much as we can. when those are found to be cumbersome, we adapt those programs, but absolutely, i think the concentration factor is something that we do definitely take into account. >> supervisor fewer: and then, i noticed that in this research project that we're doing, i -- i think this is on page 16. it says, some of the conclusions -- and this is conclusion number three, implications -- is limiting ground floor retail requirements for new development to the strongest locations for retail could help reduce potential vacancies, so could you give me some examples of that? >> certainly. did you want to -- i'm going to ask sarah graham to come up from strategic economics. >> supervisor fewer: thank you very much. >> thank you. >> hi. sarah graham from strategic economics. >> supervisor fewer: hi. >> so what we're referring to there is new requirements for ground floor retail, as you describe some of the corridors

or districts might be rather large or several blocks long and requiring ground floor retail on every piece of that corridor might be too difuse, so there might be places in a district that are more strong locations for our retail, and perhaps retail could be required in those locations. but in other locations that may be weaker will not be appropriate locations for new retail. >> supervisor fewer: okay. >> does that explain it? >> supervisor fewer: yeah. >> okay. >> supervisor fewer: got it. and then i have another question for oewd, when you said you help with relocation in my businesses, in my district where small businesses have been there for 30 or 40 years, and now there's a new landlord, and the landlord wants to jack up the rent five times to what they're paying,

and they have to relocate, but these are stores that are actually on -- it's such a fine line to making it every month, i'm wondering, so do you help with relocation costs? >> we have not helped with relocation costs, but we do help in terms of both free legal services, in terms of the lease. if you define a relocation as finding a neighborhood where our programs could be applied to a facade or improvement, to help make shelves more warm or to help improve a site for them, we can help them there. we can help them up linking, depending on the type of business it is, to help them with the bureaucracy that's around there. >> supervisor fewer: okay. thank you. >> thank you. supervisor stephanie. >> and thank you, the need for calling this extremely important hearing. thank you today to bla, oewd

and planning to those presentations. i'm just thinking over the 17 years that i've lived in cal hollow, i was thinking about all the different businesses, you know, i just want to say it's not just the loss of goods or services in the store when a business goes out of business, but these are the relationships that are developed over time, and these are heartbreaking losses to the community. i'm fortunate in pacific heights we have one of the lowest vacancy rates in the city. chestnut street is also thriving, but i also represent sacramento street and union street, which have their own unique challenges, and recently

there was a story on socket site, and it detailed about 20 vacancies on union street. i was to ask oewd on some of these have a cannies and how long some of these pending businesses have been stuck in these processes while pending approval. >> certainly. we can get you that information in a more granular way. right now, i believe the union street we cover from vanness to steiner, and then from fillmore to lombard, that's about 7%, but we can give you the length of time those vacancies have been in place, when a business changed hand or if it is or is not vacant currently or whether or not it actually has its doors open for business. >> and just one more question for dbi. as we're in the budget process

right now, i'm just wondering what kind of data it has to identify the vacant and abandoned property. this is obviously an extremely important issue facing our neighborhood and commercial corridors. i'm just wondering if we can get a sense of exactly what we're looking at and exactly what resources would be needed to tackle this problem. >> having been brought into this issue at the end of last week, i don't think i have a deep sense of the specificity of what you would need from our department. however, i can see, having heard testimony and having read the analyst's report that we are looking to leverage what reports already are in place, and as was mentioned earlier, the oewd, the focus on those 24

business corridors would be a starting point to build at least our internal database so that we can make sure that we have, within our own staff, give them task charges and try to have measurables available as we progress. so i've already seen that report, and we can -- i would say i can identify about six corridors that could be addressed immediately, utilizing whether it's oewd or other resources is to document the ones that are already not in our system, and those would be the ones that are complaint driven. so now we're talking about our staff having to get out there in the neighborhood.

and again, it's a challenge for a department because we have a limited number of code enforcement inspectors, and we do have to handle all other code enforcement related cases that have to do with permitted -- either they were exceeded or a permit was not taken out for a project, and we have quite a few complaints that we have to handle in those. i have a sense of what we do because i am a hearing officer for the code enforcement cases, and by and large, majority of them are going, have been, and will continue to be related to construction. construction either exceeding permit scopes or exceeding the description that's provided or no permits at all, and those are complaint driven, and that maintains quite a good amount of our staff time being devoted to just handling that.

