was a consideration as well in terms of the fee for the affordable housing rather than having this on site the supervisor wants to thank the ocii staff for in their expertise in understanding what was actually be a fair fee out for this project i think they'll be more presentation about this in detail i understand it is 2.5 times more than the fee that is required in the inclusionary housing program it would be used only for the creation of the transbay that's an important consideration this be within the location and in close approximate to the primary project i understand this will be used to subsidize 64

stand-alone vs. the 11 on site units that were not originally proposed the variation has broad support within the housing community and the constituency recognized the building type and housing project while this is indeed a unique circumstance it is the 181 fremont area says they can participate in the area and become actually members downtown so again, i ask for your support. >> thank you. >> once again kevin with the planning staff just for a little bit of project background in december of 2012 the commission

approved the entitlements for the fremont project would demolish two and 3 story building and construct a building containing about 4 hundred square feet of office space and greener retail space and subterranean off street parking it creates a bridge to the city park located on top of of the transit center so it will be demolished and construction underway it is located within the district that is to the privately owned parcels the plan requires for instance with state law 35 percent of the housing be offered to the low income households it will be a what happened then cheap combination of stand alone a development of

publicly ordinary parcels in zone one and off site projects for privately owned parcels excuse me. so far just a mome moment. >> thank you. i want to continue on with the presentation we have 35 percent of the housing within the area will be affordable to low income to moderate this will be achieved there a stand alone housing projects and increasing the publicly owned parcels in zone one and requiring the on-site and privately owned parcels in order to achieve those one of the departments is

all residential vice president is must provide 15 percent affordable and the inclusionary units must be built on site and off site construction are not permitted to satisfy those requirements they will be 11 units for the project and to exempt the requirement to have affordable housing on site and have a fee for affordable housing in the transbay redevelopment area it is going to have a previously granted authorization to remove the conditions of on site units and they want to enter into an agreement to the special eye to provide affordable units on site and the terms of the leasing the office of community investment

and the housing development has analyzed it for the one site developments the units within the project are recommending large and swietd within the upper most areas with the views the 11 affordable units will be steeply discounted in addition it is spelled it the homeland security association will exceed $2,000 a month it this will allow the residents to quality for the project there are the mayor's office of housing has concluded to create the affordable units will be leveraged for 09 opportunity within the development of the plan area the demonstration all the time asked the project sponsor to -

the comparative purposes the sponsor will establish in the planning code approximately $5.5 million ocii staff estimates that fee will create 39 affordable units comparable to the 11 unit on october 10, 2012, the ocii considered a variation to the transbay development on site affordable housing with the acceptance of a fund that files the obligation the staff represents it is approved as the disappointing downtown authorization and the commission recommend that the board of supervisors approve the development all the time they'll allow the number two, fee that will create a greater affordable housing opportunity for the

housing project that will be achieved on the on-site within the project i know that staff has received no opposition we're available for questions and also staff from other agencies are here as well. >> thank you. i apologize for the break in the presentation i want to note there were a kind of of items not in the agreement the main agreement was included but there were a couple of items inadvertently commuted and several were not available so we have provided for your the development agreement in it's desirability with the attachments and the body were in our staff report i want to acknowledge and introduce the ocii staff to go

into the detail. >> okay. thank you. >> good afternoon, commissioners i'm courtney with the infrastructure and investment area as scott and kevin mentioned on october 10th this year the community infrastructure department granted the redevelopment plan and made findings of the extraordinary circumstances an enforcement of the on site will result in a difficulty and unnecessary limitations in summary summary this is unique it has a residential offices in the planned area and the smallest area of residential projects and their located on the upper 15 floors of the 7

foot twenty-four hour in this case, the small units at the on top of a high tower has undie hard of hearing for a number of reasons first per state law the hoa fees can't be adjusted for the income level of a homeowner second while the city and ocii have programs that sure the affordability of units there's no programs for assisting the hoa fees over time and third hoa members may approve the fees without the support of the bmr owners particularly in the development of inclusionary units typically constitute a small number of the hoa membership finally when the fees are increased the people may have difficulties in making the

higher payments the result is housing costs may be too high and people face foreclosure we have a colleague here to skewer answer questions the 13.785 contribution is 2 and a half greater than than under the city's housing program the fees were determined and backed up by a market study conducted by the conquer group which determines the net additional revenues that approve the on-site affordable units fee will be used to fund up to 69 units or a net gain within

