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San Francisco City Council approves $1.5M loan increase for Sunnydale infrastructure project

November 15, 2023 | San Francisco County, California


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San Francisco City Council approves $1.5M loan increase for Sunnydale infrastructure project
A significant resolution was passed at the San Francisco County government meeting, approving an amendment to a loan agreement for the Sunnydale Hope SF development. The amendment increases the loan amount by approximately $1.5 million, bringing the total to $26.6 million. This funding is crucial for completing infrastructure improvements and housing development in the area, which aims to replace outdated public housing with a mixed-income community of around 1,770 units.

Jason Liu, the policy director for the HOPE SF initiative, emphasized the importance of this project as part of a broader commitment to address systemic issues of poverty and racism in the city. The additional funds are necessary due to unexpected costs and delays caused by extreme weather conditions and unforeseen construction challenges.

Ryan Bridal Zoiland, a senior project manager, detailed that the increased loan will cover costs related to temporary power connections and relocation expenses due to project delays. The infrastructure phase is expected to be completed by the end of this year, with a community center opening in the fall and two affordable housing buildings ready by early 2025.

Despite the progress, concerns were raised about the lengthy timeline for the entire Sunnydale redevelopment, which could take up to 15 years. City officials acknowledged the challenges posed by financing and permitting processes, which have historically slowed down construction efforts. There is a commitment to improve coordination among city agencies to facilitate smoother project execution in the future.

The resolution not only reflects the city's ongoing efforts to revitalize public housing but also highlights the need for better collaboration and planning to avoid similar delays in upcoming phases of the project. The board has requested a follow-up report within 30 days to discuss potential cost-sharing agreements with the San Francisco Public Utilities Commission, aiming to mitigate future financial burdens on the city.

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