this additional objective that we will place with a goal of bringing in a better understanding of our enforcement and the efficacy of our enforcement will be something we have to ask the department director for inspection services to consider. but that is not my program. i'm in charge of it. like i said, he's on vacation. but this is all available. it's all recorded. he will have all this available to him, and our executive team will meet and discuss this and take a look at a holistic approach to this so that we do bring about some changes that are also measurable. >> okay. another question? >> and this is for planning. just, you know, one more point i just wanted to make when i've seen businesses try to go through the cu process, and sometimes it takes so long, and they're paying rent the entire

time and they call us, and can you please get us on the planning commission calendar. you know, i'd really like to work on some processes around to make sure they're not waiting around and paying rent while we wait for a hearing an cu planning. if there's something we can put in place to fast track that, that's something i'd like to look at. >> yes, supervisor, that's a complaint we do have often from the supervisor's office and applicants. we do have a program called cb three peat. if you do meet certain criteria, with you expedite your petition. not all uses meet that petition. if you're massage use, formula retail, we don't expedite those. it is a limited program, but we

have had success with it. we are looking for ways to speed that up, especially for smaller businesses. >> okay. any other further questions, comments? i think there's a lot of work we're going to have to do internally on this issue. at this point, i'm going to turn it over to public comment. if not, if i don't call your name, just come on up. anyone who wants to come up and speak, please come to the podium. >> good afternoon, supervisor, first of all, i'd like to say congratulations to supervisor tifani for being appointed to district 2. i think you can do a fabulous job, and thank you for being

there. >> it's actually pronounced stephanie. >> supervisor stephanie. >> and second, thank you to oewd for doing such an excellent job on the report of the status of retail business in san francisco. as we all know, the -- for the longest time, small businesses really relied on pot traffic, and we're feeding coming -- foot traffic, and we're feeding coming off the on-line retail sales. foot traffic has dropped off, so the thing is how do you bring foot traffic back in. one of the things is if you have vacant storefronts, they create blight. not only that, but you don't get the foot traffic you normally would have if you didn't have these blighted places. i was fortunate to be out with may mayor lee the friday before he passed away at the excess i

don't remember. he said look at these beautiful storefront windows. they were all decorated. he said couldn't we do that with all of the storefronts, couldn't we work with oewd to get artwork in them, put displays in them, and i really think that would help. i just want to say the businesses that have been surviving are because they've had to be creative, but having events, and by having pop ups. >> thank you very much. next speaker, please. >> good evening. i represent the castro business district which streechs along market street from octavia to castro and then to 19th is a thriving and creative residential district and we are open for business. despite some of the pressures afflicting neighborhoods across the city, we're struggling with

a 17 to 18% vacancy rate. over the past five years we've addressed many problems facing or neighborhood and commercial district. the problem is we need a stick to deal with these few owners who are absent and nonresponsive. they are wreaking havoc on our business landscape. they each have multiple long-term storefronts. it's shifted from mom and pop storefronts that have deep roots in the community to corporate investors who aren't connected to our community. they're often abbott other than to collect rents and seek the highest return on their investments. the evna strongly supports more comprehensive and aggressive vacancy fees and penalties. thank you.

>> thank you very much. next speaker, please. >> good afternoon, chair tang, supervisors. my name is karen flood. i'm the executive director of the union square business improvement district, and we look forward to working collaboratively with you on this very important issue. union square bid does provide important services to the area, many of which were mentioned earlier in terms of what a management district does. we enhance our public realm to create reasons for public to come downtown and shop. so i really want to thank supervisors, fewer, yee and ronen to bring this issue to our attention. it's a really important discussion that we're having today, and thank you to oewd and dbi for the study that we've all done. we create a vibrant hospitality industry downtown. tens of thousands of well paying jobs, and retail managers take pride in their storefront as do property

owners, and we want to maintain the area. overall the state of union square is strong. we maintain a 5 to 10% range, although there are pockets as supervisor fewer mentioned earlier, maybe some on the northern side have more vacancies than the southern part of the district. there are many reasons why stores were vacant as were also mentioned today, and we've seen that uptick. right now, we have some of the bigger department stores in union square. now we need smaller core plates. we look forward to working with you on this important issue, and look forward to you being part of the discussion. thank you for your time. >> thank you. next speaker, please. >> eileen bokin, president to speak her on my behalf. in this presentation, two implications stood out, could management policies may need to

