San Francisco approves $67M housing bonds for Transbay Block 2 West project

In a recent San Francisco County government meeting, officials discussed a significant resolution aimed at financing the construction of a new affordable housing project, Transbay Block 2 West. This initiative is part of a broader effort to address the pressing need for affordable housing in the city, particularly for vulnerable populations such as seniors and those experiencing homelessness.

The resolution authorizes the issuance of multifamily housing revenue notes totaling approximately $67.7 million. This funding will support the development of 151 rental units specifically designed for seniors, with a substantial portion allocated for those with very low incomes. Notably, 150 of these units will cater to households earning between 15% and 50% of the area median income, while 30 units will be designated for formerly homeless seniors, supported by the city’s local operating subsidy program.

The Transbay redevelopment project, initiated in 2005, aims to revitalize an area affected by the demolition of the freeway following the 1989 Loma Prieta earthquake. The project is divided into two zones, with the Office of Community Investment and Infrastructure (OCII) overseeing the first zone, which has already seen the completion of over 2,000 residential units, including more than 700 affordable units. The new Block 2 West development is crucial for meeting the mandated 35% affordability requirement in the area.

Construction for Block 2 West is set to commence in March 2026, with an anticipated completion date in January 2026. The project is being developed by Chinatown Community Development Center and Mercy Housing California, selected through a competitive process. This initiative not only represents a step forward in addressing the housing crisis but also highlights the city’s commitment to creating inclusive communities that support its most vulnerable residents.

As the city moves forward with this project, the approval of the resolution marks a critical milestone in San Francisco's ongoing efforts to enhance affordable housing availability and improve living conditions for seniors and low-income families.