David Sjostedt

Milagritos Lopez, or ‘Millie’ as she’s more commonly known, commutes every day from the city of Richmond to sell jewelry by the 24th St. BART Station. After immigrating from Peru to Los Angeles in 1993, Lopez moved to the Bay Area over a decade ago. She started her jewelry business in 2015 and says she has always done everything on the up-and-up, paying state business taxes every three months along with an annual $260 permitting fee to the San Francisco Police Department.&nbsp;

core/paragraph

Milagritos Lopez, or ‘Millie’ as she’s more commonly known, commutes every day from the city of Richmond to sell jewelry by the 24th St. BART Station. After immigrating from Peru to Los Angeles in 1993, Lopez moved to the Bay Area over a decade ago. She started her jewelry business in 2015 and says she has always done everything on the up-and-up, paying state business taxes every three months along with an annual $260 permitting fee to the San Francisco Police Department.&nbsp;

But Millie said that the SFPD permit has been a waste of money because officers are unwilling to enforce the rules that come with it. Unpermitted vendors sell similar products within two blocks of her space, she says, in clear violation of<a href="https://www.sanfranciscopolice.org/sites/default/files/FileCenter/Documents/14183-peddler.pdf"> peddler permit regulations.</a>

But Millie said that the SFPD permit has been a waste of money because officers are unwilling to enforce the rules that come with it. Unpermitted vendors sell similar products within two blocks of her space, she says, in clear violation of<a href="https://www.sanfranciscopolice.org/sites/default/files/FileCenter/Documents/14183-peddler.pdf"> peddler permit regulations.</a>

Now, Mission vendors fear that <a href="https://sfstandard.com/mayor-announces-crackdown-on-tenderloin-crime-in-fiery-press-conference/">recent legislation</a> focused on prohibiting unpermitted street peddling in the Tenderloin will drive even more unlicensed sellers to the Mission.&nbsp;

Now, Mission vendors fear that <a href="https://sfstandard.com/mayor-announces-crackdown-on-tenderloin-crime-in-fiery-press-conference/">recent legislation</a> focused on prohibiting unpermitted street peddling in the Tenderloin will drive even more unlicensed sellers to the Mission.&nbsp;

Milagritos Lopez, who has been selling jewelry since 2015, assists a customer at her vendor site on the corner of Mission and 24th streets in San Francisco on Dec. 21, 2021. | James Wyatt

<figure class="wp-block-image size-large"><img src="https://content.sfstandard.com/wp-content/uploads/2021/12/StreetVendor_JamesWyatt_SFS_10-2500x1663.jpg" alt="" class="wp-image-20558"/><figcaption>Milagritos Lopez, who has been selling jewelry since 2015, assists a customer at her vendor site on the corner of Mission and 24th streets in San Francisco on Dec. 21, 2021. | James Wyatt</figcaption></figure>

core/image

<figure class="wp-block-image size-large"><img src="https://content.sfstandard.com/wp-content/uploads/2021/12/StreetVendor_JamesWyatt_SFS_10-2500x1663.jpg" alt="" class="wp-image-20558"/><figcaption>Milagritos Lopez, who has been selling jewelry since 2015, assists a customer at her vendor site on the corner of Mission and 24th streets in San Francisco on Dec. 21, 2021. | James Wyatt</figcaption></figure>

“They’re going to close up UN Plaza and [vendors] are going to move right down the street and put their wares on Mission Street,” said Santiago Lerma, a legislative aide for Supervisor Hillary Ronen, who represents the Mission. “We have to do something, I’m getting small business owners crying because there are people selling the same products out in front of their window for 50% cheaper.”&nbsp;

“They’re going to close up UN Plaza and [vendors] are going to move right down the street and put their wares on Mission Street,” said Santiago Lerma, a legislative aide for Supervisor Hillary Ronen, who represents the Mission. “We have to do something, I’m getting small business owners crying because there are people selling the same products out in front of their window for 50% cheaper.”&nbsp;

In August, Supervisor Aaron Peskin introduced legislation requiring tighter enforcement of rules, including tax collection and health and safety regulations, for vendors along the city’s waterfront. The new proposal, authored by Supervisor Ahsha Safai and introduced by Mayor London Breed last week, expands on the August legislation to adopt city-wide regulations for street vendors and shift permitting responsibilities from the police to the Department of Public Works.