be revisits, and land use policies may need to be modified. this suggests that oewd is promoting current and proposed mta and planning department policies, some of which are controversial. regarding the mta, the small business commission has weighed in on the mission street project. from the dais, commissioner doolye referred to it's an autocratic. the same could be said of the mta's terastreet project. two merchants have gone out of business: closer dry cleaning and hunter's thread, such as marchello's restaurant have seen a significant dropoff in business. has this report been vetted before the small business

commission or the san francisco council of district merchants associations? my understanding based on today, eithneither has. so this hearing may have been premature. the process could have really started at the council, gone to the small business commission and then followed by the board of supervisors. >> thank you. next speaker please. >> good afternoon, supervisors. j.d. workman representing the san francisco chamber of commerce. i also want to thank you for having this hearing today. we at the chamber and me in particular have been working on this issue for many, many years, and i'm very interested to see that it's coming up again because i'm aware of the vacancy rates in our neighborhood commercial district, so i feel that the numbers that were given today don't just really capture the crisis that we're in when it comes to filling our retail spaces in our neighborhood and keeping them in our retail commercial corridors.

and some of those vacancies, they last for months and years, so i'm not sure that it really captures that. i think that what we haven't really heard a lot of today is how time-consuming and expensive it is to actually get a retail permit in san francisco, and i -- fore formula retail, but for other retailers, as well, and i think there is such a degree of uncertainty with it when you don't even know at the end of the day after months or maybe a year of going through the process whether you're even going to be able to go into that space, that it -- it's very discouraging for potential retailers to come into our neighborhood commercial corridors, so i hope that we're going to be taking a look at expediting the process to increase the certainty and enable retailers to be able to get in as quickly as possible.

also, i think flexiblity is key, and i heard a lot of that today. and i -- i think it's -- with the changing conditions of retail in the city and in the country, i think it's very important that a diversity of uses be able to go into ground floor commercial spaces, including professional services. and one of your colleagues, supervisor peskin has been promoting legislation that would restrict that. we would really encourage diversity. >> thank you very much. next speaker, please. >> good afternoon, supervisors. my name is deidre vonne rock. i am the president of the rest portal rock merchants association. while i'm proud that we have the lowest vacancy, that is not how it appears on an objective view.

in west portal, absentee land lowers who have no interest in the block of a huge problem. for example, we had a discussion in anchoring a project on the west tunnel because they were still collecting rent on a formula retailer. we had a radio shack that sat vacant for years because the owner wanted another radio shack. finally, verizon showed some interest in it, but it's been meyered in planning for well over a year. just recently, one of the owners of the four buildings where three of our businesses recently has been devastated has been unresponsive, delaying the recovery efforts of all the other businesses. the merchant association is often asked about the status of the vacancies and what can be done, and our answer is

nothing. not until there is anymore enforcement or accountablity as to the vacancies. we support more stringent rules on vacancies and enforcement, and we would welcome a change in zoning for ground floor retail zoning subject to community input. thank you. >> thank you. >> good afternoon. my name is steven cornell. i owned a retail business for 40 years in san francisco. i'm here also as a legislative representative of council district merchants. nothing can do good for businesses but more money. more businesses -- more business means the business thrives, it employs more people. more people means that they can buy from their neighbors. more business in, more sales is what does it for business. how can the city help? well, the city and county of san francisco is the largest employer in san francisco. it has almost four times more

than the largest private employer, yet when the city has to buy a light bulb up here, they're going to go to know where mississippi if it's one penny cheaper to get it from them. why aren't they buying it from san francisco. you put the money back into san francisco businesses, we can thrive. the city does this all the time with their largest purchase, employees. they have a policy of getting prevailing wages, the highest and best wages because san francisco costs more, and we have very good employees. well, san francisco costs more for businesses, and we should also get higher prices for the people that sell here in the city. i think that's a way to help this whole problem. thank you. >> my name is hans hansen. i'm president of starburg

