Board subcommittee backs 60-year ground lease, $100M reinvestment plan for San Francisco Wholesale Produce Market

The Budget and Finance Subcommittee voted to send forward a resolution authorizing a 60-year ground lease that will allow the San Francisco Wholesale Produce Market to undertake a phased reinvestment project estimated at about $100 million.

Supervisor Jane Kim, a committee member, said the lease and reinvestment would support PDR jobs and local hiring in Bayview Hunters Point. Supervisor John A. (Supervisor Cohen) — the item’s cosponsor — told the committee “the item before you today provides the produce market with a new 60 year lease, that will facilitate a large expansion of the market, updating facilities, creating new expanded space for tenants who wanna stay and grow here in the city, and for also for new tenants that are looking to locate their business here in the market.”

John Updike, acting director of real estate, said the 60-year term was negotiated to align with multi-phase financing: the project’s last phase could be completed around February 2036 and…