Transbay Block 4
Transbay 4 is an ambitious joint venture between an affordable developer and a market rate developer that will have an affordable inclusionary rate of 45%, the highest rate of any project in San Francisco. As envisioned, the project consists of a market-rate tower and an affordable tower that will sit atop a shared parking podium. The affordable tower will be 16 stories and include 192 units and over 6,000 square feet of commercial space. The second tower will be a 47-story building that would consist of 491 luxury residential units and over 2,000 square feet of commercial space. Both properties would sit on a multi-level garage that would hold 275 parking spaces, 556 secured bike parking spaces, as well as several back-of-the-house uses. The project received Planning approvals in July 2022, but has undergone further redesign given current market conditions.
Challenges & Lessons Learned
Transbay 4 is located in the Transbay Redevelopment Area, a new economic, civic, residential, and transportation hub in the heart of San Francisco. As one of the last remaining undeveloped parcels in the redevelopment area, this project had to balance a number of competing demands and requirements from the City and community groups. The affordable component needed to satisfy a significant portion of the district's affordability requirements within a relatively small footprint, which necessitated the need for a costly tower structure, while competing for funding sources that heavily favored projects with a low level of subsidy needed per unit. Additionally, the affordable component had to balance the space needs of resident services staff and residents with the needs of the market rate partner. Creative design and parcelization was required to ensure that all space needs were met and that both the affordable and market rate components were feasible.
Role: Associate Director of Real Estate Development
Part of affordable developer leadership team that negotiated the Joint Venture Agreement with the market rate partner
Represented affordable developer’s interests in Development & Disposition Agreement discussions with the market rate partner and the City
Selected the affordable project team, including architect, and other consultants
Let efforts to design an affordable component of the project that was operationally feasible and financially competitive, while compatible with the market rate components of the project
Worked with market rate developer to secure project entitlements
All images on this page are credited to Solomon Cordwell Buenz