In August, Supervisor Aaron Peskin introduced legislation requiring tighter enforcement of rules, including tax collection and health and safety regulations, for vendors along the city’s waterfront. The new proposal, authored by Supervisor Ahsha Safai and introduced by Mayor London Breed last week, expands on the August legislation to adopt city-wide regulations for street vendors and shift permitting responsibilities from the police to the Department of Public Works.

The new legislation would introduce “exclusion zones” that will primarily focus on prohibiting the sale of goods at UN Plaza. It also enables the director of DPW to expand limits on street vending for reasons related to public health, safety, and welfare in accordance with a state law that decriminalized street vending in 2018.&nbsp;

The new legislation would introduce “exclusion zones” that will primarily focus on prohibiting the sale of goods at UN Plaza. It also enables the director of DPW to expand limits on street vending for reasons related to public health, safety, and welfare in accordance with a state law that decriminalized street vending in 2018.&nbsp;

In November, following <a href="https://sfstandard.com/merchants-remain-uneasy-but-shoppers-unfazed-following-union-square-thefts/">mass thefts</a> at luxury stores in Union Square, SFPD set up physical barriers in UN Plaza where people used to sell goods–partly in response to concerns that stolen items were immediately being sold on nearby streets. But the barriers only resulted in peddlers moving across the street or to the end of the block.&nbsp;

In November, following <a href="https://sfstandard.com/merchants-remain-uneasy-but-shoppers-unfazed-following-union-square-thefts/">mass thefts</a> at luxury stores in Union Square, SFPD set up physical barriers in UN Plaza where people used to sell goods–partly in response to concerns that stolen items were immediately being sold on nearby streets. But the barriers only resulted in peddlers moving across the street or to the end of the block.&nbsp;

Like many cities, San Francisco has long struggled to organize street vendors. In 2019, Ronen’s office worked with community members to help organize a legal flea market in the Mission, sanctioning a section of the nearby Julian Street for vendors to sell their goods. The plan came as a response to an overwhelming number of unpermitted peddlers who were showing up next to a licensed flea market known as La Pulgita.&nbsp;

Like many cities, San Francisco has long struggled to organize street vendors. In 2019, Ronen’s office worked with community members to help organize a legal flea market in the Mission, sanctioning a section of the nearby Julian Street for vendors to sell their goods. The plan came as a response to an overwhelming number of unpermitted peddlers who were showing up next to a licensed flea market known as La Pulgita.&nbsp;

But Lerma said that despite his staff’s efforts, the market became unmanageable.&nbsp;

But Lerma said that despite his staff’s efforts, the market became unmanageable.&nbsp;

“More vendors came out and started to flood into the streets,” Lerma said. “It just grew and grew. It was so staff–intensive and eventually became untenable.”&nbsp;

“More vendors came out and started to flood into the streets,” Lerma said. “It just grew and grew. It was so staff–intensive and eventually became untenable.”&nbsp;

Gaby Ramos, a director for the La Pulgita weekend flea market, said that unpermitted vendors on the sidewalks create accessibility issues for her customers–and she suspects the market’s $25 fee and strict no-drug policy are dissuading unpermitted vendors from signing up.

Gaby Ramos, a director for the La Pulgita weekend flea market, said that unpermitted vendors on the sidewalks create accessibility issues for her customers–and she suspects the market’s $25 fee and strict no-drug policy are dissuading unpermitted vendors from signing up.

“The people on the streets are welcome to come to our flea market,” Ramos said. “A lot of people that sell in the streets just don&#8217;t want to pay and they just don&#8217;t want to follow the rules.”

“The people on the streets are welcome to come to our flea market,” Ramos said. “A lot of people that sell in the streets just don't want to pay and they just don't want to follow the rules.”

