OCII approves $4 million predevelopment loan and ENA for Hunters Point Shipyard affordable housing

The Commission on Community Investment and Infrastructure on Aug. 7 approved an exclusive negotiations agreement (ENA) and a predevelopment loan of up to $4,000,000 to Shipyard 5254 LP to advance a roughly 100‑unit affordable family rental project on Hunters Point Shipyard Blocks 52 and 54.

Elizabeth Colomello, senior development specialist in OCII’s housing division, told commissioners the ENA has an 18‑month term with a one‑year extension and milestones that include submission of a financing plan, schematic drawings and, prior to construction, design development documents and execution of a ground lease. “The proposed pre development loan is for $4,000,000,” she said, adding the loan carries a 3% interest rate and is for a term of three years or until conversion to a permanent loan at construction closing, subject to commission approval. Staff emphasized no site work will occur before survey and testing results are released publicly.

Colomello said the selected development team includes McCormick Baron Salazar (MBS) with Bayview Hunters Point Multipurpose Senior Services (BHP MSS), John Stewart Company as property manager and Methuen Solomon as architect. The project program calls for mostly one‑ to three‑bedroom units, a small number of larger family units, two family childcare units (one per block), and a parking ratio of about 0.6 spaces per unit. The maximum household income tier initially targeted is 50% of area median income (AMI); OCII said the 50% AMI level for a family of four is about $59,000 per year, and the project will include lower income tiers and preference outreach for certificate‑of‑preference (COP) holders and other preference populations.

Community speakers welcomed the project’s affordability but urged stronger local hiring and environmental safeguards. “We know that there have been some fraudulent tests done,” a homeowner from the Shipyard told the commission and urged independent core sampling for radioactive materials and volatile compounds. Oscar James, a Bayview Hunters Point native, asked that the development reserve units for people experiencing homelessness and that on‑site management and contracting opportunities be drawn from the local community.

In response, staff said the California Department of Public Health began retesting Parcel A in mid‑July and will post weekly updates; staff said the CDPH has the technical expertise to lead additional testing and the retest results will be made public. Commissioners also asked about interest deferral and schedule; staff said interest is deferred during predevelopment and the predevelopment period will last at least through 2020, with construction start contingent on completing design and financing approvals.

Commissioner Bustos moved to approve the ENA and loan, Commissioner Singh seconded, and the commission voted 5–0 to adopt the action. The item appears on the agenda as Resolution No. 33‑2018.