money in return i think is absolutely wonderful. so i just want to thank all of you, the whole team, for bringing this to us and looking forward to the ground breaking. >> i want to really thank the port staff, jonathan, byron, you guys were great and to eddy, i want to thank you guys because you listened to us at the last port commission meeting and we told you to get the ball rolling. eddy, you listened to me, i told you not to punt the ball and you did a quarterback sneak. the citizens of san francisco will gain from this project and this will be a win. i'm really excited to see this project from the beginning to the end so thank you very much. >> all my questions have been answered. i, too, want to pile on the thanks to everyone on

our staff that participated. you've all really done a terrific job and i feel very confident that we selected the right partners to work with us in this project. i really want to thank orton development and like others have alluded to, everyone i've spoken to from the community that's had interaction with the team has had nothing but praise for the orton response to questions and concerns. >> i think it was mentioned earlier, madam president, but i'd like again to reiterate thanks on behalf of port staff and specifically point out the efforts of kathleen who preceded me as project manager and carried the bulk of the weight to get us this far. definitely standing on her shoulders here today. >> i'm not sure why we keep using the football metaphors. we have a basketball team on our property and sort of a

baseball team. i want to highlight something you said and echo it one more time. we're going to return pier 70 to the community and it really feels like that. it feels like everyone has taken that approach and i'm very excited and i hope the community sees that as well, so thank you. so vote on the two resolutions, can we vote on them together? >> you should vote separately on each resolution. >> so i have a vote on resolution no. 1432, all in favor. >> aye. >> opposed? resolution 1432 carries. resolution no. 1433, all in favor? opposed? resolution 1433 carries. >> thank you. >> item 12b, request approval of a special event in excess of 90 days at port property at seawall lot 337 pursuant to

lease no. l-14980 between port and china baifb ballpark company for port property at terry a francois boulevard between the port and china basin ballpark company to be used as a parklet for public benefit. this action constitutes the approval action for the project for the purposes of ceqa, pursuant to section 31.0 4-h of the san francisco administrative code. >> thank you, amy, commissioners, madam president, vice president, fellow commissioners, bill willanson again with the port's planning and development team with the proper presentation at this time and here to talk about a special event at seawall lot 337. parking lot a for the giants, it's a primary parking lot for at&t park. the port commission approved a lease for this site some years ago which this item is part of.

you are not asked to amend that lease today. the reason we're here before you for this special event is because the lease requires your approval if the special event is greater than 90 days in length, which in this case it is. so briefly the special event at 337 is pursuant to the existing parking lot lease, again is greater than 90 days in length, anticipate the to be up to 3 years in length. inflation would begin in july of this year with an opening in august of this year. going back to the previous site, you can see the site identified on the right-hand side of this picture, a very small percentage of the parking lot, 3 percent, about 18,000 square feet. the remainder of the lot of course will be available for parking. and the event displaces 70 parking spaces. in conjunction with the

special event, which you will hear about, i'm sorry, i'm not giving you much information about that at the moment, i just wanted to give you some background on the document, there's a license requesting your approval today, a revocable license for terry francois boulevard to allow the use as a parklet. this parklet would complement the activity at 337. the parklet along the curb lane could displace 11 parking spaces and comprise around 1700 square feet. on game days and event days when that portion of the street is closed to traffic for public safety reasons the parklet could expand out into the street and activate that portion of the street with uses suitable for game day attendees. the special event and the license share the same timeline and the parklet we believe provides public amenity

benefiting the public trust. on may 8 of this year, san francisco planning department issued a class 3 c categorical exemption, also called a cat x, exempting this project from environmental analysis pursuant to ceqa, and should the port commission approve the resolutions attached to the staff report based on the cat x your action would constitute the approval action as defined by the administrative code and the cat x appeal period would begin immediately there after. getting to the event and the parklet itself, we believe this is a very exciting use for this part of the city to introduce year round use south of the mission creek channel, an area today that is very desolate on a non-game day. we believe the mission bay would benefit from this use on a year roubld basis. of course it would have a benefit to the giants fans

not just using the parking. it would become a central gathering place that would provide sul tuerl programming and opportunities for recreation for weekend visitors including picnickers and bicyclists. the special event site would be open daily between the hours of 7:00 and 11:00 pm, 7:00 am and 11:00 pm, activating this isolated part of the waterfront. that by itself we believe enhances the security of the area. the site includes the addition of several new restrooms to the site, which is also a benefit both on game days and non-game days. the tenant is china basin ballpark company, the parking

