Gov. Newsom Signs Bay Area Council-Sponsored Bill Allowing Office-to-Housing Conversions that Will Help Reignite Downtown SF

Gov. Newsom today signed legislation sponsored by the Bay Area Council that will help bring new energy and life to downtown San Francisco while also addressing the city’s urgent need for more housing.

The bill (AB 2488) by Assemblymember Phil Ting would enable the city to form a special financing district encompassing the downtown that will help spur a wave of private investment for office-to-housing conversions.

“With many office and other commercial buildings sitting empty in the wake of the pandemic and the big shift to remote work, remaking downtown San Francisco is critical to reactivating and reigniting the economic heart of the city,” said Jim Wunderman, President and CEO of the Bay Area Council. “People are the lifeblood of any city and AB 2488 will serve as a transfusion for the city’s downtown. We applaud Gov. Newsom for signing this important legislation and thank Assemblymember Phil Ting for his leadership in bringing forward this innovative solution.”

“It’s time to bring downtown back to life. We have a housing shortage and an unprecedented amount of commercial properties for rent. It makes sense to repurpose under-utilized buildings and turn them into places to live. Tax incentives have been a proven mechanism in other cities to create now thriving, walkable, mixed-use communities. I want the same for San Francisco,” Assemblymember Ting said.

Wunderman also extended the Council’s thanks to San Francisco Mayor London Breed for her tireless advocacy in winning passage of the bill in the Legislature. “It was no easy task getting this bill across the finish line and Mayor Breed was a powerful champion in making it happen.”

“San Francisco has made great progress in reimagining our downtown as a diverse, mixed-use, around-the-clock neighborhood and destination, but we still have more work to do,” said San Francisco Mayor London Breed. “This legislation will provide San Francisco with a valuable new tool to reshape our downtown and meet our housing goals. I thank Assemblymember Ting and the Bay Area Council for their leadership and partnership on this issue.”