project growth and how we meet the criteria for growth. >> i apologize, commissioner, i don't have up-to-the-minute data. i know that in general, and this may be too obvious, we get that experience anything like the level of vacancy that you see in the far east bay and san joaquin valley. the 40% numbers baby about nationally are nothing like what we have experienced here. as relates to vacancy, it is hard to get a real number. euros experience is a guide. we're seeing the highest level of foreclosures in the southeast. the bank on the properties, i see somewhat contradictory data about how many banks owned properties there are. i can get back to you on that. anecdotally, i don't think it is anything like 20%, but on a

regional level this is a bigger question, to what extent when we did this planning did we think about all of that vacancy? the problem is an enormous amount of vacancy. it gets to what brad paul talked about. yes, there is a lot of vacancies in antioch, tracy, and stockton, but it comes at a significant cost. the question is whether it is really available for households looking to live in it. i will try to get you better information, but the best i could do on short notice. commissioner moore: i appreciate that, that should factor how we look at the region. we cannot leave that unanswered or unaccounted for, because at some point if we have national migration, people coming to california, that is a huge amount of housing that we need to fill. president olague: commissioner

miguel? vice president miguel: just as an example of some of the thinking, i have a daughter who is living in santa rosa, just moved back into the city last year, but for 15, 20 years, santa rosa, sonoma county in general experienced tremendous growth in that time. every time we go up that way, there was a new housing development. either starter, finished, halfway through, it is continuing. and it actually continued up to two years ago. not a single one of them, if you live there, could go to the grocery store, get your kids to school, could you do anything about what, and some of them had sidewalks.

it might have been easy to walk down. there was no local transit. what was their solution? they took federal money, state money, local county money and the four-lane highway became six lanes. that was their solution to transit. and that is still there thinking. president olague: i think to the extent the city kid look at keeping whenever manufacturing jobs are here here, i think that would be great. also, we have had a great deal of the hotel's service industry and the tourism industry who might be lower wage workers. i wonder sometimes where they reside. if it is not in the city, where did they commute, how they can

meet. i think there are other things to look at as far as jobs and housing and transportation that is outside of just the tech jobs that seemed to be getting a lot of the focus right now. anyway, thank you everyone for the discussion. secretary avery: thank you. commissioners, we are going to move on on the calendar. president olague: we will go through market octavia and then it take a break after that. secretary avery: thank you. item 12 is market and octavia plan monitoring report, informational presentation by staff. >> good afternoon, commissioners. i am the senior planner with the planning section. i am here to eat% to use it the 2005-2009 market and octavia

plan monitoring report. this is an informational presentation only. as you already know, the market octavia plan was adopted by the planning commission in july, 2007, and approved by the board of supervisors and made effective may 30, 2008. saxon 341.3 helps measure the effectiveness of the plan. section 34 1.3 covers the time series and the first five-year report by july, 2008. given the plan was made effective only a few weeks earlier, no further report was made.

nevertheless, once the department garnered sufficient staff resources and information, efforts were made to comply with the mandate. this report will be the first in the time series and it covers 2005-2009. we have a couple of years before the plan was adopted after the plan was adopted and will serve as a baseline for future reports. an annual report will be submitted to the commissioners every july, and the five-year report will come out every year ending in 0 and 5. the data includes the housing inventory, the industry, the pipeline report. the mandate was written such that market octavia would take advantage of the data that has

already been published. additional sources included department of building inspection, the transportation authority, mta, and the mayor's office. categories of information, as required by section 34 1.3 include commercial space and employment, housing production trends, transportation, and parking, implementation programs including historic preservation service. -- historic preservation surveys. nonresidential development in the five years was almost 215,000 square feet in the planning area. much of that came in the form of

cultural, educational, and institutional space, mainly because of the rehab and conversion of the levi strauss building, and the rehab which was the conservatory of music. there is also new retail spaces at 77 van ness. these new developments constitute almost a 3% increase and commercial space area, which more or less reflexed city-wide increase in commercial space. the pipeline. the commercial space pipeline and market octavia showed a

slight uptick in space, constituting a small portion, about 1%, of the commercial development pipeline city-wide. retail space will make up over half of the new commercial space in market octavia, followed by office space. it is part of a new residential care facility also. one-third of the pipeline is under construction or has received funding and should be completed in the next two, three years, and the remaining two- thirds are still under review. the monitoring mandate also requires an accounting of employment in the market octavia area plan. as of the second quarter of 2009, there were about 16,500 jobs in the area, representing

about 3% citywide employment. of these jobs, over half were in office, another was and retail. based on the commercial development pipeline, we estimate there will be about 128 new office and 380 new retail jobs there will be made available, just based on estimating the space and having an average employment density. the residential development trends. the five years, covering 2005- 2009, could very well have been the best years in terms of recent housing production in san francisco. an average of2600 units were built per year.

