Supervisors back interim controls to slow conversions of downtown retail; amendment to grandfather pending applications

The committee considered an 18‑month interim ordinance proposed by Supervisor Peskin to require additional planning findings and conditional‑use permit information before allowing conversions of retail to non‑retail or office uses in the downtown C3R zoning district.

Supervisor Aaron Peskin said the measure would preserve ground‑floor retail and allow time to craft permanent controls and an impact fee that could fund streetscape improvements in Union Square. Peskin offered an amendment that would exempt applications filed on or before May 18 from the interim controls while preserving the ability to assess any conversion impact fee at the time of building permit issuance.

Property owners and business groups provided mixed testimony at the committee. Tuya Catalano, representing property owners, thanked Peskin for grandfathering but asked flexibility for upper‑floor experiential ("museum"/arts/entertainment) uses that could bring foot traffic to Union Square. Karen Flood, executive director of the Union Square Business Improvement District, said her board had not adopted a formal recommendation but welcomed continued engagement and a short moratorium. Jim Lazar of the San Francisco Chamber of Commerce urged openness to amendments during the 18‑month period.

The committee approved the amendment and then voted to send the ordinance, as amended, to the full Board with a positive recommendation and without objection. The committee record does not include a roll‑call vote; the Chair announced the motion carried "without objection." The planning department and Office of Economic and Workforce Development will continue work during the interim period to provide data and recommendations for permanent controls and an impact fee.