“The people on the streets are welcome to come to our flea market,” Ramos said. “A lot of people that sell in the streets just don&#8217;t want to pay and they just don&#8217;t want to follow the rules.”

Miguel Guerrero, who lives in Daly City, displays watches for sale that he has restored on Mission Street in San Francisco on Dec. 4, 2021. | James Wyatt

<figure class="wp-block-image size-large"><img src="https://content.sfstandard.com/wp-content/uploads/2021/12/StreetVendor_JamesWyatt_SFS_3-1-2500x1663.jpg" alt="" class="wp-image-20570"/><figcaption>Miguel Guerrero displays watches for sale that he has restored on Mission Street in San Francisco on Dec. 4, 2021. | James Wyatt</figcaption></figure>

Lerma said that Ronen’s office will be actively working with Breed and Safai to help refine the permitting process with the interest of well-intentioned vendors in mind.&nbsp;

Lerma said that Ronen’s office will be actively working with Breed and Safai to help refine the permitting process with the interest of well-intentioned vendors in mind.&nbsp;

“A lot of [street vendors] are monolingual, they’re immigrants that don&#8217;t really have a lot of knowledge of how to navigate city government,” Lerma said. “We&#8217;re not criminalizing folks that are legitimately just trying to make a living. But that part is going to be problematic given the nature of what people are selling … There’s a lot of stuff people don&#8217;t necessarily have a receipt for.”

“A lot of [street vendors] are monolingual, they’re immigrants that don't really have a lot of knowledge of how to navigate city government,” Lerma said. “We're not criminalizing folks that are legitimately just trying to make a living. But that part is going to be problematic given the nature of what people are selling … There’s a lot of stuff people don't necessarily have a receipt for.”

“A lot of [street vendors] are monolingual, they’re immigrants that don&#8217;t really have a lot of knowledge of how to navigate city government,” Lerma said. “We&#8217;re not criminalizing folks that are legitimately just trying to make a living. But that part is going to be problematic given the nature of what people are selling … There’s a lot of stuff people don&#8217;t necessarily have a receipt for.”

Miguel Guerrero, an unpermitted watch seller on Mission Street, said that if the city was to boot him from his spot on 14th street he would ultimately find somewhere else to sell his goods. Guerrero said he buys watches from swap meets or pawn shops and refurbishes them, and he hopes to one day open his own brick and mortar store.&nbsp;

Miguel Guerrero, an unpermitted watch seller on Mission Street, said that if the city was to boot him from his spot on 14th street he would ultimately find somewhere else to sell his goods. Guerrero said he buys watches from swap meets or pawn shops and refurbishes them, and he hopes to one day open his own brick and mortar store.&nbsp;

Guerrero began selling watches on the weekends over two years ago to supplement his income as a full-time truck driver. He said his watches make him about $130 a day, but any additional overhead —&nbsp;such as permitting fees and taxes — would make it difficult to make ends meet.&nbsp;

Guerrero began selling watches on the weekends over two years ago to supplement his income as a full-time truck driver. He said his watches make him about $130 a day, but any additional overhead —&nbsp;such as permitting fees and taxes — would make it difficult to make ends meet.&nbsp;

“The cost of living in San Francisco is hard,” Guerrero said. “I&#8217;m just glad I&#8217;m able to make it, but I need a little extra and that&#8217;s why I do this on the side.”&nbsp;

“The cost of living in San Francisco is hard,” Guerrero said. “I'm just glad I'm able to make it, but I need a little extra and that's why I do this on the side.”&nbsp;

“The cost of living in San Francisco is hard,” Guerrero said. “I&#8217;m just glad I&#8217;m able to make it, but I need a little extra and that&#8217;s why I do this on the side.”&nbsp;

Breed’s Tenderloin crackdown has Mission Street vendors fretting about an influx

Sarah Wright

City officials are gearing up for a major battle over legislation that would allow multiple housing units on lots across the city—a hugely consequential change in local development rules that may well end up before voters next year.