and the market octavia, they sought an edition of 584 units, roughly 5% increase in the area housing stock. the residential development pipeline and octavia could potentially boost the area's housing by 18%. this is a big increase. almost one in five of the new units is expected to be completed in the next three years. these products are now under construction or have received building permit approval and/or issuance. about half have been titled and could see completion in five years. it just over a third are under review and completion, if they are built, could happen between

five years and seven years. the mandate also required accounting of affordable housing development. one-quarter of the units constructed in market octavia were affordable. most of the units that were built, most of the affordable units built were made available through public assistance. in one project, a senior housing project in what was once partially a center, the remainder are inclusionary units and all were built on site. a section in the monitoring report was also a devoted to the development, and is basically

shows the five years that the report covers. 165 units were built or under construction. it another 392 units have been entitled or are under review. about 60% of these units will be affordable. as for the remaining 11 parcels, the estimated about 535 units could be built based on existing zoning. the monitoring report also covers other changes to the housing stock, including housing stock preservation by type. a total of six units were lost in the five years covered by the report, but actually, of the

four units lost to demolition, there will be a net increase of five units because the projects posted a total of nine units. conversion of rental stock in market and octavia represents about 7% of the citywide total. in absolute numbers, there were 227 units converted into condos. as far as evictions are concerned, about 70 were for withdrawal, which tends to be a precursor to a condo conversion, 23 were for owner move then, but the ball or for other reasons. -- but the bulk were for other reasons.

the report also covers matters related to transportation and parking. 42% of the residence in market octavia use public transit to get to work. this compares very well city- wide. another 12% of the market and octavia plan residents walk to work, and almost 5% bike to work. citywide, the numbers are 9% and 2% respectively. the market octavia plan also limits the market curb cuts in the area on specific street frontage is. a limited survey was done by staff, locating existing curb cuts. future curb cuts are prohibited. a parking space inventory was

conducted by mta, and this was snapped. about 5% are within the planned area, exclusive of one metered parking spaces. about 3% of nonresidential parkingreduction of the plan alo resulted in zoning districts that modified the city's on 121 parking requirements -- one to one parking requirement. this included those that were subject to the new rules. 600 parking spaces were terminated -- permitted in residential development areas.

these were not quite at the level. there were reports on implementation of programming. the market act octavia was convened in 2009 and has spent meeting regularly. the faculty presenting their supplementary after this presentation. a total of $103,618 has been collected as part of the community improvement program and they have yet to be expended. three major historic surveys have been completed. this is since the adoption of the plan. this includes an area plan survey. the mission plan survey and the augmentation survey.

the market octavia plan included the program standards with 10,000 square feet or more of commercial development. the first source hiring program had no data available at the time that this report was returned. that concludes my presentation. i will be available for questions. >> cac was going to give a report. >> i am kirsten from the planning department. they have done a lot of work and preparation for this presentation today. you will see on the back of the pact at their supplemental report, which is almost as long as theresa's report. we will highlight the main points that they have in their

executive summary. >> i think the way we have this is we have a team of what is now four. and then other cac members would like to comment. the little four-person set up. >> maybe 15 minutes, like the project sponsor. >> like i said, i think other cac members would like to comment. >> commissioners, for this item, i come before you in the capacity of the chair of the committee. i have a closet full of hats. i am glad we had the last

discussion. this is like a little laboratory for most things that we talked about last time. it has been one of the pleasures of being on the advisory committee is to see how this thing works. this is arguably the most advanced comprehensive set up planning policies and duals that the city has done. we are trying to figure out how to debug it along the way. the last few years the cac has been functioning has given a chance to step back and look at development, which for most of us as community activists, we look at it one piece at a time. our heads are down and we look at it in the trenches. our cac report his kind of a policy reid -- recap.

