The city-owned building that sits at 30 Van Ness Ave. is smack at the center of one of the San Francisco's fastest-changing areas, and until Tuesday it was firmly caught up in that change. 30 Van Ness was set to be sold to developer Related for $80 million, with the funds from that sale set aside to pay for a new city building at yet another Related-developed complex down the street at the old Goodwill site. All of that was put into flux Tuesday night when the Board of Supervisors voted 7-4 to kill the 30 Van Ness deal.
Leading the charge was Supervisor Aaron Peskin on his first day back in office after reclaiming his former District 3 seat in the November elections. Peskin argued against the deal because the $80 million price tag was $7 million less than the minimum bid that the city had set and because the 20 percent below-market-rate housing promised by Related for its 40-story, 500-unit tower was too low. According to the San Francisco Chronicle, the price came in lower than the initial minimum because it wasn't known when that price was set that 30 Van Ness needs $60 million of seismic work to be safe, an issue that could effect Related's ability to lease out the building while waiting for approvals for the big new building they planned for the site.
So what comes next? City Department of Real Estate Director John Updike, who negotiated the Related deal, will head back to the market to seek offers that align with the new Board of Supervisors' requests.
· San Francisco Sells 30 Van Ness for $80M, Plans News Offices [Curbed SF]
· S.F. Supes Reject Van Ness Building Sale [SF Chronicle]