City officials are gearing up for a major battle over legislation that would allow multiple housing units on lots across the city—a hugely consequential change in local development rules that may well end up before voters next year.

Faced with sky-high rents and a state mandate to build more units, Supervisor Rafael Mandelman kicked off the latest effort to stoke housing construction with a proposed zoning change that would allow fourplexes on all lots currently limited to single-family housing. Two fellow supervisors have weighed in with their own proposals to allow fourplexes, but only with extensive affordable housing requirements.&nbsp;

Faced with sky-high rents and a state mandate to build more units, Supervisor Rafael Mandelman kicked off the latest effort to stoke housing construction with a proposed zoning change that would allow fourplexes on all lots currently limited to single-family housing. Two fellow supervisors have weighed in with their own proposals to allow fourplexes, but only with extensive affordable housing requirements.&nbsp;

Now, with a green light in the form of unanimous approval from the city’s Planning Commission, Mandleman’s proposal is farthest along and will likely be taken up by the full Board of Supervisors in late January or early February. But if the proposals fail—or if the board approves a measure with too many restrictions—one pro-housing group says it plans to bring the question in front of voters in the form of a ballot measure.&nbsp;

Now, with a green light in the form of unanimous approval from the city’s Planning Commission, Mandleman’s proposal is farthest along and will likely be taken up by the full Board of Supervisors in late January or early February. But if the proposals fail—or if the board approves a measure with too many restrictions—one pro-housing group says it plans to bring the question in front of voters in the form of a ballot measure.&nbsp;

Corey Smith, deputy director of the Housing Action Coalition, said the organization is working now to write a ballot measure that would upzone all single-family housing to allow fourplexes and enshrine tenant protections. His group would encourage Mayor London Breed to use her power to put the question on the ballot sometime next year.&nbsp;

Corey Smith, deputy director of the Housing Action Coalition, said the organization is working now to write a ballot measure that would upzone all single-family housing to allow fourplexes and enshrine tenant protections. His group would encourage Mayor London Breed to use her power to put the question on the ballot sometime next year.&nbsp;

“If the Board of Supervisors doesn&#8217;t pass an economically feasible [ordinance] &#8230; we are going to be aggressive, and we will go to the ballot collecting signatures,” Smith said.&nbsp;

“If the Board of Supervisors doesn't pass an economically feasible [ordinance] ... we are going to be aggressive, and we will go to the ballot collecting signatures,” Smith said.&nbsp;

“If the Board of Supervisors doesn&#8217;t pass an economically feasible [ordinance] &#8230; we are going to be aggressive, and we will go to the ballot collecting signatures,” Smith said.&nbsp;

The Housing Action Coalition, a local advocacy group, supports Mandelman’s proposal, which, unlike the other two, does not include provisions guaranteeing that new units would have to be affordable. Mandelman introduced the two ordinances that would enact his proposal earlier this year, and <a href="https://sfstandard.com/citywide-fourplex-ordinance-clears-planning-commission/">they were passed unanimously by the Planning Commission in mid-November</a>.&nbsp;

The Housing Action Coalition, a local advocacy group, supports Mandelman’s proposal, which, unlike the other two, does not include provisions guaranteeing that new units would have to be affordable. Mandelman introduced the two ordinances that would enact his proposal earlier this year, and <a href="https://sfstandard.com/citywide-fourplex-ordinance-clears-planning-commission/">they were passed unanimously by the Planning Commission in mid-November</a>.&nbsp;

A provision in Mandelman’s proposal added by the city’s planning department would also allow up to six units on all residential corner lots. Paving the way for these ordinances are two new state laws, Senate Bills 9 and 10, which will go into effect in January of 2022. SB 10 allows proposals like Mandelman’s—or any that allow up to 10 units per residential lot—to pass without waiting for normal environmental review processes, while SB 9 allows all residential lots to be split, effectively doubling the housing potential on any given lot.&nbsp;

A provision in Mandelman’s proposal added by the city’s planning department would also allow up to six units on all residential corner lots. Paving the way for these ordinances are two new state laws, Senate Bills 9 and 10, which will go into effect in January of 2022. SB 10 allows proposals like Mandelman’s—or any that allow up to 10 units per residential lot—to pass without waiting for normal environmental review processes, while SB 9 allows all residential lots to be split, effectively doubling the housing potential on any given lot.&nbsp;

Paired with Mandelman’s ordinances, the laws would open up areas in the city like the Sunset District that were previously closed off to medium- or high-density housing. The ordinances will be reviewed by the board’s land use committee before going in front of the full board.

