Committee recommends 530 Sansom/447 Battery development package; project includes new Fire Station 13 and $15 million for affordable housing

The Land Use and Transportation Committee on Sept. 29 recommended four connected ordinances (items 7 through 10) to the full Board of Supervisors that would enable a mixed-use tower at 530 Sansom Street, a new standalone Fire Station 13 at 447 Battery Street, and related public improvements in the Jackson Square/Financial District area.

Supervisor Danny Sauter, sponsor of the package, described the project as a public-private partnership that would rebuild Fire Station 13 with a modern, seismically resilient facility; widen and rebuild Merchant Street with pedestrian improvements, special paving and lighting; and generate substantial fiscal and community benefits. Sauter said the package would yield nearly $15 million in affordable-housing contributions, including funds prioritized for a 100% affordable senior housing project at 772 Pacific Avenue in Chinatown (the New Asia project), and an estimated $14 million annually to the general fund in ongoing revenue from the development.

City staff and the developer presented plans showing the mixed-use tower program (public entry, retail, restaurant and meeting space at the base; 11 floors of hotel rooms above the podium; and office space in the upper floors), the standalone four-story fire station design (including relocation and preservation of a firefighter motif sculpture), Merchant Street improvements and an overall development agreement with workforce and local-hire obligations. The development agreement includes a maximum time for completion of the new fire station and requires the developer to construct the station irrespective of final construction costs (subject to city-initiated changes).

Planning staff explained the package includes: (1) a special-use district and planning-code changes to raise height limits for specified assessor parcels and a conditional-use review process; (2) an urban-design and General Plan amendment showing the special-use district and approved heights in the downtown area plan; (3) a major encroachment permit and public-works delegation to accept and maintain new Merchant Street infrastructure once built; and (4) an amended and restated property-exchange agreement that transfers 447 Battery Street to the city for the new fire station and conveys 530 Sansom for private development.

The Planning Department and Historic Preservation Commission acknowledged the project's impacts on historic resources: 447 Battery had been designated an Article 10 planning-code landmark in 2022. The package includes conditional rescission of that landmark designation contingent on the project proceeding; mitigation measures require archival-quality documentation, a salvage plan, and an interpretive plan to educate the public about the site's history. The Planning Commission certified an Environmental Impact Report (EIR) in July and recommended approval with mitigation.

Multiple labor unions, the Chinatown Community Development Center and other community groups testified in support of the project, citing job creation (both construction and permanent jobs), workforce agreements, downtown revitalization and the affordable-housing payments targeted at Chinatown seniors. City staff said they are in ongoing conversations with an existing small business in the 447 Battery building about relocation supports; the Office of Economic and Workforce Development (OEWD) and Office of Small Business have offered technical assistance, and the developer is also in communication with the tenant.

Chair Mirna Melgar moved to recommend the four items to the full board with a positive recommendation; the clerk recorded three ayes and the motion passed. The package will proceed to additional hearings (two ordinances will be considered by the Government Audit and Oversight Committee later in the week) and to full board consideration.