lot, they already have existing around the clock security for the ballpark and the seawall lot parking site and that would be available to serve the site as a security tool. cbdc would also maintain, operate and program the special event area and the parklet area at its own expense to ensure a safe and inviting environment and would be subject to the existing lease as mentioned area with its requirement for good neighbor policies and zero waste events. regarding the fee proposal, again this lease that we are operating under clearly dictates that the proposal to be submitted and in this case approved by the port executive director. working with cdbc we anticipate additional port parking revenue from patrons coming to the special event site at an estimated amount of $150,000 per year. we want to announce up front that's

speculative, we haven't done this before, we don't know how many people will come by car but we think $150,000 is feasible and achievable but at a minimum we have negotiated with cbbc to get $7,000 per year. the port would share in 25 percent of net revenues beyond that and that's anticipated to occur in the third year of operations. on the parklet side, for the reasons identified in this slide, port staff is recommending a fee waiver. we believe for these six reasons that there is significant public benefit from the parklet its receive. again it's free of charge, it's active 24/7,

maintained and programmed and it doesn't generate other revenues to cbbc or the port during this period of time. it's purely a parklet, a park, open to the public. to enliven the area, attract people to the waterfront and raise awareness of the waterfront. for those reasons staff recommends and suggests a fee waiver for the license area. we have done extensive community outreach with this proposal. on these 3 dates, april the 10th, the 14 *t and 16 *t, we met with the advisory committee, rincon neighborhood association and received good feedback, suggestions which have helped improve the project, and generally heard excitement from the community that this would be coming to the neighborhood and we heard some great ideas on what types

of retail would really be a home run here, so to speak, commissioner, and following today's commission hearing and assuming approval at this point, this moment, we would proceed to issue building permits in june, commence installation of the improvements in july and open in august. at this point in the presentation i'd like to introduce someone from china basin ballpark company to present further ideas of the site. fran weld. >> thank you, phil, that was a great summary of the last 6 months of work we have done on this topic. thank you, commissioners, and congratulations, monique, on 10 wonderful years here.

phil touched already on some of the goals and the shared goals that we have for this space and it's really about public activation and place making at this area of the waterfront that on non-game days is quite lacking in terms of activation. this is not a new problem. cities and land owners around the world are dealing with this issue and we wanted to bring you just a couple of examples on where we've drawn success from, where we've drawn inspiration from successful activation of public space projects around the world. the first slide that i'm showing is a fun project that came out of a bad experience in christchurch, new zealand, after an earthquake. the entire downtown core was decimated and the locality came

together there and built a shipping container village on what used to be their downtown. it played a crucial role in bringing back life and energy and retail into what was at that point an abandoned zone. this is a very casual fun outdoors type consistent with the new zealand identity and then this next example is one that's in london, which is a little bit more of a sophisticated shipping container pop-up village, also a formerly abandoned area called shoreditch which is an industrial zone that the city is starting to move into that area. so a few great examples around the world and we also have them in our back yard here in san francisco. we think the presidio has done a remarkable job in terms of activating public space and bringing people to a new area of the city that they hadn't formerly seen and then perhaps most

relevant to the work that we'd be looking at here with the special event is the hayes valley activation that happened when the octavia freeway was demolished. the city partnered with a local group to bring in shipping container pop up retail and they have done a remarkable pop in activating the public space and park component with small business encouragement. this is a picture of smitten ice cream which does liquid nitrogen ice cream, big hit with most of the neighbors and this was one of their first stores. they were so successful here and had so much exposure they are now opening their fifth store in the oak bridge area in oakland. so you can use these shipping container pop ups to encourage

develop. which is what we've been working with port staff doing here. what areas do we want to take and copy in our a*r and what do we want to do new? it's about public access to the waterfront and providing amenities and activities for the public that make coming down to the water front easier. so we are talking about anything from the restrooms that we're providing to water fountains to bicycle parking in addition to some great wooden stadium-style seating that we will be installing as part of this and children's activities that will be programmed on the space throughout the year. the next thing we heard from the community that they desperately needed more of was coffee. so we are going to be including a coffee window as part of this. that's why you may have been confused about the 7:00 am start time on the operations, that's why that's

