Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Housing Acquisition topic
No spam. Unsubscribe anytime.
Budget committee forwards plan to buy Mission Inn for conversion to supportive housing
Summary
The San Francisco Budget & Finance Committee voted Sept. 29 to send a resolution to the full Board authorizing city staff to pursue the purchase of the Mission Inn (5630 Mission St.) for conversion to permanent supportive housing and to apply for state Homekey grant funding. The acquisition was presented as a time‑sensitive opportunity to add affordable units across neighborhoods.
San Francisco’s Budget & Finance Committee on Sept. 29 voted to forward to the full Board a resolution that would authorize the city to acquire the Mission Inn at 5630–5638 Mission Street as part of a hotel‑acquisition strategy to create permanent supportive housing.
The Department of Homelessness and Supportive Housing (HSH), represented by Director Shereen McSpadden and acquisition lead Dan Adams, described the Mission Inn as a 51‑room motel with private bathrooms that could be converted into approximately 52 affordable units with on‑site supportive services. HSH said the city commissioned a third‑party appraisal reviewed by Colliers International that confirmed a market valuation in the neighborhood of $17.0–$17.3 million, including an income stream from an existing cell‑tower lease.
“Part of the reason we're moving as quickly as we can is there will be an opportunity to potentially go after state dollars,” Vice Chair Asha Safai said, urging the committee to seize the narrow funding window created by the state’s Homekey program and local Prop C match.
Nick Menard of the Budget Legislative Analyst’s office told the committee the estimated purchase and typical closing costs total about $17.3 million, producing a cost‑per‑unit estimate near $457,000 when an estimated $6 million in rehabilitation is included. Menard recommended approval of the resolution.
HSH staff described the conversion plan as a faster, lower‑cost route to housing than new construction, estimating per‑unit acquisition plus rehab costs materially below new‑build costs. Deputy Director Emily Cohen said permanent supportive housing generally has low eviction rates in San Francisco — about 1.2% last year — and outlined plans to select a local, culturally competent nonprofit operator through a competitive procurement process.
Public comment was predominantly supportive: about three dozen callers, including representatives of Glide, Larkin Street Youth Services, Compass Family Services, the Coalition on Homelessness and numerous neighborhood advocates, urged the committee to approve the acquisition and emphasized local preferences, culturally competent providers and speedy conversion. Jordan Davis, a caller in support, said: “We need more supportive housing…we need higher standards and geographic diversity.”
Supervisor Asha Safai moved to send the item to the full Board with a positive recommendation; the motion passed on a committee roll call. If the Board approves acquisition and the city wins Homekey grant funding, HSH said it would return with an accept‑and‑expend item for grant proceeds and proceed rapidly to select an operator and scope rehabilitation work.
Provenance: Committee discussion and public testimony on item 3 (5630 Mission Street) began at SEG 213 and continued through the motion recorded at SEG 2475.
