Recently Completed OCII Housing Developments
OCII's Affordable Housing Obligations
The Office of Community Investment and Infrastructure (“OCII”) retained Affordable Housing Obligations integrally related to the three critical redevelopment projects referred to as the “Major Approved Development Projects” that OCII, as successor agency to the San Francisco Redevelopment Agency, must continue to implement under enforceable obligations consistent with dissolution law. The obligations include direct funding through loans or grants to “stand-alone”, or 100% affordable, residential developments as well as below market rate “inclusionary” housing that is required through OCII development agreements with private developers in connection with market rate housing, and for which no OCII subsidy is provided. Note that OCII’s Annual Housing Report includes projects outside of the three Major Approved Development Projects, such as projects in the Bayview Hunters Point or South of Market Redevelopment Project Areas that were funded prior to dissolution of SFRA and completed after dissolution.
OCII manages these affordable housing development obligations through direct oversight and underwriting along with services procured from the Mayor’s Office of Housing and Community Development (“MOHCD”) through a 2014 Memorandum of Understanding. In general, OCII is responsible for directly managing the affordable housing projects’ development through construction completion. OCII also procures services from MOHCD staff for construction monitoring, review and monitoring of marketing for both inclusionary and OCII funded projects (including implementation of the Certificate of Preference program), and assisting with the fiscal management and disbursement of OCII’s funds pursuant to the relevant project’s financing agreements, and other ancillary tasks as needed. Upon completion of the project, defined as constructed, occupied, and conversion to permanent financing, OCII will seek approval from the Oversight Board and DOF to transfer the affordable housing assets, such as land, funding agreements, ground leases, and affordability restrictions, for each completed project to MOHCD, which is the City’s Successor Housing Agency under dissolution law. MOHCD will then be responsible for all asset management responsibilities for the transferred projects
As a result of these retained Affordable Housing Obligations, OCII is responsible for overseeing the creation of thousands of units of affordable housing related to the major development projects in the Hunters Point Shipyard/Candlestick Point, Mission Bay, and Transbay Project Areas, as well as a few remaining projects in other Redevelopment Project Areas. In the last fiscal year through 2015-16, 265 affordable units in OCII funded affordable housing projects have been completed. There are approximately 6,100 units remaining to be sponsored by OCII either through direct subsidy on stand-alone affordable housing sites or through inclusionary housing requirements in privately funded residential projects.