commercial real estate. we actively do retail deals in the neighborhood. we do not represent retailers, and i'd like to tell two stories about the reality of doing business in san francisco. one is a bakery that we represented in south of market. it was 1800 square feet. it was his first operation. he budgeted $250,000 for the improvements to the space, another $160,000 for his equipment, and 10% or $25,000 towards his permitting fees, and etcetera soft costs. to date, nine months later, he is now at $750,000 total cost and just opened his doors. the landlord did work with him on holding back rent, but this was a process to get to the cup that took well over nine months. second story is 3146 mission street, the old kragen's auto

store. we leased that out to a company called eagle rider that's been on eighting and bryant street. this was a site that was 19,000 square feet that was auto use previously. it was a chevrolet dealership. we leased out 19,000 feet. they were formula retail because they were 13 stores nationally, and they ended up taking 13 months, losing their tenant. it was their subtenant, and now you have a vacancy of 6,000 square feet that has to start the process all over again. >> good afternoon, supervisors. cory smith on behalf of the san francisco housing action coalition. i also want to welcome supervisor stephanie to the chamber, as well. obviously, there's a lot of good ideas floating around. one of the best things we can

do for businesses is work to provide more customers for the businesses. i live in a haight-ashbury neighborhood, and there is just a stretch of single story retail. it's not shocking to me that as a neighborhood purchaser, i don't actually spend a lot of time up and down there because there are a lot of vacant stores. the other thing that this conversation reminds me of is from the old ceo of netscape. he says when it comes to decision making, we should look at data, but if all we have is opinions, we're going to go with mine, and this is one of the situations where the city has provided really, really good data. if i could get the overhead, please. so this is all sort of sfmta data. projector? nope. well, it's a couple of data points coming from sfmta.

the first one is the majority of people actually get to commercial corridors by transit, by foot or by bike. it's a lot more popular than cars. the data also shows that for the people that do take different transportation methods to the actual commercial corridors themselves, people spend more money if they are walking or biking or taking transit. there's two data points here, both for the commission street corridor, for the polk street corridor, as well. so again, in the collaborative, holistic approach that we need to take to solve this problem, one of the simple things we can do is just put more customers in the neighborhood and that will help the businesses. thank you. >> good afternoon. i'm leslie lenhart, union street association executive director, and i thank you very much for the opportunity to share my thoughts with you this afternoon. i agree with most of everything i have heard already from the previous speakers. i would like to just talk about union street, which i know so

well. i've had my business there for almost 40 years, and i've seen many, many changes. union street is always in transition. however in last ten years, it's been very challenging, and the reason is multiple. first of all, we do have the high rents, and that is unfortunate an attitude of greed from certain people. they will not rent out until they get a certain amount, and that is very unfortunate, very unfortunate. oftentimes, also, we found out that we have offshore owners of these buildings, and they're hard to contact and they're unresponsive, so that goes without saying and it is a problem. we also have to remember that we have an adt situations in all of the old buildings. that is a problem, too, that doesn't go away, and -- nor should it, but it does add expense to making a possible business come into the district. i'd like to say that the

tourists, they shop, they shop. they're here, they love it. they shop. and we need more tourists. we need to get rid of this ridiculous -- it's not unfounded, that we -- but we have a very unsafe city, a very violent city, and people are staying away. they are, i talk to a lot of european people in the past. they loved san francisco. it was wonderful. they came from all over, and now they are hesitant to do that. so the city really has to look at that. we need to make it safer. we need more police on the streets, and we need to do something about that. i'm very unhappy about this uncomfortable feeling that i'm getting from when i'm talking to people coming into my gallery, so those are areas -- >> thank you. thank you very much. next speaker, please. >> good afternoon, ladies and gentlemen, boys and girls, looking at city government

channel, which i had a lot to do to create. i'm -- oh, excuse me, madam. welcome to the city hall, new supervisor. you call it city hall, i call it silly hall. maybe you can help change that around. but right now, ladies and gentlemen, i'm not just here to impress, but to impress on the city and county, the city by the bay, where everybody thinks okay, i've got some news breaks today, doink, 'cause we're here talking about oewd, seems like everybody's scared of me because they spent all the money that's supposed to come to the fillmore. you guys are talking about all the wonderful work that oewd is doing, but you're going to hear it from me, my community of what we think, and we know the deal of what they came into our community, spent millions for fail efforts, misguided leadership, and the most egregious thing that i'm not

going to tolerate is undermining my community. yes, ladies and gentlemen, i'm the fillmore corridor ambassador. right now, i'm going to try to bring my community together. we've got to have unity in my community. there's no more black community, although this is black history month. they gave it to us, the shortest month. we still got short changed. my name is ace, i'm on the case. i've got some news reels that i want to show to you in room 200. my name is ace and i'm on the case. i'm mad that i had to go through it to get to it. back by popular demand, ace on the case, all in your face, and i'm going to be in this place.

