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Committee backs lease extension for Mission Neighborhood Resource Center at 165 Capp Street

San Francisco Board of Supervisors Budget and Finance Committee · September 8, 2021
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Summary

The Budget & Finance Committee voted to advance a resolution authorizing the city to exercise a five‑year lease extension with BC CAP LLC for 165 Capp Street, home to the Mission Neighborhood Resource Center. The extension keeps first‑year rent at $42/sq ft with a one‑month abatement and 3% annual increases.

The Budget & Finance Committee on Sept. 8 recommended that the full Board of Supervisors approve a five‑year lease extension for the Mission Neighborhood Resource Center at 165 Capp Street.

Dylan Schneider, manager of policy and legislative affairs at the Department of Homelessness and Supportive Housing, told the committee the property is leased by the city and operated as a drop‑in center that provides showers, lockers, laundry, snacks and case management for people experiencing homelessness. Under the proposed extension the first‑year base rent would remain $42 per square foot (about $270,684 annually) with a one‑month rent abatement for October 2021 and 3% annual increases thereafter. The city would continue interior maintenance obligations while the landlord covers property insurance and exterior or structural repairs.

Nick Menard of the Budget and Legislative Analyst’s office said the BLA recommends approval and reported the five‑year total rent as roughly $1.4 million. With no public callers, the committee voted to transmit the resolution to the full Board with a positive recommendation.

If approved by the Board, the lease would run from Sept. 30, 2021 through Sept. 30, 2026. The Mission Neighborhood Resource Center is operated by Mission Neighborhood Health Center under contract with HSH and is one of the city’s drop‑in centers serving unhoused residents.