The ordinance approves a financial assistance agreement for the Hearst Hotel Development Project, allowing up to $40 million in support based on new hotel tax revenues. It also waives certain administrative and labor regulations to facilitate the project's development at 5 Third Street and 17-29 Third Street.
Ordinance approving a Hotel Development Incentive Agreement between the City and County of San Francisco and Bespoke Hospitality, LLC for the Hearst Hotel Development Project, to provide financial assistance not to exceed $40,000,000 in net present value over 20 years calculated for measurement purposes only as a percentage of new Transient Occupancy Taxes the City actually receives from occupancy of guest rooms in a proposed new hotel, related to the development and operation of a project on certain real property known as 5 Third Street and 17-29 Third Street; waiving Chapter 21G of the Administrative Code and certain sections of the Labor and Employment Code; ratifying past actions and authorizing future actions in furtherance of this Ordinance; making findings under the California Environmental Quality Act; and making findings of consistency with the General Plan, and the eight priority policies of Planning Code, Section 101.1.
How it got here
The legislation for the Hotel Development Incentive Agreement originated from the need to revitalize the underutilized Hearst Building in downtown San Francisco.
An environmental evaluation application was filed to convert the Hearst Building from office and retail use to a mixed-use hotel.
The Planning Department published a PMND, indicating that the project would not have a significant impact on the environment.
The Planning Commission affirmed the decision to issue a Mitigated Negative Declaration for the project.
The Commission approved a Conditional Use Authorization to establish hotel use as part of the project.
The Mayor's Office submitted the ordinance for the Hotel Development Incentive Agreement to the Board of Supervisors.
The Budget and Finance Committee reviewed the proposed Hotel Development Incentive Agreement and referred it without recommendation.
The Board of Supervisors finally passed the ordinance approving the Hotel Development Incentive Agreement.
Reconstructed from attached documents & the official record