there. we think it's a great place not only for the community but a lot of the commuters coming into the city, into the downtown from the southern part of the city. this neighborhood is also sorely lacking, we think, in food options. i'm just getting you guys excited about the time here and getting you hungry with some images of some great street food ideas that have been percolating for us. we've actually partnered with a really wonderful organization called la cucina, they are a nonprofit out of the mission and they are an umbrella organization that helps cultivate and incubate food entrepreneurs. and they have been very successful with this. we especially like that they have very high levels of women owned, minority owned and immigrant owned food businesses and their whole role is they help people start up these organizations and grow them and scale them. so they are interested in coming to this

site, particularly because of that physical characteristic of it being a smaller store where they can test out new ideas before growing to a bigger brick and morter location elsewhere. and of course no community would be complete without a beer garden, so we are working with inco beer brewing to install a beer garden on this site complete with wooden picnic tables and benches. we won't have mature beautiful trees there but we will have some green wall and vegetative elements to the beer corner. they are also working with a tenant and just opened their newest brick and morter location in divisedero we have partnered with a lot of small

start-up businesses and it's been fun and rewarding. this will include some hard retail, not just food. you heard from kate sofas today who voiced support for the pier 70 project for having space in the city to actually manufacture goods, but you also need a space to sell it so we've been working with sf made and their portfolio organizations to rotate through this special event and have spaces within the activation project that they will be able to sell out of. finally, we believe heartily in programming and don't think -- the point of this, that it's a year round event, this is not just a ballpark, not just a game day event. so we are working hard to come up with a full calendar of anything from wednesday night yoga on the deck to monthly film festivals to bringing some of the larger city festivals down to the

waterfront. so i'm going to end with just some renderings of what this installation will actually look like. this is a zoomed out version on the bottom of the slide right now, i'll zoom in to three separate areas of it, but again just highlighting the design elements of waterfront viewing, public amenities from restrooms and bicycle parking, coffee, food, and of course the beer garden. so the final three slides all show we're going to take you from west to east. you are currently looking south so the china basin is behind you and the ballpark is behind that. you will see the new public safety building and the rest of mission bay being built out in the background of this slide. the coffee window, the street food patio, and picnic tables

and chairs, those can be used by the public at any time, you don't need to buy something here to come down for a picnic. the middle pours of the site we think is going to be really exciting with giant stairs and actually built into those stairs are picnic platforms so you can spread a blanket out and have the family come on down, with a little bit of elevation you can see out over the water to the south bay bridge and the area beyond so we think that will be a fun area for people to come down and finally the furthest east portion will be a beer garden and the 405pup food container. phil had spoken about the license agreement and i didn't show that here because when you end up doing it in the rendering it blocks your view of the rest of the activation, but if you imagine that white strip just in front of the blue promenade that's shown here, that's where those parklets will be. so that will have

additional wooden bench seating with vegetation that blocks off and provides a safety buffer for the street. so that is it for me. i will have phil come back up to answer any questions together. thank you. >> thank you, commissioners, that concludes our presentation. >> thank you. i have a motion on resolutions 1434 and 1435? >> so moved. >> second. >> and we have public comment. toby had to leave. karen? >> commissioners, my name is karen woods. i'm here wearing two hats. we had a presentation at the mission bay

advisory committee and also the central bay advisory group and there was a great deal of support. in fact, it wasn't so much the sea wagon as it was the neighborhood. we are all really looking forward to having activation of this seawall lot while the long-term planning moves forward for lot a, and we're very excited about the ideas that giants have come up with for this interim use and hope you can approve it. and toby would have said the same thing. thanks. >> thank you. any further public comment? seeing none, public comment is closed. commissioners, we'll start on this side this zupl. >> my questions really are this time i'll start with, first of all i think it's very

exciting and i think it's great to see we're going to have some activation. actually my son lives in mission bay and i think he's going to be very excited to hear there's going to be something to do after hours and weekends and coffee and all that. but i'm trying to understand this, i sort of read it and it was like a temporary but now i'm understanding from your pictures that this is going to be up all the time. it will display, i guess it was 70 parking spaces and it will be available on game days as well so people who park there will be able to utilize this, but it will be sort of like these mobile trailers concept, it won't be -- and there is a part of this that is permanent infrastructure, you mentioned restrooms and things like that that are permanent improvement and there are the other things that are temporary improvements that could be moved easily. so can you give us a ballpark of how much investment you are putting in? because phil mentioned it would be 3 years