the project area and - for example, the fee could be used to fund the affordable housing on transbay block 8 two blocks from the 181 that fremont site and the current proposal is 27 percent of the total units or one hundred and 77 affordable housing i want to mention that ocii is on track to meet the transbay affordable housing within the project area through construction of 12 hundred affordable housing unit most of which will be on the number of parcels on that map the publicly owned parcels on the october 10th cc ii we have one

spoke under oath of this variation they're in support of the fee payments for the additional units in the project area i want to mention the project sponsor has been supportive of melrose and from the beginning of the project transbay fee rates one by one was one of the projects emitted in the development agreement but it's a rate of proportion it was approved by the board of supervisors and the project sponsor has in the dna have a brief when the election comes up later this year but to agree to pay a fee haven't been to the rates in the approved r ms if the certificate of occupancy

isn't published ocii recommends the approval and myself and maria is here to answer any questions you may have. >> thank you that's the conclusion of the presentation? okay. thank you we'll open this up for public comment is there anyone from the public who wishes to speak on this item? okay seeing none, public comment is closed i'll make a couple of comments initially i wanted to study this item pretty careful but i was able to meet with ocii and the planning staff it seemed like a reasonable deal has bun struck i think there's lessons learned number one having on site for sale bmr's in the towers leaguer or we're going to run into this hoa problem i wish

it could have been discussed when we heard the original entitlement hearing i remember i believe in the corrosion a number of years ago a woman that lost her bmr because the hoa was too high this is a challenge maybe we can use this as a kinds study gordon's in the mayor's office task force to consider the hoa's and the solution that's been found i understand it's much closer to the dollar between the construction and the sale prices again that is information we take into the task force as a case study commissioner antonini >> yeah. i think this is a very good proposal and it's exciting to see this building under construction i've walked down there frequently and it is a be

mixed use development not far away at fulsome and fremont that will be a mixture as most of the numbered parcels are of market rate and a candidate but there's quite a few of the of those under construction so there's many places to be employed efgz been said and building to build 69 unit and, of course, the other part that was mentioned is a community facility district that is part of the development agreement and an affirmation of the sponsor of the agreement of 923 of the board of supervisors to set the rates that's been challenged by some but this will verify the fact this particular

project will be on board as the rates as well as the cost of living increases in the proposal so i think it's a win-win in that ma many ways and i'm total in support of this i think it is very well done and looking forward to seeing this building completd completed. >> commissioner johnck. >> i'm also in support but a question on what this says about our fees i mean, if this developer is willing to pay 2 and a half times than our normal fee what does that say about our fees is it too low maybe this is downtown there's less office how is our fee if we can come up with an opportunity clause with the 13 how is the fcalculated.

>> i'll be honest i don't know how the fee is calculated its done at the mayor's office of housing it is upgraded annually to reflect the changes in the cip and the amount of discount through the affordable units you've raised an interesting point the fee as an amount and whether or not that needs to be recease and perhaps we'll work to get a schedule on another day i apologize not an fester activeer answer. >> when is the fee recalculated thank you as the recalculated annually not that i'm aware of there's is a trigger i believe

there's some authorization to have that fee upgraded annually but again, i don't know the mechanics how they come up with the number. >> okay thanks. >> commissioner richards. >> i echo commissioner president wu your thoughts on the case study this is the first on several we're going to see it's an affordable unit but with the fees tests not neighborly and we echo commissioner johnck's comments on the fee structure and things on the table we're having increases in the fees but the market is going faster than the fees are catching and have a policy or discussion i think it's a fair agreement 35 percent affordable rate and the people that are going to be lou buying those and

i reached out to the council of community housing organization they've in support of it i make a motion to approve. >> second. >> commissioner johnson. >> thank you very much i want to say nice to see you both recently on the ocii commission i see a lot of this stuff here i echo the comments made but i'll add a couple of things i definitely agree with the hoa discussion about the task force what is there to be done i don't know if there's another answer than the having enough affordable housing stock and in terms of the fee i don't think that cross the board the fees are a inclusionary fees their calculations leaves a lot of money on the table when we come back to the nexus study we

should look at the fees by product type of and neighborhoods this is a tower that's built over office relatively a large residential unit and 2, 3, 4 downtown area that i think that's a totally different communication thereon the buildings we're seeing in the eastern neighborhoods maybe that's a discussion across the board where we're not leaving money on the table and fully support this project one thing that may not not clear from the memo maybe everyone got it the dollars that will be applied to the 69 will come out to the six 9 units so the ocii is capped at $200,000 and the fees they apply to the you are talking about costs even though it costs for the ocii contributions it is for

