Rejected by San Francisco’s Board of Supervisors at the end of 2015, when the proposed purchase price was $80 million, the term sheet for the sale of the City’s five-story building at 30 Van Ness Avenue, a building which sits upon a prominent parcel which is currently zoned for development up to 400 feet in height, has been tentatively approved by the Board’s Budget and Finance Committee with a contract price of $70 million.
While $10 million less than previously proposed by Related California, Lendlease Development has agreed to offer 25 percent of the future 30 Van Ness units at below market rates versus 15 percent under the terms of the 2015-era deal, but with higher income limits for the additional 10 percent.
And if a height increase is approved for the 30 Van Ness site at the center of San Francisco’s burgeoning Hub District, an additional affordable housing fee will be required to be paid.
San Francisco’s current Board of Supervisors are slated to vote on the sale next week. The previous Board had been shooting for a sale price of “no less than $87 million” back in 2015.
If the sale of 30 Van Ness is approved and ratified, the City will continue to occupy the building until the 1500 Mission Street development is finished, which is currently slated to occur around 2020, and the net proceeds from the sale will help fund the new development.