Paired with Mandelman’s ordinances, the laws would open up areas in the city like the Sunset District that were previously closed off to medium- or high-density housing. The ordinances will be reviewed by the board’s land use committee before going in front of the full board.

&#8220;It feels like we are approaching the home stretch,” Mandelman said.&nbsp;

"It feels like we are approaching the home stretch,” Mandelman said.&nbsp;

&#8220;It feels like we are approaching the home stretch,” Mandelman said.&nbsp;

But his colleagues on the board have other ideas about how to make housing more accessible for San Franciscans.&nbsp;&nbsp;

But his colleagues on the board have other ideas about how to make housing more accessible for San Franciscans.&nbsp;&nbsp;

Earlier this year, Supervisor Gordon Mar introduced his own proposal, which would allow fourplexes citywide so long as the newly built units provide a minimum of two bedrooms and are 100% affordable. His proposal would also institute rental rate caps and set limits on rent increases. Critics, including Smith, say those requirements will make it uneconomical for anyone to build additional units.&nbsp;

Earlier this year, Supervisor Gordon Mar introduced his own proposal, which would allow fourplexes citywide so long as the newly built units provide a minimum of two bedrooms and are 100% affordable. His proposal would also institute rental rate caps and set limits on rent increases. Critics, including Smith, say those requirements will make it uneconomical for anyone to build additional units.&nbsp;

Supervisor Ahsha Safaí, meanwhile, introduced a proposal earlier the month that targets what he calls the “missing middle,” offering developers and owners streamlined project approval if they agree to build additional units on their lots and guarantee that half of them are affordable to anyone making 110% of the city’s median income as a renter, or 140% as an owner.&nbsp;

Supervisor Ahsha Safaí, meanwhile, introduced a proposal earlier the month that targets what he calls the “missing middle,” offering developers and owners streamlined project approval if they agree to build additional units on their lots and guarantee that half of them are affordable to anyone making 110% of the city’s median income as a renter, or 140% as an owner.&nbsp;

Mandelman said he will consider integrating rent control into his ordinances, but said it’s too much to ask small building owners to absorb the costs of the below-market-rate unit requirements included in Mar’s and Safaí’s proposals.

Mandelman said he will consider integrating rent control into his ordinances, but said it’s too much to ask small building owners to absorb the costs of the below-market-rate unit requirements included in Mar’s and Safaí’s proposals.

Dan Sider, chief of staff at the San Francisco Planning Department, said his staff is just starting to look at Mar’s and Safaí’s proposals and has yet to release any recommendations. But he said the planning department agrees that tacking on affordability restrictions to deeds would deter building, thus undermining the goal of creating more housing.

Dan Sider, chief of staff at the San Francisco Planning Department, said his staff is just starting to look at Mar’s and Safaí’s proposals and has yet to release any recommendations. But he said the planning department agrees that tacking on affordability restrictions to deeds would deter building, thus undermining the goal of creating more housing.

