Lennar, OCII and community partners report progress and some shortfalls on Hunters Point community benefits

OCII staff, the master developer Lennar and community partners presented an update on Hunters Point Shipyard Phase 1 community benefits and the Legacy Foundation at the April 2 commission meeting, reporting substantial compliance in many areas alongside specific shortfalls and concrete next steps.

"The developer is substantially in compliant with many of the programs," senior project manager Lila Hussain said, while noting particular areas that underperformed during the 2021–2022 reporting period, including the small‑business assistance workshops and the homebuyer assistance program. Hussain said COVID, staffing shortages and low construction activity during that period contributed to those gaps and that the developer is working on remedial actions including expanded outreach and alternative financing approaches for homeownership assistance.

The homebuyer assistance obligation in the original community benefits agreement included language for a zero‑percent down payment option, which staff said is now “economically infeasible” given market conditions. Lennar said it is pursuing alternative measures such as 2–3 percent down assistance and layered financing; Lennar also added staff to reengage outreach and restarted homeowner workshops in late 2023.

Lennar and partners described active programs supporting local businesses and workforce development. The Contractors Assistance Program (CAP) runs a site office offering technical assistance, bidding support and workshops; Renaissance Entrepreneurship Center and Young Community Developers recapped mentorship and pre‑apprenticeship training that together placed trainees into local construction work. Young Community Developers reported serving roughly 225 people across 2021–22 in pre‑apprenticeship and workforce programs.

Legacy Foundation chair Doctor Honeycutt summarized the foundation’s program allocations and next steps: a $1 million contribution from the DDA established the Legacy Fund with priorities in neighborhood building, education/workforce and homeownership. The Legacy board reported $400,000 for college readiness and skill building (with a proposed reallocation of $200,000 toward down‑payment assistance for Certificate of Preference holders administered with MOHCD), $250,000 set aside for a contractor assistance program, scholarship distributions underway and plans for additional RFPs and community engagement.

Commissioners asked for a fuller 2023 compliance update; staff committed to returning with a 2023 report and continuing discussions with the developer on remediation steps. Public commenters praised workforce results and urged continued emphasis on tangible benefits for longtime Bayview Hunters Point residents.

In a related development, OCII’s executive director noted coordination with the U.S. Navy on remediation demolition work and announced a Navy Industry Day on April 24 at the South San Francisco Conference Center; staff said the Navy’s planning includes a 23% local contracting goal for Bayview Hunters Point for the first phase of demolition work (Parcel G), offering subcontracting opportunities for local contractors.