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Supervisors block revised group-housing plan for Tenderloin site, preserve earlier conditional-use approval

3006367 · April 16, 2025
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Summary

After weeks of debate, the Board of Supervisors upheld appeals against a reconfigured group-housing plan at 450O'Farrell/532 Jones, voting to table the revised conditional-use authorization and preserve the earlier 2018 approval that included larger family units and more on-site affordable housing.

The San Francisco Board of Supervisors voted Tuesday to table a reconfigured group-housing conditional-use authorization for a project at 450O'Farrell Street and 532 Jones Street after neighborhood leaders and supervisors said the revised plan would not meet family housing needs in the Tenderloin.

Supervisor Shamann Walton and Supervisor Matt Haney led debate on the project, saying that the applicantu2019s new design which reduces conventional apartments and increases small "group housing" units without full kitchens would not serve the neighborhood's growing population of families and would undercut the intent of the earlier, larger 2018 approval.

Why this matters: Tenderloin contains some of the cityu2019s highest concentrations of families in need of affordable housing and faces food-security and overcrowding issues. Supervisors said the altered project would have produced many small units lacking full kitchens and fewer family-sized affordable units than the entitled 2018 project.

What the board decided: By unanimous vote, supervisors approved related legislative items for the site that preserve the earlier entitlement and tabled the new conditional-use authorization. Supervisor Haney said the previously approved 2018 scheme had provided approximately 172 dwelling units including two- and three-bedroom affordable units and other features better suited to neighborhood needs. He said the revised proposalu2019s 13.5% inclusionary affordability level was significantly lower than city norms and that the smaller "group housing" units risked becoming short-term or corporate rentals rather than permanent homes.

Planning staff and the project sponsor presented at the hearing. Project attorneys and consultants told the board the sponsor had struggled to secure financing for the 2018 plan and had reconfigured the project to viable market assumptions. Appellants and neighborhood groups countered that re-entitling projects after initial approvals to pursue a different housing typology should not circumvent city housing goals for families and affordability.

Supervisors also raised concerns about the cumulative effect of a surge in group-housing and efficiency-unit projects in neighborhoods with limited grocery access and high transit and pedestrian congestion. They cited planning research and Department of Public Health data indicating Tenderloin residents face some of the city's highest food-insecurity and pedestrian-safety risks.

Next steps: The board's action leaves the previously approved conditional-use authorization intact; the sponsor may proceed under the older, entitled plan. Supervisors signaled interest in broader reforms to prevent major post-entitlement changes that reduce family-friendly units or affordable housing on site.

Public comment included residents, community advocates and neighborhood organizations who urged the board to prioritize permanent family housing with full kitchens, longer-term tenancy, and deeper on-site affordability.