“If we ask too much on affordability and we get no units, that&#8217;s not a gain,” Sider said.&nbsp;

“If we ask too much on affordability and we get no units, that's not a gain,” Sider said.&nbsp;

“If we ask too much on affordability and we get no units, that&#8217;s not a gain,” Sider said.&nbsp;

Smith said deed-restricted, below-market-rate unit requirements like those in Mar’s and Safaí’s proposals are a “nonstarter.” He’s also worried about the capacity of the Mayor’s Office of Housing and Community Development to manage an influx of new deed-restricted housing units.&nbsp;

Smith said deed-restricted, below-market-rate unit requirements like those in Mar’s and Safaí’s proposals are a “nonstarter.” He’s also worried about the capacity of the Mayor’s Office of Housing and Community Development to manage an influx of new deed-restricted housing units.&nbsp;

“Every single person we&#8217;ve talked to that builds housing says putting deed-restrictions on housing &#8230; will be an economic disincentive to build housing,” Smith said.&nbsp;&nbsp;

“Every single person we've talked to that builds housing says putting deed-restrictions on housing ... will be an economic disincentive to build housing,” Smith said.&nbsp;&nbsp;

“Every single person we&#8217;ve talked to that builds housing says putting deed-restrictions on housing &#8230; will be an economic disincentive to build housing,” Smith said.&nbsp;&nbsp;

In an email to the San Francisco Standard, Supervisor Matt Haney voiced his support for Mandelman’s legislation, of which he is a co-sponsor. No other supervisors responded to requests for comment for this story.&nbsp;

In an email to the San Francisco Standard, Supervisor Matt Haney voiced his support for Mandelman’s legislation, of which he is a co-sponsor. No other supervisors responded to requests for comment for this story.&nbsp;

In any case, Smith said his group isn’t waiting around. HAC has been collaborating with other pro-housing advocates on a ballot measure with language similar to Mandelman’s proposal should the ordinances fail at the Board of Supervisors, which he calls the most anti-housing board in the city’s history. 

In any case, Smith said his group isn’t waiting around. HAC has been collaborating with other pro-housing advocates on a ballot measure with language similar to Mandelman’s proposal should the ordinances fail at the Board of Supervisors, which he calls the most anti-housing board in the city’s history.

“Fourplexes are the next checkpoint in terms of increasing density,” Smith said. &#8220;We see this as a starting point.”

“Fourplexes are the next checkpoint in terms of increasing density,” Smith said. "We see this as a starting point.”

“Fourplexes are the next checkpoint in terms of increasing density,” Smith said. &#8220;We see this as a starting point.”

This version clarifies that the ballot measure is being written by advocates, including those at the Housing Action Coalition.

This version clarifies that the ballot measure is being written by advocates, including those at the Housing Action Coalition.

Fight for the fourplex: Supes weigh building on single-family lots, but voters may decide

Annie Gaus

With a moratorium on commercial evictions set to expire, San Francisco plans to establish a relief fund intended to help stave off a wave of closures and settle hundreds of millions in outstanding rent debt.&nbsp;

With a moratorium on commercial evictions set to expire, San Francisco plans to establish a relief fund intended to help stave off a wave of closures and settle hundreds of millions in outstanding rent debt.&nbsp;

Combined with a forbearance period, the city hopes that the fund will save thousands of small businesses and jobs, said Supervisor Ahsha Safai at a hearing of the Board of Supervisors Budget and Finance committee on Wednesday. The three-person committee voted unanimously to advance the plan to the full board.&nbsp;

Combined with a forbearance period, the city hopes that the fund will save thousands of small businesses and jobs, said Supervisor Ahsha Safai at a hearing of the Board of Supervisors Budget and Finance committee on Wednesday. The three-person committee voted unanimously to advance the plan to the full board.&nbsp;

“This is an imminent crisis&#8230;with the scale of back rent exceeding the hundreds of millions, this is something we’re very concerned about,” said Safai. “It affects every single district and every single merchant corridor.”

“This is an imminent crisis...with the scale of back rent exceeding the hundreds of millions, this is something we’re very concerned about,” said Safai. “It affects every single district and every single merchant corridor.”

“This is an imminent crisis&#8230;with the scale of back rent exceeding the hundreds of millions, this is something we’re very concerned about,” said Safai. “It affects every single district and every single merchant corridor.”

If approved and signed by Mayor London Breed, a relief fund would be created to offer grants for commercial landlords. Safai proposed that the fund include $25 million—a fraction of the total back rent owed, according to estimates—though it&#8217;s not yet clear where the funding would come from.

