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Commission splits on retail‑to‑office conversions in Union Square; approves limited conversions
Summary
After a lengthy debate on retail viability downtown, the Planning Commission approved two proposals that allow office conversions on upper floors where staff found retail uses unlikely — approving 4th–5th floor conversion at 220 Post but denying broader three‑floor conversion for that site; 146 Geary was continued for further review.
The commission addressed multiple conversion requests in the Union Square area amid testimony that downtown retail demand has structurally declined. For 146 Geary (item 15), sponsor and Union Square stakeholders presented market evidence; the commission granted a one‑week continuance to allow staff and the supervisor’s office to review a late‑filed issue and report back.
On 220 Post Street (item 16) the project sponsor sought conversion of Floors 3–5 from retail to office due to prolonged vacancy of upper floors. Planning staff supported conversions of Floors 4–5 but opposed converting the Third Floor given its potential role as retail that serves the district. After robust public and BID testimony, an initial motion to approve conversion of Floors 3–5 failed on a 2–4 vote; a second motion to approve staff‑recommended conversion of Floors 4–5 only passed 5–1. Commissioners appended a condition to improve alley lighting and required that the primary ground‑floor retail remain active.
Commissioners emphasized this is a measured, case‑by‑case approach rather than a wholesale policy change and asked staff for updated market data on evolving retail models and co‑working demand before considering more extensive conversions citywide.
