office as quickly as possible to work and it's a challenge for the plaintiff but we'll put our heads together to pit together a concrete proposal for subsidies it's a key issue you agree. >> thank you. next speaker. >> good afternoon. i'm natalie real estate manager with safeway thanks to everyone this is a voefld and pulling this altogether there's been multiple changes i've not seen the final draft but i wanted to call two items to everyone's attention on the personal services glad to hear there's consideration for the second floor and services maybe in the basements or next to the grocery store like the

katrero serviced that is considered the basement this is sin allergic to the grocery store we would like to welcome them, and, secondly, the 20 percent concentration in upper market and it's codification our specific concern is if there's a case where pertaining with upper market and church if we go to do something there it's supported that i the neighborhood and staff we've done all the research and the automatic disapproval casts a 0 cloud there's been specific examples of sees candy and sprbz not but those all 3 of the items the discussion was very firm going into that if there's more of a gray area i don't know we've worked through the details thank you for your

consideration. >> thank you very much. next speaker. >> i'm matt holmes of west san francisco the greatest threat to retail and small businesses is e conversion in 2004 when this legislation began internet sales were $67 billion this year or last year $211 billion the trending up by 15 to 20 percent per year if you strip away automobile sales people are saying that internet are counting for thirty percent of the sales so people say in 2018 with a robust economy we're going to be looking at two to thirty percent of the i take it retail stores closing because of the internet i'm promoted to my legislation that will make it

hard to fill vacancies everyone is concerned about the character of nanldz i see no character in empty storefronts has a valley and north beach raising rents chabz have has nothing to do with to with it lack of the character i think this city's way too focused on the opposition and we're cod left leg the customers. >> i have a report you want you to look at. >> 0 could i say our name, again. >> matthew holmes san francisco west. >> next speaker >> hi, i'm sarah - >> matthew holmes what's retail west. >> it's based in san francisco

a retail firm. >> a retail firm. >> (inaudible). >> thank you i'm sorry to interrupt you. >> sarah i live and work in san francisco i do retail leasing for tenants here in san francisco we represent a number of tenants such as romeburg and all the holmes and the coffee stores and i wanted to point out 3 quick points on a tenant perspective my tenants couldn't be here they are working number one i met with a tenant on 16th street i'm not going to name it's name he's a local tenant and he was still talking about the whole jake spade situation on 6th street i want

everyone to know they have no offers on the space and both storefront are city vacant he feels he's struggling in business because of it and number 2 i have some tenants on hating valley anybody that wants to sell their lease they've asked me to go out to formula retail tenants to lease their space and i've told them this is not possible because of the restriction and finally, there's because of the local tenants they want to go on streets like chestnut and union street to be next to matt and apple thank you very much and thank you very much. next speaker. >> hi, i'm samantha thanks for having me i was born and raised

in san francisco and represent landlords and tenants local regional and national in the area and a lot of our clients have you know been you fluctuating businesses throughout the years and most of them we've seen close are not because of formula retail operator moved in next door but a because of family and medical issues anothers mitigating circumstances because of the social and technology downturn they've created instability in our neighborhood rail and reducing traffic it's in our best interests to have a healthy mix of local and national changes creating stability because they bring in the foot traffic that brings the foot traffic to the smaller

retailer it is important p florida people are flocking to those coffee shops they would be doing enough business to support we're experiencing a large surlg or surge in the population and a lot of the vacancies in the mid-market area where the new growth is take place we want to point out it's expensive to build out the spaces and expensive to rent this mix would be healthy for the neighborhood and create jobs in areas we really need them so we can afford to live in the high-rise. >> thank you very much. next speaker. >> good afternoon, supervisors my name is pamela i'll lived in san francisco since 1976 you

can't artificially protect locals by keeping international brands out of the san francisco consumers make a decision where theirs to shop declaring to informs people to shop in other cities apples to apples and on the internet real estate i have is my business i work with local mom and pop i'm known in neighborhoods by tenants i've been doing this a long time and i understand retail as well as anyone in the room for anyone that thinks the cu process is a streamline process and think that international retailers will be willing to go through the process it's expensive and time chooum and no guarantees for anyone anyone that thinks there is enough qualified mom and pop's to fill the neighborhoods doesn't understand retail and retail trends the process is

background i'm not how people that are retails in different countries i'm struggling to find the international brand the following tenants were advice to bypass san francisco by components because of our pending international rules because it is costing and it is uncertain tom's and fall raven and others none are brand names in san francisco or the u.s. yet people knows about those and the fraction of a size of unglow i would love to make if i have the time an example of a situation on fillmore street were there was a local tenant that was but out by what was