we appreciate the analysis that staff has done. what were the underlying goals and policy visions of market octavia? are we falling short or going south? what we are not quite to touch upon tonight, but i would suggest are equally important, are more operational aspects of the cac in the department and how it works, the of for structure and how we should be monitoring in the future. we really should be paying attention to standards in decode all of that. there are some things that could be done differently next time. my colleague had to leave, unfortunately. he is one of our cac m

embers. he is going to touch on our comments on housing. some of our colleagues might also touch upon that. we will point out policy consequences, a primary issue which is inclusionary housing. let's call it affordable housing. there is very little we have seen coming through market octavia. one can argue that there has not been much development at all, so what is the concern? i will put the map up here. there is a pretty healthy pipeline of development according to the staff members, 580 new units of housing with another 200 units in the pipeline. there is a lot of action. it might be on paper, but it is coming through you every month or as few on thursdays.

we are not seeing affordable housing projects come through the pipeline. you mentioned here in the stock reports of 140 affordable units. that is one project. that happens to be at the northern edge of the planning areas. this is a ccd project essentially. there is no low-income housing. the dmr units show 20 or 30. most developers are now seeing out. they are paying the a kick -- at the feet. it has said that very exacerbating in the last three or four months. the project was switched to offsite. we have a strong resolution, which is in this report, about

our opinion on that. we will also push for some alternatives. what we see that as a real alternative, i will turn it over to the next speaker. this was done on the fly. one of my friends and colleagues who can do this on the fly. those 584 housing units that have been built by their affordability level relative to the regional housing needs allocation projection of how housing should be built by affordability level if we are to be reaching that sustainability level. the combination of the low and very low-income units should be about 37% of all reduction or 17% in one project. the moderate income should be about 27%. we have 43 units at 7%.

market rate you nets, or those that are not at below market, are at 75% of the projected need. this is not a all the different than what we see every year which is the above market rate production. that is almost twice as high as the quote needs. we are seeing that trend in the market. we have policies that tell us it is not a good thing. we have mechanisms to avoid this trend. >> the following up on peter, i am the jason and i am the vice- chair of the advisory committee and i am also a renter in the market batavia neighborhood, although i have a pretty good job. this has been a pretty large process over the past two years. we welcome the 6000 new units.

the discussion you just tap was very interesting and revealing. we are grappling with all of the same issues. we are concerned that the city has forsaken the plan area, and i do not mean the planning department or the commission. transit has been obliterated. there has been a lot of foot dragging in the city to help fund the infrastructure that we need to fund the housing units that could be built. we have to cause a 100 on the way in the pipeline. the buses are full at filmore. this is full by the time it gets into the dubose triangle area. the city has four second us on

parking pricing. i am addressing this city-wide. the city has set for second us on reforming los, which means that we will be spending all this money. a good chunk of that is intersection los, millions of dollars debt could go to operating transit. i am this comment at developers and to some extent, the west side of the city, where is consistent blocking of tax increases and fees and other measures and for our efforts to do true smart growth and to do airport in the region. we need $300 in cash to expand muni to meet the greenhouse gas emissions goals.

we need another $300 million annually for the operations of muni. i am supposed to talk about the in infrastructure capacity. i just want to bring that to your attention. our neighborhood is aware that we are being asked to accept this growth. there has been very little in terms of infrastructure. one way to get at this affordability issue is to really get bold and tell the developers, no parking so we are not attracting mercedes-benz and bmw upscale residents. they will not come to a no parking development. the discussion about taking the freeway down needs to be sped up. i will turn it over to robin, who is going to talk about some

of the transportation issues. >> good evening, commissioners. i am just going to read you a portion of the plan. envision an urban neighborhood that provides for a mix of people of various and comes and lifestyles. everyday needs could be met on a short walk. it is easy and safe to get around on foot by bicycle and public transportation. imagine this connected to the city as a whole where owning a car as a choice, not a necessity and streets are attractive and inviting. this opens the market octavia plan. we had a long discussion about transportation. i think the plan recognizes that transportation is a key element to making the plan worked. the plan calls for taking choices for movement and fosteral