Letter: Sunnydale rebuild project costs reflect larger units, infrastructure costs

Thursday’s article (Supes question $890K per unit cost for Sunnydale HOPE SF rebuild) on the cost of the replacement homes at Sunnydale might leave readers with the wrong impression of costs. 87% of the new homes at Sunnydale are two, three and four-bedroom apartments—sized specifically as replacement housing for the families living there today. In comparison, market-rate developments typically consist of studios, one-, and two-bedroom apartments.

To put it another way, the 167 homes we are building provide as many bedrooms as a 275-300 unit market-rate development.

Your readers might also be interested to know that the development costs include over $65,000 per unit in infrastructure costs because we are rebuilding the streets, sidewalks and utilities for the 50-acre site.

So, whether you measure the cost per home without infrastructure or the cost on a per bedroom basis, the new homes at Sunnydale are very much in line with the cost of building new housing in San Francisco today. As developers Mercy Housing and the Related Companies of California place a huge premium on keeping costs low while still producing quality homes for San Franciscans.


Doug Shoemaker, President, Mercy Housing California

Bill Witte, CEO, Related Companies of California

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