considered an international tenant a lot of information that come out in the press it was incorrect i was involved in the deal there was a failing mom and pop on the corner of fillmore and california he tried to sell his business for half a million dollars that went symbol his pocketed not the landlord pocket tefsz behind in his rent the landlord gave them a rent reduction and in fact there's a utilize for someone that fell down the stairs and hit his head and headed to anlogically bathroom the tenant paid the money and went through the cu p processes they've spent hundreds of thousands of dollars and paid almost a year rent during the process they then invested a million dollars both the space that's a beautiful space the end product didn't matter this tenant is telling me everyone

not to come to san francisco they'll never do enough sales to recoup the costs i'm just afraid we're going to drive our customers our consumers and those tenants to another city i don't think there goes to come to san francisco and i'm worried about the city i'm going to leave some pictures of before and after. >> thank you very much. next speaker. >> my name is hahn the president of the real estate company we special in small and did not firms and born and raised in the sunset district now old enough when there was 5 grocery stores between 28 avenue things are changed i represent several buildings in the tar bell areas that be vacated for

two or three years and represent tenants that are existed about potentially going there only told that the timeframe taxes five to six most it is the cost that takes to build a retail store some of the issues are the add costs relate to the regulatory issues ada compliance if you take a 4 e 32 square feet store it is 60 and $100,000 per square feet if i add that on to a 6 to 9 months period of time you have a landlord noted getting rent having you have a problem where no one wants to take the risk and the foot traffic on tar bell it is will

like union street interests no traffic if you don't have traffic you don't have customers what drives this is the formula retail when starbuck's went into an oil 21 it created excitement in the neighborhood and therefore, helped all the others formula retails the 11 stores make no sense the reality is in order for the retail to make it for customers you have to have volume bugging it didn't work i'm totally against formula retail restrictions and let free market handle the decision. >> thank you very much before i call the next cards i dialog if i missed our name and you've testified (calling names) are any of those people here and not testified

okay. so i'll call the final batch of cards (calling names) and those are all the cards i have we have one more card oh, okay, sir. >> good morning, everyone. supervisors henry with the business of san francisco council district associations most of areas fillmore and has a valley and number of other ones that do want to keep the formula retail in place as supervisor wiener said before i think what is broken is the

ccii i think the cu is not that bad it's the time element that come into it to get a sign it takes 4 to 6 months just to take get a plan signed however, when it exams came to housing there's a plan and sign to that they get this through 4 weeks that's how fast they do it i've heard that. >> when you look at the process this needs to be tightened up and set ade the time to do the krudz we need to go ahead and support our local formula retails like phil's coffee and books inc. and the sf soup company those people know what

they're doing and providing he employment so we need to help them to move into another area it is critical we do that we should support the small businesses they're our kids the ones that are making up the community and we need to look at it it let's do something about the cu particularly those companies that are born and raised here thank you. >> good afternoon, supervisors i'm janet crane i am with crane architect we have the goals of the city formula retail but any regulation that treats the same units as starbuck's has drawbacks we work with tenants over the edge of 12 between 11 and 20 they their local people they're a national company wants

to come to san francisco and to the west coast names that most people have not heard of the process for those tenants is e crushing and bumper to bumper the cruz take bumps after that if all goes perfectly and most of the tenants have to pay the represented for this pedestrian and processing the cruz outside of all the build out is many many thousands and thousands of dollars so tenant in those skargz contribute to the variety of the shopping they're not a disease or plaque so i disagree with the change of the formula retail regulations and if the interior that drove the last round it's especially to do something to separate them from the starbuck's that started all

of this i support the motion of the streamline process for the tenants to 20 or something like that is it so really, really important thank you. >> thank you very much. next speaker. good afternoon my name is frederick robert in district 5 i'm in support of national retail stores in my community because i think they create jobs and i'm a senior and i'm on a fixed income it lob difficult to get around to get any food and other necessities i need so i'm in support avenue national chance they support others in employment especially district 5 on fillmore if it

wasn't for championships it would be hard for people of color in the fillmore district i'm in support of national chain in this area thank you very much. >> thank you very much. next speaker. >> good afternoon mr. supervisor i'm douglas in support of the walgreens and the sprbz i'm a senior on a fixed income and it's if it weren't for them i wouldn't be able to get my medication so i support the retail to stay in the community for jobs and expert witness i don't have any family around that much so sometimes, i can't get to the store to get

any medications so i have a lot of medical problems so i'm in support of the chains and the retails to stay in the community i like to be independent with them being in the community i can help myself and go and take care of myself looked like i'm in support of the retails staying in the community future for listening. >> next speaker. >> hi supervisors my name is andy blue i live near the intersection of 16th and lewis in supervisor wiener's district i'm here to 130r9 supervisor mar's amendment as a resident of the neighborhood and chairs most of the things that makes san francisco a unique and

