Mayor and Supervisor Cohen push Retirement Board to invest in expanded down‑payment assistance

Mayor Lee and Supervisor Malia Cohen announced a proposal to have the City—s Retirement Board consider investing up to $125 million over the next ten years in the city—s down‑payment loan assistance program. The objective is to expand eligibility to middle‑income households and scale up assistance to many more families.

Supervisor Cohen, who serves on the Retirement Board and introduced the resolution, said the expanded fund would significantly increase capacity for the popular down‑payment loan program and broaden income ranges so that middle‑income households (examples used by the mayor included four‑person households at about $178,000 annual income) could also qualify. Cohen told the committee the program has a strong track record with an approximately 1% foreclosure/default rate on earlier loans.

Mayor Lee said the approach would help middle‑income residents who perform critical civic roles — teachers, nurses and first responders — remain in the city amid high housing costs. Cohen said the retirement board will consider the initial proposal at its July meeting and that the Mayor—s Office of Housing will work with the Retirement Board—s staff on underwriting and structure.

The announcement was framed as a resolution from Supervisor Cohen to direct retirement board staff to develop an initial investment proposal; the committee received the presentation as an informational update and public comment period followed.