Roshan Abraham-Next City
December 2nd, 2021
A measure to set aside $64 million for social housing was approved by the city’s Board of Supervisors by an 8-3 vote on Tuesday, according to 48 Hills. The measure allocates the money to a city program called the “Small Sites Housing Acquisition Program,” which purchases housing whose tenants are at risk of eviction and keeps the building permanently affordable. Mayor London Breed opposed the measure on the basis that the small sites program was problem-plagued. Breed will still need to approve spending on the program, but the measure’s approval gives advocates more leverage. As soon as the measure was passed, Breed announced a plan to reform the small sites program by adding an additional $10 million of funding, possibly a sign she will work with the board of supervisors on spending the money.
The money was collected through a wealth transfer tax on the sale of properties worth more than $10 million, which was approved by voters last year. The money from that tax goes to the city’s general fund, and San Francisco mayor London Breed had so far been hesitant to apply it to affordable housing. Pro-development advocates disagree with the social housing spending, saying money should go to building rather than rehabilitating housing, given the city’s supply issue. Advocates of the measure, however, believe that in the long-term the city could use revenue from an expanded housing portfolio to eventually construct new units.
The vote, which was supported by a coalition of housing tenants, labor and community organizations, was a huge win for housing advocates. The ability of the program to purchase properties at scale, keep them affordable, and build new units will be a test of the viability of social housing as a sustainable solution to current housing pressures.
In a tweet, the Council of Community Housing Organizations wrote: “Next step: rapidly acquire homes in every neighborhood, and secure the political commitment for permanent allocation of the annual revenues.”
Developers Are Building More Mass-Produced “Granny Flats”
In response to new statewide laws making it easier to build accessory dwelling units on private land, some developers are seeing a boom in production of mass-produced “granny flats.” One company that produces mass-produced homes, HomeQuest, told the OC Register their business had increased 300 percent after the legal changes. ADUs don’t always add to the housing stock — they can be home offices or guest houses, but ADU’s that operate as rentals are typically more affordable than market rate housing in a multi-unit apartment building.