>> thank you very much. next speaker, please. >> good afternoon. sue hester here. i'm so glad you're having this discussion, because we need to have a discussion. we need to have and expand. there's a lot of things about neighborhood commercial districts and other neighborhoods that have commercial on them. when the absentee landlords keep a place vacant for a long time, there's a real lighting issue and safety issue as well as a muni issue. they're all involved. people that walk down the streets, especially women, older women like myself that may have a cane, they don't have lighting on the sidewalk, feel very uncertain walking.

so i don't think there's enough attention paid to requiring lighting on the exterior of a building so that the pedestrian walkway is lit, whether or not there's a store in there or not, it should be the landlord's responsibility, not the tenant, because a tenant moves all the time. secondarily, the muni is only as strong as the retail district. people feel uncertain walking down streets, to a maununi sto as well, if the street is dark. if we should know where -- muni is intensively on ncd's, vanness avenue, a lot of places that have retail districts depend on the muni, and so we need to be connecting lighting

and pedestrians safety and focusing on muni connections, as well. it needs to be an ongoing conversation, and i thank you for bringing it up. thank you. >> thank you very much. are there any other members of the public who wish to speak during public comment on these two items? seeing none, public comment is closed. supervisor fewer? >> supervisor fewer: so sorry. so thank you very much for everyone who presented today. i think i have many, many more questions for dbi. you know, i just think it's not working. complaint driven is not going to work. i think we have to be more proactive and astonished to see that the report says that i didn't have any vacant storefronts in my district is just ridiculous and not true. and so i think that the data is suspect. i think that the way that we're

handling -- i have so many questions. for example, i want to know that how many of these landlords or these people who have these commercial properties, how many of these cases are repeat offenders again and again and again? some in my neighborhood, i know, have had restaurants that have been closed down for decades, and how many are these cases -- how many times are these cases -- or how many cases are referred to the city attorney, and of those referred, what are the outcomes of those cases. and what can we do to escalate? i get that we can have a carrot, and we can help. when i see these abuses, and i'm done with those out of town speculators who buy up properties, such as speculatas.

in my district, my small businesses are the backbone of my district. the services there actually serve my district's -- i mean, we have hair salons, we have restaurants, we have electronics stores, we have repair shops. these are businesses that thrive in the neighborhood, and as the neighborhood grows, these businesses are even more valuable to the people that live there. the largest population in my neighborhood, largest population or growing population is seniors, and they rely on these close neighborhood small businesses to serve them. and i think that when we don't have a very good database to even track that, i would like to know an analysis, for example, of the small businesses that are empty, the storefronts that are empty in my neighborhood, how long have they been empty, what are the reasons? what can we do? quite frankly, i think that if you are an owner of a

commercial space in san francisco, that is your business. you should be using that commercial space as a rental business. i think that it is your responsibility to maintain that business, and actually to get a tenant. and i know that there are people who actual buy properties, commercial properties and just sit on it, and that's completely not acceptable in san francisco, and completely not acceptable in my district. so i would say i'm a little bit dbi's presentation and lack of preparedness for this hearing, and that we hope to -- i hope that we will continue this hearing so that we can bring dbi back, but also, i'd like to have some data from the city attorney on what are the -- how many cases are actually referred to the city attorney and that -- and also, what are some of the things that we can do as a city as a bigger stick for some of these landlords that are just not simply

renting out these commercial spaces, waiting for a tenant that can pay more. i think that is to the detriment of our neighborhood and to the detriment of our neighborhood commercial corridors. so as i said, i think it's the responsibility of the people who own these commercial properties to maintain them and rent them out. quite frankly, if you own that, you're not simply a landlord, you're in the business of commercial retail space. and i am just wondering how many times do we have to hear about violators violating this over and over and over again, sometimes for decades, and when does the time come when the city and county says enough, and that we need to do something much more drastic. if they can't manage their buildings, maybe we should and purpose them for the public good. so i am requesting that this hearing be continued at the call of the chair so that we can get more information from dbi when they are ready to present to us with the information that we've

