This resolution approves a grant agreement for up to $15,369,361 to support a 100% affordable housing project for low-income and formerly homeless households at specified locations. It allows the Mayor and the Director of the Mayor’s Office of Housing and Community Development to manage and modify the agreement as needed.
Resolution retroactively approving and authorizing the Mayor and the Director of the Mayor’s Office of Housing and Community Development (“MOHCD”) to execute a grant agreement with RSU Associates, L.P. in the amount not to exceed $15,369,361 for a 20-year term to provide operating subsidies for a 100% affordable housing project housing for low-income and formerly homeless households, including transition aged youth, located at 78 Haight Street and 120 Octavia Street; approving the form of and authorizing the execution of the grant agreement with a retroactive commencement date of October 1, 2025; authorizing the Director of MOHCD to enter into any additions, amendments, or other modifications to the grant agreement that do not materially increase the obligations or liabilities of the City or materially decrease the benefits to the City; and authorizing the Director of MOHCD to take actions necessary to implement this Resolution, as defined herein.
How it got here
This legislation originated from the need to provide operating subsidies for a new affordable housing project aimed at low-income and formerly homeless households, particularly transitional age youth.
The Board approved a ground lease and an initial loan of $26,746,467 to Octavia RSU Associates, L.P. for the construction of a 100% affordable housing project at 78 Haight Street.
The Board approved an additional loan of $8,559,766 to Octavia RSU Associates, L.P., raising the total loan amount to $35,306,233 due to increased construction costs.
The affordable housing project at 78 Haight Street received its temporary certificate of occupancy, marking its completion.
The committee recommended a grant of up to $15,369,361 to support operations for 32 supportive housing units for transitional age youth, with funding sourced from the Local Operating Subsidy Program and No Place Like Home funds.
The Mayor's Office submitted a resolution to the Board of Supervisors to approve the grant agreement for the operating subsidy.
The Budget and Finance Committee recommended the resolution for approval by the Board of Supervisors.
The Board adopted the resolution, authorizing the Mayor and the Director of MOHCD to execute the grant agreement for the operating subsidy.
Reconstructed from attached documents & the official record
This resolution approves a long-term lease for city-owned property at 967 Mission Street to develop a 95-unit affordable housing project for seniors, including units for homeless seniors. It also authorizes financing and loan agreements to support the construction of this project.
