The transformation of a swath of San Francisco that began 10 years ago when voters agreed that the quake-damaged Central Freeway should never be rebuilt could get a boost under a Newsom administration plan to sell land to support housing construction.

The Board of Supervisors Land Use and Economic Development committee took testimony Monday on the administration’s plan to auction seven parcels and sell through competitive bid four other properties along Octavia Boulevard where the Central Freeway once stood.

A committee vote was postponed until April 27 so the land-sale legislation can be amended to give the Mayor’s Office of Economic and Workforce Development more leeway on the minimum price at which the seven parcels to be auctioned could be sold.

Earlier sales by the city of Central Freeway real estate raised $23 million to fund the redesign and beautification of Octavia, once a street shrouded in the grim shadow of the elevated expressway but re-imagined and re-engineered as part roadway part park.

Altogether, the city received from the state control over eight acres of Central Freeway right-of-way running between Market and Turk streets and across the blocks bounded by Franklin and Laguna streets.

A land-use plan for the area adopted by the city last year calls for construction of 700 to 1,000 units of housing, half of which are to be subsidized and sold or rented at below-market rates to low- and middle-income residents.

The Newsom administration estimates it could raise at least $35 million through the sale of 11 Central Freeway parcels to for-profit developers.

Though much of the money is required under state law to be spent on transportation projects, the administration estimates that $13.2 million would be left over to support affordable housing development on other Central Freeway parcels sold earlier to the San Francisco Redevelopment Agency.

Appraisals on the seven properties to be sold at auction–generally located at northeast corner of Fulton and Gough streets; the northwest corner of Grove and Gough streets; the north side of Hayes Street between Gough and Octavia; Octavia between Fell and Linden streets; Octavia between Lily and Oak streets; Octavia between Page and Lily street; and Octavia between Page and Rose streets–were completed in January 2008 and collectively totaled about $25.1 million.

The legislation before the Board of Supervisors is being amended to set the minimum at which those seven parcels could be sold at auction as 80 percent of appraised value.

The mayor’s office is in negotiation with would-be buyers on the four other parcels it offered through a competitive bidding process.

Please make sure your comment adheres to our comment policy. If it doesn't, it may be deleted. Repeat violations may cause us to revoke your commenting privileges. No one wants that!
  • sfobserver

    Housing for lower/moderate income people sounds great. But that’s it ! The new builder has to offer a very small amount of below market housing. Therefore, anywhere in the city where there is new construction you have these programs. Go get them there out there, The mayor’s housing assistance oh that is another program that sounds good, but read all the fine print and try to get a bank these days to lend you money for this program GOOD Luck. This is an inside land grab for more ugly new architecture to go up in our once beautiful aesthetic city .The one before all the clear channel billboards all over. Once voted down by the people to have them built but there was no department to prevent them from doing so to enforce & issue the fines and have them taken down. But no, the sell out of the city greed. In short the housing in SOMA, South of Market do not have the housing value that they COULD have if they had unobstructed views of a once unique beautiful city without the billboards &. IE: the skyscraper that obstructs the Bay Bridge and all the buildings around it oh and by the way since we are talking about earthquake land this monolith and the rest is built on land fill, liquifraction land. City payoff, it’s not enough to have us support the city by DPT issuance of false tickets, after quota money insentives, and anything else thay can write you up for at riduculous prices.
    So, if this passes, all the construction jammed into some prime real estate with it’s cookie cutter architecture that we will look back on and say what were they thinking when they put up these steel boxs. It will bring down the value to the neighborhoods in the long run. (Too much to go into now). Fight city hall, fight for your real estate values

  • sfobserver

    Housing for lower/moderate income people sounds great. But that’s it ! The new builder has to offer a very small amount of below market housing. Therefore, anywhere in the city where there is new construction you have these programs. Go get them there out there, The mayor’s housing assistance oh that is another program that sounds good, but read all the fine print and try to get a bank these days to lend you money for this program GOOD Luck. This is an inside land grab for more ugly new architecture to go up in our once beautiful aesthetic city .The one before all the clear channel billboards all over. Once voted down by the people to have them built but there was no department to prevent them from doing so to enforce & issue the fines and have them taken down. But no, the sell out of the city greed. In short the housing in SOMA, South of Market do not have the housing value that they COULD have if they had unobstructed views of a once unique beautiful city without the billboards &. IE: the skyscraper that obstructs the Bay Bridge and all the buildings around it oh and by the way since we are talking about earthquake land this monolith and the rest is built on land fill, liquifraction land. City payoff, it’s not enough to have us support the city by DPT issuance of false tickets, after quota money insentives, and anything else thay can write you up for at riduculous prices.
    So, if this passes, all the construction jammed into some prime real estate with it’s cookie cutter architecture that we will look back on and say what were they thinking when they put up these steel boxs. It will bring down the value to the neighborhoods in the long run. (Too much to go into now). Fight city hall, fight for your real estate values