requested, along with some data from the city attorney. >> thank you, supervisor fewer, and i would just add that i'd like for the information, if there's a next presentation, to include beyond just the quarterly updates. i'd like to see since the span of the inception of the legislation. and of course, we know the details of the legislation. we want to see where these cases or complaints are actually going. supervisor kim? >> vice president brandon: i ju -- >> supervisor kim: i just wanted to thank the supervisors of the legislation today. this is an issue that our office started bringing up in 2011 as we were working on the midmarket recession. during that time, we were at an economic downturn, and so in some ways, there was an understanding as to why commercial ground floor retail wasn't being rented out, and at the time, then-president david

hsu had moved forward the vacancy fee. i think it's surprising in an economic upturn we're still in a same position, and i've lost so many small businesses last year, in a year that we were doing incredibly well economically, and i think it's a muxture ixture of things. i don't think it's all landlords that are unreasonable, but i do think landlords are unreasonable in rent. in south park, we lost a restaurant, butler and the chef, where there are tech companies sprouting up around it. i know it's hard for business owners who have such a narrow margin of profit to(a), not get the support that they need from the city, but(b), have to deal with landlords, who really have

this unreal stake of what they should charge for rent. everybody's waiting for the miracle chase bank or something that's going to come to their neighborhoods, so sometimes i think we need to educate commercial landlords on what they can do or not do as well. i think that we have to do the carrots, and i appreciate the presentation that oewd gave, but i think we also have to do the stick, as well, and some of that is going to come down to enforcement. and i think that the percentage of businesses that have registered for vacancy is just abysmally low. we do a good job of tagging business owners when there's graffiti on their building, so it's not clear why we can't ensure that that kind of enforcement is done fore

vacancy, as well. finally, this is slightly separate, but this continues to be an issue particularly in our redevelopment plans, particularly in mission bay. we get a lot of complaints from our residents that we don't have a lot of meenoos and businesses that they want to see. a lot of condos put in businesses that can pay a lot of rent but aren't necessarily what people need, and also, the type of restaurants that people want to see, the san francisco only type sfraunt restaurants with these chef owners that really make neighborhoods more alive. many bring in more chain stores on king street, but even in those neighborhoods there's a lot of storefront retail. i just feel with these owners that we have a partnership with, we should use any type of city leverage, one to fill their ground floor vacancies, but two, work with them to put in businesses that our

residents will actually partake in. but thank you again, and really a good amount of data that went into this, and i think it's really good for us to see all of this today. >> thank you. supervisor yee? >> supervisor yee: thank you, chair tang. i want to thank the oewd for their staff in analysis and reporting here today. i'd like to say that we need to urge dbi to do a better job in just following through with the types of regulations that we have already. i also feel like, when i looked at the report and saw what other locations were doing, other locations were taking it

much more seriously, and they're much more aggressive about how they're going to approach the property owners who think that they can just hold on for five years, and hopefully, they'll get 1million for 10,000 square feet or something. i would like to work with anybody that would like to pursue these more aggressive tactics, because that's the only way we're going to get this resolved. once again, i also want to thank the public for coming out and listening to your comments. >> thank you. supervisor fewer? >> supervisor fewer: yes, i'll be very brief. supervisor yee, i'll be very happy to work with you on more aggressive tactics. and also, i did not hear from oewd that icon staptly hear from my small businesses is that they are having a harder and harder time getting employees to work in their stores. many of our businesses have wanted signs, and the retension rate is abysmal.

they can't keep people working in their small businesses because they can't compete with the wages, and quite frankly people aren't willing to come in two hours to a job that pays $15 an hour, so i'd like that addressed at our next hearing, also. thank you. >> thank you very much. so much to say. i will just concur with my colleagues, and at this time i think i heard that we would like to continue items 1 -- actually, let's just continue item 1 to the call of the chair, and then, item 2, let ease file that one, if that's okay. okay. we'll do that, supervisor kim, without objection, okay? >> those motions are passed with supervisor safai being absent. >> thank you. can you, mr. clerk, call items 4 through 6 together, please. >> clerk: yes. i'd just like to note that we no longer have a quorum of the board of supervisors, and we are requeening asconvening as