If approved and signed by Mayor London Breed, a relief fund would be created to offer grants for commercial landlords. Safai proposed that the fund include $25 million—a fraction of the total back rent owed, according to estimates—though it's not yet clear where the funding would come from.

If approved and signed by Mayor London Breed, a relief fund would be created to offer grants for commercial landlords. Safai proposed that the fund include $25 million—a fraction of the total back rent owed, according to estimates—though it&#8217;s not yet clear where the funding would come from.

Those landlords would have to agree to apply the full grant to the balance of back rent, and to renegotiate the lease with their tenant and cut a deal for the remaining balance. The Office of Economic and Workforce Development (OEWD) would administer the grants, which will be capped at $35,000 each.&nbsp;

Those landlords would have to agree to apply the full grant to the balance of back rent, and to renegotiate the lease with their tenant and cut a deal for the remaining balance. The Office of Economic and Workforce Development (OEWD) would administer the grants, which will be capped at $35,000 each.&nbsp;

Many business owners said they’d accrued tens of thousands in back rent during pandemic-related shutdowns, or had landlords who were unwilling to negotiate rent reductions as their revenues withered.&nbsp;

Many business owners said they’d accrued tens of thousands in back rent during pandemic-related shutdowns, or had landlords who were unwilling to negotiate rent reductions as their revenues withered.&nbsp;

One speaker at Wednesday’s meeting, a stylist at House of Mahogany salon in the Ingleside district, said that the salon’s cooperative business model made it ineligible for federal Paycheck Protection Program (PPP) loans because it doesn’t pay out salaries.&nbsp;

One speaker at Wednesday’s meeting, a stylist at House of Mahogany salon in the Ingleside district, said that the salon’s cooperative business model made it ineligible for federal Paycheck Protection Program (PPP) loans because it doesn’t pay out salaries.&nbsp;

“I think we all know the federal financial relief, through the Paycheck Protection Program and Restaurant Revitalization Fund loans, fell far short of our need,” added Laurie Thomas, executive director of the Golden Gate Restaurant Association. The Restaurant Revitalization Fund, approved by Congress in March, ran out of money in June and with a backlog of more than 177,000 applications.&nbsp;

“I think we all know the federal financial relief, through the Paycheck Protection Program and Restaurant Revitalization Fund loans, fell far short of our need,” added Laurie Thomas, executive director of the Golden Gate Restaurant Association. The Restaurant Revitalization Fund, approved by Congress in March, ran out of money in June and with a backlog of more than 177,000 applications.&nbsp;

Others described an impossible situation: Crushing rent debts, coupled with a dramatic and continuing drop in revenue.

Others described an impossible situation: Crushing rent debts, coupled with a dramatic and continuing drop in revenue.

“Our rent is one of the highest in the country; we owe hundreds of thousands in back rent,” said Sterling Quan of Lee’s Deli, a small chain of eateries in the Financial District. “We have reopened and are doing not even 10% of pre-COVID sales. It’s impossible to make up 18 months of lost sales⁠—no one is coming in to eat twice a day.”&nbsp;

“Our rent is one of the highest in the country; we owe hundreds of thousands in back rent,” said Sterling Quan of Lee’s Deli, a small chain of eateries in the Financial District. “We have reopened and are doing not even 10% of pre-COVID sales. It’s impossible to make up 18 months of lost sales⁠—no one is coming in to eat twice a day.”&nbsp;

Commercial tenants, along with residential tenants, face a cliff at the end of this month.&nbsp;

Commercial tenants, along with residential tenants, face a cliff at the end of this month.&nbsp;

California’s eviction moratorium expires on Sept. 30, and while some<a href="https://sfstandard.com/policymakers-advocates-urge-tenants-to-seek-relief-ahead-of-sept-30-deadline/"> protections will stay in place</a>—renters cannot be evicted if they’ve paid at least 25% of back rent, for example—some policymakers are concerned that the looming deadline could bring a wave of evictions, both of individuals and businesses. San Francisco small businesses employed about 364,000 people prior to the pandemic according to OEWD.&nbsp;

