$102M Affordable Housing Development Set to Start

SAN FRANCISCO-A $102-million affordable housing development near Fisherman’s Wharf is set to begin now that financing is in place. New York City-based Related Capital Co., one of the largest apartment owners in the nation, provided $48 million of equity financing together with its partners to San Francisco-based nonprofit Bridge Housing Corp. for the development.

The new 341-unit, three- and four-story complex replaces 229 public housing units previously on the site, which spans two adjacent city blocks at 500 and 600 Francisco Street, three blocks from the San Francisco Bay. The one- to four-bedroom flats and townhouses will range from 490 sf to 1,680 sf and be targeted toward families earning 50% or less of the area median income. Property management services will be provided by The John Stewart Company. Ground floor retail will include a Trader Joe’s specialty foods store.

Related Capital traded its equity for tax credits generated by the transaction. Bank of America will serve as the majority investor in the transaction, committing $34.5 million. Additionally, North Beach Place received $14.5 million in HOPE VI funds from the San Francisco Mayor’s Office of Housing, and $1 million of Federal Home Loan Bank (FHLB) AHP funds from Citibank.