600 Seventh is meeting many needs in San Francisco’s South of Market neighborhood. Developed by Mercy Housing California, the 221-unit mixed-use community has two wings serving different populations: one wing with 100 units dedicated to low-income families earning between 50% and 80% of the area median income (AMI), and the other wing with 120 permanent supportive housing (PSH) units—100 for individuals and 20 for families who were homeless or at risk of homelessness.
PROJECT DETAILS
DEVELOPER: Mercy Housing California
ARCHITECT: Santos Prescott and Associates
GENERAL CONTRACTORS: Suffolk Construction and Guzman Construction Group
MAJOR FUNDERS: San Francisco Mayor’s Office of Housing and Community Development; J.P. Morgan; Enterprise Housing Credit Investments; California Tax Credit Allocation Committee; California Debt Limit Allocation Committee; California Department of Housing and Community Development; San Francisco Housing Authority; Federal Home Loan Bank of San Francisco; Century Housing Corp.
It also has over 5,000 square feet of retail space at below-market rates to local small businesses on the ground floor. Three of the four spaces have been leased and are in the build-out process. The businesses include a Sudanese and Middle Eastern restaurant; an Ethiopian spice shop; and a hair salon.
“This is really a partnership with the city, which owns the land and dedicated $83 million in gap funding, over $31 million in ongoing operating subsidies, and over $12 million in rental subsidies to make this project happen,” says Ramie Dare, director of real estate development. “The city also has been amazing in partnering to make sure we have the resources to build out the warm shell of the commercial spaces for the businesses, including small and immigrant-owned businesses, so they can then complete their tenant improvements. They really are helping us think through how to set them up for success.”
Amy Sullivan
Completed in January, 600 Seventh includes larger units with two and three bedrooms, and a comprehensive mix of resident and supportive services. Episcopal Community Services of San Francisco provides essential supportive housing services to help residents maintain stability. In addition, resident services programming is tailored to support adults and children, focusing on life skills, educational opportunities, and community engagement. Operating subsidies for the 120 PSH units are provided by the city and county of San Francisco’s Local Operating Subsidy Program.
“The property management and resident services teams have already organized events and services,” adds Dare. “After every event, residents have expressed how happy they are to be part of the building and to meet other residents. We’re really working on building community.”The $143.7 million development, which received support from the city, county, and state, was financed with low-income housing tax credits and tax-exempt bonds.