beautiful city and building that 70 is historically able to play a leadership roll for the sustainable community i become involved with a high profile 80 position to stop jack spade i work with the merchant and community activists and know how important 70 formula retail is to san francisco many folks who live in san francisco know that few things can erode and the loss of our small businesses to the influx of chain stores i think the 11 store threshold is good and i believe it should remain part of the controls i also want to point out in the case of jake spade important

popular the count was for ownership i kwoo don't know anyone was fooled by jack spade was a formula retail it was only a kate spied with more than one hundred stores internationally sthfs no a.m. guilty whether or not jack spade was needing to face a formula retail process and it created a fight therefore i want to finish by saying of the working group on this issue to address the corporate ownership is important and love to help with that the store count threshold is meaningless in at the, ignore a store name change thank you very

much. >> thank you very much. next speaker. good afternoon. i'm wendy a small business owner and co-own a business in district 8 in the time i've been there 3 years i've actually seen all of those things unfold been involved that the starbucks fight and involved in the c and c coming in so where i sit the cu process is not broken we have an opportunity to have our voices heard we have an opportunity to have our voices in our process and the brakes have been on long enough there are things to be cleaned up but in terms of how it effects me as a small business owner i'll say it works the proposals i've watched it go through the

process and the compromises seem reasonable you've done great work in pulling together the questions and sending out the 3 big questions the economic impact study that's the size for this in san francisco we have a unique economy big money but small footprint the size of the city means big companies can create an imbalance within the community if you come in with big dollars with a lot of stores behind you it necessarily makes it an unfair connection head to head i'll be interested in seeing how if goes to the process and the subsidies yes, so thank you very much for your work and i do hope you'll approve it in pits current

state. >> thank you. next speaker, please. >> good afternoon, supervisors i'm a long time resident and work in the commercial real estate agency like my successors opens the retail i want to point out a couple of facts the first is that the office the controller did their study that found further restrictions on formula retail is not going good on san francisco's committee and effect the low income residents and minorities i'll point out there's been talk about how this was a major community process that community process was not quite as broad as it should have been i think a lot of residents are not aware of the lack of choice and the restrictions on their ability to shop where they want to shop i think the small

business owners don't want to have competition from others people that are selling their products i think we need to remember that san francisco already has roughly 50 percent to a one hundred percent less than other large cities we've got 12 percent formula retail as opposed to 20 percent and lastly the economic interact study for 20 feet is problematic we have an approval process the large spaces that tend to be drivers for neighborhoods the longer their blight is a bigger issue and a limited amount of rafrlts that will work with that and we need to integrate into this so

thank you and for no further restrictions to the formula retail retail code. >> thank you. >> inspires kirsten san francisco beautiful san francisco's market because of its unique character will be instituted. >> put in place to guide the plaintiff and how better to protect the character of our neighborhood thanks to the supervisor mar and we're happy to see the signage and toifgs for ground floor retail when i here people talk about again and again how difficult and on and on reduce it is for small businesses to get their conditional use we added planning staff to see to the enforcement and expediting the permits so if it takes 4 months

we look to the city in helping them ousted and thanks yourself work and i support the amendments to the regulation and thank you very much. next speaker. >> good afternoon, supervisors eileen i'm actively representing the building owners and sf my client is behind me i want to pick up but i want to start with you was brought into this process to participate in first, the study that was funded and instigated by the plaintiff and thanks again for taking on a topic you don't see this regulation for but the plaintiff was looking at the proposals by the members of the board to let's identify the problem and gets an economic picture and do what we can i think

participating in the focus groups for me it laid out the problems from the merchant and the real estate side where too much regulation puts pressure and didn't allow certain activities so at the same time i wanted to t off on supervisor wiener our acknowledgment to other folks the sheer backlog to the planning staff and as much good well as director ram invests you can't move projects forward we take the working group model that supervisor wiener suggested and looked at it a way to streamline the process in terms of the retail that's a good use of you know the community resources ranging if the chamber to acid and work on that and work with the

commission in particular i don't mean e mean to put more workload but to reach a balance so we don't end up in a situation we have formula retail controls that don't get us where we want at the end of the day thank you. >> thank you, mr. cleveland. >> thank you, supervisors ken cleveland i've followed this process in depth working with the chamber of commerce and i appreciate the fact i've pulled together two very difference piece of legislation into one, however, i them there are concerns majorly i'd like to bring up number one as you mentioned earlier as supervisor cohen mentioned earlier every neighborhood is unique that 20 percent rule for