The ordinance approves the acquisition of a property at 601-617 Laguna Street for $11,030,000 and outlines a project budget of up to $20,000,000 for improvements and repairs. It also exempts the project from certain contracting requirements while ensuring compliance with local hiring and wage policies.
Ordinance 1) approving and authorizing the Director of Property to acquire certain real property located at 601-617 Laguna Street (Assessor’s Parcel Block No. 0806, Lot No. 002) (the “Property”); 2) approving and authorizing an Agreement of Purchase and Sale for Real Estate (the “Purchase Agreement”) for the acquisition of the Property from Pacifica SFO LLC, a California limited liability company (“Seller”), for $11,030,000 together with a Construction Management Agreement attached as Exhibit E to the Purchase Agreement for the completion of certain improvements and the repair of deficiencies on the Property (the “Project”) by Seller for an amount not to exceed $8,140,000 that includes a construction management fee, an amount not to exceed $800,000 for the City contingency, and an amount not to exceed $30,000 for closing costs for a total anticipated not to exceed project cost of $20,000,000; 3) authorizing the Director of Property to make certain modifications to the Purchase Agreement and take certain actions in furtherance of the Purchase Agreement, as defined herein; 4) exempting the Project from contracting requirements in Administrative Code, Chapter 6 and Chapter 14B; 5) approving the Seller and its architect, consultants, general contractor, subcontractors, employees and affiliates without competitive bidding, but requiring the payment of prevailing wages, implementation of a local business enterprise utilization program, and compliance with the City’s local hire policy and first source hiring Ordinance; and 6) placing the Property under the jurisdiction of the Real Estate Division; affirming the Planning Department’s determination under the California Environmental Quality Act; and adopting the Planning Department’s finding that the Purchase Agreement, and the transactions contemplated therein, are consistent with the General Plan, and the eight priority policies of Planning Code, Section 101.1.
How it got here
The legislation originated from the Department of Public Health's initiative to acquire a property for an assisted living facility to expand care services in San Francisco.
The Planning Department determined that the acquisition of 601-617 Laguna Street is consistent with the General Plan and the eight priority policies of Planning Code Section 101.1.
The City acquired the adjacent property at 624 Laguna Street, which was historically operated with the property at 601-617 Laguna Street.
The Department of Public Health submitted a proposal to acquire 601-617 Laguna Street to preserve and expand assisted living services for low-income residents.
The Mayor's office submitted the ordinance to the Board of Supervisors for approval, detailing the acquisition and necessary waivers.
The Budget and Finance Committee reviewed and recommended the ordinance for approval.
The Board of Supervisors passed the ordinance, authorizing the acquisition of the property and related agreements.
Reconstructed from attached documents & the official record