they should bring rental prices down.”

Walter Schmidt, representing Sangiacomo, declined to comment on the committee meeting, but said he was hopeful something would be worked out.

jsabatini@examiner.comBay Area NewsGovernment & PoliticsLocalPolitics

Just Posted

Cabernet sauvignon grapes sat in a container after being crushed at Smith-Madrone Winery in St. Helena. (Courtesy Smith-Madrone Winery)
San Francisco’s ‘Champagne problems’ — Wine industry suffers supply chain woes

‘Everywhere you turn, things that were easy are no longer easy’

Glasses behind the bar at LUNA in the Mission District on Friday, Oct. 15, 2021. Glassware is just one of the many things restaurants have had trouble keeping in stock as supply chain problems ripple outward. (Kevin N. Hume/The Examiner)
SF restaurants face product shortages and skyrocketing costs

‘The supply chain crisis has impacted us in almost every way imaginable’

A Giants fans hangs his head in disbelief after the Dodgers won the NLDS in a controversial finish to a tight Game 5. (Chris Victorio/Special to The Examiner)
Giants dream season ends at the hands of the Dodgers, 2-1

A masterful game comes down to the bottom of the ninth, and San Francisco came up short

<strong>Workers with Urban Alchemy and the Downtown Streets Team clean at Seventh and Market streets on Oct. 12. <ins>(Kevin N. Hume/The Examiner)</ins> </strong>
<ins></ins>
Why is it so hard to keep San Francisco’s streets clean?

Some blame bureaucracy, others say it’s the residents’ fault

Speaker of the House Nancy Pelosi — seen in Washington, D.C., on Tuesday — touted Congressional Democrats’ infrastructure bill in San Francisco on Thursday. (Stefani Reynolds/The New York Times)
Pelosi touts infrastructure bill as it nears finish line

Climate change, social safety net among major priorities of Democrats’ 10-year funding measure

Most Read