the next item, please. >> item 5, early retail update. >> good morning, tida board members. i hope you can hear me okay. good morning. we were asked a little while ago to give an update on retail planning for treasure island, i want to engage in --en gabling in the beginning of a longer con-- engage in a longer conversation. this is part of a long discussion. we have a big challenge in front of us, frankly. the retail world changed dramatically since 2011. we see it in north beach in san francisco which have all of the advantages of population density and millions of businesses and are still struggling to keep retail spaces occupied. when we think to a new community on an island separated from the city, it gives us more trepidation how to approach this. we look to have an ongoing dialogue with the board, and, frankly, get your input and advice how to tackle this problem as we go forward. final point the plan to govern what we are doing that we will talk about in a second. address the end point when the island is built out. what we are focusing on is how we bring retail activ

these could be made with tida board approval. unlike the transitional housing rules and regulations, these changes would not extend the offer of in lieu payment benefits to post d.d.a. residents and would not offer replacement units to post d.d.a. residents unless they meet the income qualification requirements for affordable housing. and it also would not extend to commercial laeaseholders. we do have a small number of residential leases that are with entities for commercial housing and under the original thr&rs, we would propose to leave that the same. so going forward, we plan -- our november meeting of the treasure island development authority board will be held on the island in the evening. we plan to have a discussion of those proposed changes at that meeting. also as directed by the resolution, we will be developing an outreach plan. we've been engaged with the predisposition and development agreement residents for the last 1.5 years, preparing them for upcoming housing opportunities, and then bring these proposed changes

that would have very significant cost implications and that something that would not only require tida board approval and board of supervisors approval. >> thank you. make just pigging backing off of your last statement i want it to be clear for everyone here. i heard you say that because the proposal is to allow for post residents who were income qualifying mean they would have normally qualified for a bmr unit anyways to also have priority in the lottery system, this would result in no net new cost impact for the city. >> yes. >> for the development. >> so that's the clarification i want which is some of the affordable housing developers target a specific a.m.i. level or demographic max and perhaps they're going after funding that is earmarked for certain demographic types. with this new lottery preference, which perhaps opens up the demographic type create complications for the funding for the developer? >> each lottery is conducted according to the income eligibility requirements for that building at the time it becomes available for occupancy. so if that building is utilizing funding so

to be provided with relocation benefits but the board of supervisors and the mayor, when they endorsed the 2006 development plan for the island directed tida developer to come back with a proposal with plans to provide residents at the time of entitlement with transition housing benefits. and those are the benefits that we have in plan today. in 2011, when the disposition development agreement and related documents were adopted, the housing and transition plans kind of captured the framework for both the residential development program on the island and also the transition benefit programs. the housing plan itself is the guiding document for the development of market rate and affordable housing. for our affordable housing the average affordability for the 2,173 units that we'll be developing is below 50% of a.m.i. or area median income and 5% of those units are to be developed by the developer as inclusionary units within the market rate with the balance being developed by treasure island development authority and mohcd and affordable providers on 20 parcels located throughout the development. the 1 treasure island development transition h

tida for future development work. the d for d, document and design for development document was approved by the title board and adopted by the board of supervisors in conjunction with the other project entitlements that were prepared in 2011 and then the planning department also adopted the special use district provisions to the planning code and those were subsequently approved by the board of supervisors. in the d for d and the special use district, title retains planning and development projects on lands subject to the title ends trust and the image on the screen shows both the land use on the island between open space civic use, civic institutional use, mixed use and residential and the hashed area indicates which areas are subject to the trust and which are not. primarily, those areas that are subject to the trust encloud our historic buildings, building one hangars 2 and 3 but they also include the hotel sites on both treasure island. the planning department has jurisdiction over all vertical developments. for the planning department, and for the other trust lands, as long as proposed projects can form to the re