before we would be able to participate in anything coming off based on your current -- how much will you be investing? >> we are still working through the final construction budget so i'm not prepared to give our final investment numbers. we have been working with the port as we've gone through some of those iterations and they will have that information when it is complete but we're still going through the value engineering process for it right now. but i also wanted to just clarify the difference between temporary and permanent. all of these improvements will be considered temporary under the building permit and they are going through a modular building permit process, including the restrooms. so even though they will be on site, open, available to the public year round, technically since they are shipping containers and can be moved and taken off site, it's considered a temporary improvement.

>> okay. so they will, it will be almost daily -- open daily? >> it will be open daily, 353 days a year or whatever we are ultimately able to agree with, with our operators but we're pushing for the maximum. >> so what happens to something like a cirque du soleil, will they not be on the site any more? >> i've just flipped back to that first slide. if you see the area in yellow is the total amount of space that we're taking up. so it's less than 3 percent of the overall lot a. so existing tenants and special events like cirque du soleil, some of the other cbbc, other

corporate events will still be able to happen, coexist, and hopefully this will benefit the patrons of those other special events. >> we do participate in the revenue once you recapture your investment here. and as far as our participation in any other special events on the site, what happens there, phil? >> that's a very good question. as mentioned this special use special event conforms to the existing lease. the existing lisa parking lot lease with a provision to allow special events to lot 337 and pier 48. the port does participate in these events, there's a schedule of fees for lot 48 that was agreed to and larger events like this one require larger participation. you mentioned cirque du soleil, that requires agreement with

the giants, events like that attract a driving audience and you can charge them significant amounts for parking, the port will bpb fit also. >> it is anticipated since this is going to be a test, try it out, sort of test as you go, do you anticipate sometime you might be changing out some of the tenants because the demand is different or how do you do that? >> that is a great question. absolutely, it's a balance between helping the small businesses and wanting to see them grow and then also being able to say this may not be the right place for you. >> or a conscious rotation. you may be consciously rotating everybody 3 months or 4 months or whatever trying to make it more interesting so people come back again. >> particularly on the retail, not the food, there is going to be a conscious sort of curated, it will line up with seasons as

well. in the summer and early fall when the weather is nice we will have lots of recreation sales people in those containers, bike shops, things like that. in the wintertime we will shift it to more of a holiday market type of tenant. >> yeah, christmas fair will be great or something like that. >> maybe. any plans to put up screens during games so people can sit out and watch the game on the screens? >> yes, we think that would be really fun. we're trying to work through all the technical issues associated with screens and daylight but we're trying to shade them and get the right devices. so that would be the idea. >> my understanding, since this is a special event and it's a temporary facility i'm assuming if prop b passes that it would not be subject to the height restrictions under prop b so you wouldn't have to go to the voters to allow a 10 foot tall container to get located on the site? >> yes, commissioner, that is

correct. again this use conforms to the existing lease which allows special events and we are specifically seeking temporary use authorization from the zoning administrator for this use. >> okay. >> so is this a three-year lease? >> excuse me, commissioner, the parking lot and special event lease for the larger 337 and pier 48 site was a five-year lease. so we're i think it expires, it does expire in march of 2017, so we're operating under the terms of that lease. it has approximately three years left. >> okay, and you said the improvements are going to take 3 years to recoup whenever we figure out what those are. >> right. well, in the third year. so there's the first year, the second year, and then in that third year so in the final year of what would be under our existing lease we anticipate a break even situation and then starting to have the port participate in

revenue sharing. >> so how do we anticipate that if we don't know what the investment's going to be? >> you want to talk about the port review? >> as part of that clarify we will still receive the rent we're currently receiving so we'll be net neutral and we'll just do revenue sharing after the costs have been recovered. >> exactly. the way the lease we're operating under, it recognized that early on. the lease site was approved two, two and a half years ago. it required at a minimum these special events, these longer terms, we meet that requirement i mentioned earlier about minimum parameter rental. so if you took the square footage for this site, 18,000 square feet, and used the minimum parameter rental that the commission approved every year, that's the