A groundbreaking project is set to transform a state-owned site in San Francisco, bringing much-needed affordable housing alongside a brand-new Department of Motor Vehicles (DMV) Field Office. This initiative, located on Fell Street, places it strategically between the vibrant Lower Haight, NoPa, Buena Vista, and Alamo Square neighborhoods. Residents will benefit from the proximity to a diverse mix of residential areas, entertainment venues, and visitor amenities, including the popular Haight-Ashbury and Divisadero retail corridors. The location is also designated by the EPA as a Highly Walkable area and is conveniently located within half a mile of a Major Transit Stop, enhancing accessibility for future residents and DMV visitors alike.
“This first of its kind project, combining housing with a new DMV Field Office, represents a significant step forward in California’s efforts to creatively utilize state-owned land for affordable housing solutions,” stated DGS Director Ana M. Lasso. She further emphasized the Department of General Services’ commitment to this mixed-use development, highlighting its dual benefit of delivering a modern DMV office while simultaneously creating hundreds of affordable housing units to support the San Francisco community.
The redevelopment project is a collaborative effort spearheaded by the Department of General Services (DGS), the Department of Housing and Community Development (HCD), and the Department of Motor Vehicles (DMV). Following a selection process, The Related Companies of California and the Tenderloin Neighborhood Development Corporation have been chosen to lead this transformative project.
HCD Director Gustavo Velasquez highlighted the unique nature of this opportunity, noting its potential to “transform and modernize a public-facing government facility while adding new, permanent affordable housing in a region with critical need.” He expressed optimism that this innovative project could serve as a model for similar initiatives across California, demonstrating how public land can be maximized to benefit communities statewide through thoughtful, out-of-the-box approaches.
This project is rooted in Governor Newsom’s 2019 executive order, which tasked HCD and DGS with identifying underutilized state-owned sites suitable for affordable housing development. The order specifically emphasized considering factors such as proximity to job centers, amenities, and public transportation to ensure strategic and beneficial housing locations.
Governor Newsom has made significant investments in addressing California’s housing crisis, committing $40 billion to housing production and enacting numerous CEQA reforms. The state has also dedicated over $27 billion to support communities in tackling homelessness. Building upon these efforts, in July 2024, Governor Newsom issued another executive order aimed at transforming underutilized infill sites and buildings into housing. This order is designed to help communities revitalize downtown areas and create new housing options near transportation hubs and job centers. These strategic developments aim to provide more housing for Californians while simultaneously aligning the state’s housing and climate goals by promoting efficient land use and reducing urban sprawl.
Furthermore, Governor Newsom championed the creation of the Housing Accountability Unit within HCD. This unit is crucial for ensuring that cities and counties meet their legal obligations to plan and permit their fair share of housing, holding local jurisdictions accountable for contributing to the statewide housing solution.