the 69 not going to the - so i don't think that is clear in the memo i wanted to say that but i'm totally supportive. >> director ram. >> thank you a couple of thoughts this question of fees and how their set will be part of the decision of the task force work and the people trying to schedule the december or january i forget. >> but the fees of the off site fees the actual components of the legislation are the approximate i didn't that was voted on the percentages are capped on the 12 percent i believe that the fees are established on the costs of contradiction i'm not sure that's typical in the city but

we'll get more specifics on that before we have the hearing. >> thank you commissioner richards. >> i think one comment on the fees write was at we have an agreement to the fees the 13 point x million dollars is set in a year with we'll have a certificate of occupancy that will go up by x percentage so we'll get more information from the outside thank you. >> commissioners there is a we have a motion and a second to approval the development agreement and the question for dentist authorization. >> commissioner antonini arrest commissioner hillis commissioner johnson commissioner richards and commissioner president wu so moved, commissioners, that motion passes unanimously 5 to zero before we precede those people standing in front of the doorways their causing a fire hazard those people need to find

a seat or move to this side of the room please. >> commissioners that places you on item 10 for case no. riffling 22 x for 1010 street question for large project authorization. >> good afternoon rick with the department staff it is a large project authorization on 8151010 street under the large project authorization they've seeking w the planning code requirements for the rear yard and open space and the proposed project is demolition of the two-story

transmittal buildings and a new construction residential 93 square feet with 59 dwelling units and sfoov bicycle parking spaces it includes a dwelling mix 38, 2 bedroom units and 3 of one bedroom units it has a public industry court on 1010 street and a rear squared it is located off the 29 street today we've received 210 east one he currencies that is opposed and since the project is located within the zoning district it is a tier a affordable housing requirement that requires 14.4 of the designated housing to be

included in the project housing program the housing will have 10 affordable housing for ownership after analyzing that the department staff recommended approval with conditions the project complies with the planning code the project is consistent with the objectives and the policies of jeopardy plan it is located in a district where residential use it permitted and the project prudes provides a upgrade including the landscaping and common open space and a courtyard it has a hiring program and has 69 new dwelling units and has the eastern planning controls and pay the impact fees the project sponsor is here and has perpetrate a short presentation that concludes my presentation. if you have any questions, i'll be happy to answer them. >> thank you project sponsor.

>> once you start speaking to the presentation sfgovtv will turn that on. >> okay. great. >> good afternoon, members of the planning commission thank you rick for your presentation i'm jonathan here on belief of our corporation we're a vertically sgrabtd contractor of multi housing we're based in santa clara and i'm based in san francisco just a brief summer 69 units with on site affordability with 10 utilities on c street one to one parking in addition to car share on site i specifically want to keep that brief but talk about the process over over the course of the last

year given in the located in the middle of the dog patch association we've spent time with the association and stakeholders we came down with a project that allows the maximum in the area and after going through italy arbitrations we were able to hear the feedback having to do with height and massing and articulation and the overall design the dog patch is a unique district in san francisco you could be walking done one mid block in the neighborhood and following by commercial and what have you the feedback we want something unique and blends with the upper development we don't want you to max out on everything we

brought forward design in both meetings in the dog patch association as well as the board and neighborhoods of the project and came forward with we we have we can address the height and preserve existing portions of the building i'm here today with john with the architecture he's our architect we wants to talk about the design and the segue and, of course, we're available for questions. >> okay. thank you. >> good afternoon. thank you for your time to present some of the details about the projects we've put up other slides i'll walk through carefully. >> when you speak sfgovtv b will put it up.

>> this is the results okay. the first slide is the site plan i have have few photos to walk around the neighborhood photo number 3 at the top is 19th heading down 1010 the existing structure that's there new is renovated and added into with brick additions and metal and horizontal and vertical additions it's a mishmash of things we would like to highlight how we kept one of the structures and this is the view looking at tennessee street it's a little bit washed out we have a great landscape with the green strip from the curb and set the building back ten feet and have a green strip with a pedestrian

experience in the lower left slide we saved part of the structure and taken the roof off and keep that and make that an open space area to people walking down the street to enjoy the landscape that's not grading gatdz over and over private it illustrates in the rear yard courtyard is an open space that is a religious we have complete parking on tennessee street it is we're taking advantage the street slopping to get the parking access completely you don't see the cars their hidden in the main pedestrian way we have we're meeting the bike rooms