agreement between the port and china basin llc with a base rent of $55,416,000 permonth from april through september and $2,916 from october through march in direction of increasing parking demand by ballpark patron. item 5, add the mission rock district -- the marginal whafsh between pier 48 and pier 50 and -- mission rock street to the south and third street to the west. item number 6, resolution affirming the planning department's certification of filing an environmental impact report and adopting environmental findings under

the california environmental quality act. >> thank you very much and thank you all for your patience on this item. i'm going to first turn it over to supervisor kim to speak on this item since it is your area. >> supervisor kim: thank you so much, chair tang. this is a long time in the making, but the giants and i first really started discussing in mid2015 on this project, to 2.5 years later, it's great to have the project and city sponsor in the room. this project is something that i am really proud of in terms of working with the project sponsor because it was the very first project to commit to hitting 40% affordable and miding income housing, and it is probably one of the fee projects outside of any type of redevelopment area plan that is committing to such high levels

of middle income housing, something which we as a city have not really done before. i have to say when i first got on the board of supervisors, i never thought i would fight for housing for families that made between 80 and $150,000 peryear, but that's really where we are in san francisco, which is people that make very good money and that work as nurses and teachers and entry level workers and even tech workers can't afford to live in san francisco anymore, so i just want to thank the giants for hitting it out of the ballpark and really being a team that is for san francisco by ensuring that we are building for san franciscans and that will contribute tremendously to the city. i also want to recognize that 2.5 years later, local 2 united here, united educators of san francisco, the community council housing organizations, toddco, former mayor art agnos, our former democratic chair, john burton, there were so many

people who are engaged in this process to get to the project that is before us today. i wish we could have had this project come to us sooner, but there are always so many things involved in something this complex and big, so i'm really just happy that we're here today. this is really, as far as i know, the largest, i would call surplus property -- public surplus property that we have here available in san francisco, about 28 acres. and you know for me, it was incredible important that the city as a partner to this project because it was built on public land that we ensure that this was a project that meets the needs of our city, whether it was the eight acres of open spaces and parks to again the 40% of affordable housing to a mix of office retail and housing, i just think that this is the right project for this neighborhood. and it's also great to have a project where the neighborhood supports the upzoning and building and density in their back yard. finally, i just want to recognize, i do have a number

of amendments that i'll be making after the presentation, but i also want to acknowledge that given the feedback that we've heard from the public -- and it's really just amazing how time changes from year to year, that we want to make sure that we maximize the housing on this project. 'cause 40% is great whether there's a lot of housing units that are being built. i know that there were certain parcels that were zoned initially for residential or hotel, and i just want to thank the giants for working with us and my office to ensure that all the residential parcels will be solely residential, and that we've moved the hotel option purpose to the commercial sites inkraed. and we hea -- instead. we heard from our housing ad covats that covats -- advocates, so we have a number of presenters today, so i just want to recognize them in the order that they'll

be speaking in. we have phil william son from the port who will be presenting, and matt snyder, senior department of planning, along with matt vander water. i know that we have a number of other stakeholders that are here today that will be speaking in public comment, but i just want to acknowledge the port, of course for your work, because this is on port property, our city attorney's office, public works, mohck, sfmta, and of course our ballpark transportation coordination committee and just the entire team at the giants. so i believe folks are speaking in the order that i presented, but i've called up all the names, so really in any order that you'd like to come up. >> thank you, supervisor.

madam chair, it's an honor and pleasure to be here before you today for this project. as supervisor mentioned, it's been many years in the making, and we are very, very proud of it, and you'll hear that today in our presentations. and we seek your recommendation today for the items on the calendar, items 4, 5, and 6, and i will be giving a brief overview of the project and touching on some highlights, and then i will be passing it onto jack behr to go into it a little bit more details. some of the mission rock site to give context to the area. i think --

