Supervisors rescind approval of Mills Act contract for 714 Steiner Street after owner lists house for sale

The San Francisco Board of Supervisors on June 22 adopted a resolution disapproving a proposed historic‑property contract under the Mills Act for 714 Steiner Street, the painted‑ladies row in Alamo Square. The resolution rescinds the board’s earlier approval after the property’s owner listed the house for sale, a development the board said was not disclosed during the original review.

Supervisor Aaron Peskin, who described himself as the author of the first Mills Act contract in San Francisco nearly 20 years ago, told colleagues the board had exercised discretionary authority under the Mills Act and San Francisco Administrative Code, chapter 71, to approve a 20‑year Mills Act contract for the Leah Culver Revocable Trust. Peskin said the contract represented "in excess of a half a million dollars in foregone property taxes to the city" in exchange for renovation and ongoing maintenance of the historic resource.

Peskin said the board approved the contract in May, only to learn three days later through news reports and the multiple listing service that the property had been placed on the market — a fact he said was not disclosed to the committee or the board. "Given that a new property owner may have very, very different intentions," Peskin said, the board moved to rescind approval. "Future owners are, welcome to apply but I think it is the wrong policy move for this board to add value to a property based on representations of a property owner, which representations have ceased to be true and have not been disclosed to this board of supervisors."

Supervisor Chan said she shared the disappointment and supported rescinding the contract, noting the board approved the item in good faith and expected a long‑term commitment to preserve the property. "That is the reason why I will be supporting to, resend this contract today," Chan said.

Property owner Leah Culver spoke during in‑person public comment. Culver told the board she had planned to restore and live in the house but that her circumstances had changed. "I did plan to restore this home and live in it with my future family. Unfortunately, 2 and a half years into this process, my life has changed," Culver said. She said the permitting process and delays contributed to her decision not to sign the contract as offered by the planning department.

Before the board’s vote, supervisors approved a separate procedural motion excusing Supervisor Preston from the vote because the property is within 500 feet of his residence. That motion was made by Supervisor Peskin and seconded by Supervisor Ronan and carried. The final roll call on the resolution recorded eight ayes with Supervisor Preston recused; the clerk announced the resolution was adopted unanimously among the eight voting members present.

The board’s action rescinds its earlier approval; the board did not adopt alternative preservation conditions in this meeting. The board record indicates future owners may apply for Mills Act contracts, but no new commitments or binding conditions were added at this hearing.