Housing Authority approves construction license for Potrero Annex as residents urge pause on demolitions

The San Francisco Housing Authority commission voted unanimously on Sept. 13 to authorize the chief executive officer to execute a construction license agreement allowing the master developer and affiliates to begin site preparation, hazardous-material abatement, selective demolition and tenant relocation work at the Potrero Terrace and Potrero Annex HOPE SF Phase 3 site, subject to U.S. Department of Housing and Urban Development approval.

The agreement, presented by Housing Operations Director Kendra Crawford and developer Bridge Potrero Community Associates’ EVP Smitha Seshadri, gives the master developer access to portions of Block 4167 for site preparation and demolition and requires the developer to perform tenant relocation, rehabilitation to HUD Housing Quality Standards and debris removal. Seshadri said the larger master plan envisions 1,600 total units (800 affordable and 800 market-rate), with Block B currently under construction as a 157-unit affordable building that includes 117 replacement units for the Annex and 40 tax-credit units.

Why it matters: residents and tenant advocates told the commission they face immediate displacement and safety risks. Several speakers demanded that the authority halt evictions, provide relocation housing or portable vouchers, and clarify who will be eligible to return. Jessica Santillo of the Eviction Defense Collaborative told commissioners that many long-term Potrero residents have faced recent eviction lawsuits and alleged that staff at the private manager, Eugene Berger Management Corporation, “pocketed their rent money,” a claim Santillo said requires corrective action from the housing authority.

Commissioners pressed developers and staff on outreach and mitigation. Seshadri and Kendra Crawford described a door‑knocking and lottery-notification process, daily site walks by property management to resecure vacant units and plans to select a demolition contractor with hazardous-abatement experience. Andrew Strong, a project manager at the Mayor’s Office of Housing and Community Development, said HUD approval timelines are uncertain and argued the construction license is needed now to preserve the project timeline.

Residents continued to press for stronger safeguards. Edward Hatter of Trail Hill Neighborhood House warned of toxic dust and cited prior demolitions where residents reported prolonged exposure. Shavon Hunter asked the commission to revisit the HOPE SF initiative’s original goals, calling for clearer communication and use of funds for temporary off‑site housing rather than immediate demolition. Several speakers described confusion about the right-to-return process and concerns that market-rate development on the annex could reduce replacement opportunities.

What passed: the motion to approve item 10a passed by roll call (Commissioners Pikes, Kim, Lindo and President Torres voted ‘Aye’). The resolution authorizes the CEO to sign the construction license agreement but explicitly remains subject to HUD approval and sequencing steps still to be finalized.

Next steps: staff said they expect to select a construction manager and a specialized general contractor experienced in hazardous-materials abatement before Thanksgiving and committed to reporting timelines and outreach plans back to the commission at the next meeting. The commission also directed sponsors to continue community engagement and to provide clearer materials on right-to-return eligibility and relocation options.