[ inaudible ] -- to fruition and add the vitality and vibrancy that we've been working on for the last 11 years. and speaking of that timeline, you can see on this slide that we have been working for a while together. we appreciate the board's cooperation and assistance and advisement over the years, we started with a community outreach program over ten years ago, and from the beginning, this praj has benefited from the community i didn't know put and evolved and become a better prong over time with that input. the team has been seeking a collaborative team work in the project. both the port and the developer, working with other city agencies has mentioned, and with the community from the central waterfront advisory

graep, cwgroup, cwag, to the various other groups, as well. so this is the site today, and then moving forward, the build out, you can see the parks that we talked about, the eight acres, the commercial and office space, and the how doesin doesing -- housing, and you'll hear more about that today. in looking at the proposed heights as approved by the recent proposition in 2015. and then listing some of the benefits of the project, the eight acres of parks, the residential units, 40% affordable, and a range of ami's as mentioned. considerable amount of office space to activate the site and provider workers for those units. retail, we have a very solid

retail approach that will activate this site and make it a true neighborhood, and you'll hear more about that later. pier 48 is included in the project, as well. i'm sure pier 48 will exist in its current condition and current usage in the next fiesk to ten years until the giants and team working with it can identify a use for the site until that's feasible. not to leave out parking, the site does involve a structured parking facility to replace the surface parking that the site currently provides. briefly mention phasing. this is a depicktion, starting with phase one on the north side of the project, four of the parcels in phase one would be developed, and importantly, mentioning earlier the community outreach. one thing we heard loud and clear was it's important to build the open space at the

beginning of this project, the substantial open space at china basin park. so phase one does include that china basin park expansion and improvement, so that when phase one comes on-line, it will have that parka menity to add value to the parcel, of course, but also to add value to the site and to the community. we slipped this slide in. we'll be at the gio on wednesday, but we also wanted to give this committee kind of a feel or why the port's doing this project, is that it does promise significant revenues for the port's deep needs up and down the waterfront. on the far left of the slide, you can kind of get an idea of where we are, the revenues we generate from parking. it's been a very successful parking lot, but you can see the different funding sources for the project really performs well for the port and the city and therefore the state for the long-term. and my last slide is just to give you an overview of where

we are today and the upcoming next steps that we are going to be attempting to complete today. of course we're before you, the land use committee. wednesday, we'll be at the gao, and then next thursday, we'll be at the full board for consideration of the project. so i'd like to introduce jack behr to continue on with the project. >> thank you, phil, and my name is jack behr with the san francisco jients development team. good afternoon, supervisors. for more than ten years, we have worked in partnership with the port of san francisco and our neighbors to develop the land use plan before you today, and as a result, it's inspired, weaving parks, retail and

housing in a way never done before. our proposal received 74% of the vote citywide and more than 80% of the vote in the surrounding community. we look forward to kratransforg a huge surface parking lot into a collection of parks, an eclectic array of shaps aops a cafes. we will make mission bay a more vibrant place to work and live. the parks are front and center. our waterfront park will be one of the most celebrated open spaces in the city, with views back to the ballpark and the bay bridge. the square in the heart of the project will become the social hub for not only mission rock

but also mission bay. the streets are small, intimate, and carefully designed for pedestrians to gather and linger and enjoy a coffee, a meal, an art exhibit, and an overall sense of community. the smart mixture of office and housing allows for a vibrant place during the weekdays, week nights, over the weekend, and of course before and after giants games. the housing is integrated and in every building. with 40% of the units affordable to low and moderate incomes, ceo's and empty nesters will live alongside families and youth transitioning out of foster care. a great deal of creative thinking and collaboration went into this plan. from our neighbors who insisted that the waterfront park be

bold and come first, to our supervisor, jane kim, who insisted that we push hard to achieve higher levels of affordable housing. so many smart, engaged, and talented people have helped shape the corrective vision for this important corner of the waterfront, and many of them are here today. speaking of smart and talented people, i'd like to introduce my colleague, fran weld, who will drill down on a couple of additional points. >> ic concur with that comment. thank you, supervisor kim, madam chair. we're really happy to be here with you today. we wanted to just touch on some of the design aspects that make mission rock so unique within the city of san francisco. jack mentioned the views that we have from the grand park to

the center square, and what we've done with our design team, including urban planners, transportation experts, landscape architects is to make sure that the streets and the buildings themselves actually help to enhance the design of those parks. each of our streets will have a slightly different feel, depending on the location within mission rock and particularly at the ground floor. we spent a lot of time looking at the ground floor design, and it was really enlightening to listen to the discussion that preceded around retail because we -- [ inaudible ] we commissioned a neighborhood study that actually went and looked at the best of streets in san francisco and all of the great main streets of neighborhoods in the city