California’s eviction moratorium expires on Sept. 30, and while some<a href="https://sfstandard.com/policymakers-advocates-urge-tenants-to-seek-relief-ahead-of-sept-30-deadline/"> protections will stay in place</a>—renters cannot be evicted if they’ve paid at least 25% of back rent, for example—some policymakers are concerned that the looming deadline could bring a wave of evictions, both of individuals and businesses. San Francisco small businesses employed about 364,000 people prior to the pandemic according to OEWD.&nbsp;

The eviction moratorium enacted at the federal level covered only residences, leaving states and local governments to write their own rules for commercial evictions. But further extensions to California&#8217;s residential and commercial eviction moratoriums appear “unlikely,” said Safai.&nbsp;

The eviction moratorium enacted at the federal level covered only residences, leaving states and local governments to write their own rules for commercial evictions. But further extensions to California's residential and commercial eviction moratoriums appear “unlikely,” said Safai.&nbsp;

The eviction moratorium enacted at the federal level covered only residences, leaving states and local governments to write their own rules for commercial evictions. But further extensions to California&#8217;s residential and commercial eviction moratoriums appear “unlikely,” said Safai.&nbsp;

Earlier this week, the Board of Supervisors voted to enact a six-month forbearance period for businesses with between 50 and 99 employees, an expansion of existing provisions for smaller businesses.&nbsp;

Earlier this week, the Board of Supervisors voted to enact a six-month forbearance period for businesses with between 50 and 99 employees, an expansion of existing provisions for smaller businesses.&nbsp;

In March, the city’s Budget &amp; Legislative analyst estimated that San Francisco businesses had accrued as much as $400 million in unpaid rent between March and December 2020. Restaurants and bars were particularly hard hit, with retail tenants accounting for as much as 98% of the total unpaid rent.&nbsp;

In March, the city’s Budget &amp; Legislative analyst estimated that San Francisco businesses had accrued as much as $400 million in unpaid rent between March and December 2020. Restaurants and bars were particularly hard hit, with retail tenants accounting for as much as 98% of the total unpaid rent.&nbsp;

‘Imminent crisis’: SF moves to create $25M fund to cover small businesses’ back rent

Sophie Bearman

A Bay Area mother stood at the corner of Turk and Hyde streets last week to protest the open-air drug market in the Tenderloin and save her son’s life. Jacqui Berlinn, whose 31-year-old son Corey is addicted to opioids and living on the streets of San Francisco, is afraid that any day could be her child’s last unless something is done to stop the rampant sale of drugs—particularly fentanyl—in the area.

A Bay Area mother stood at the corner of Turk and Hyde streets last week to protest the open-air drug market in the Tenderloin and save her son’s life. Jacqui Berlinn, whose 31-year-old son Corey is addicted to opioids and living on the streets of San Francisco, is afraid that any day could be her child’s last unless something is done to stop the rampant sale of drugs—particularly fentanyl—in the area.

San Francisco saw 713 deaths from accidental overdoses in 2020, with 2021 on track to be even more deadly. More than 500 of last year’s deaths—or 72%—were attributed to fentanyl, a highly potent, synthetic opiate that can kill a person in minutes.

San Francisco saw 713 deaths from accidental overdoses in 2020, with 2021 on track to be even more deadly. More than 500 of last year’s deaths—or 72%—were attributed to fentanyl, a highly potent, synthetic opiate that can kill a person in minutes.

“I can tell you that my son did heroin for years. He just started using fentanyl this past year and he has deteriorated faster than he ever did,” said Berlinn, who wants to see an end to San Francisco’s tolerance of <a href="https://www.publiccommentsf.com/post/as-fentanyl-deaths-climb-in-san-francisco-court-orders-frequently-go-ignored">open-air drug dealing</a>.

“I can tell you that my son did heroin for years. He just started using fentanyl this past year and he has deteriorated faster than he ever did,” said Berlinn, who wants to see an end to San Francisco’s tolerance of <a href="https://www.publiccommentsf.com/post/as-fentanyl-deaths-climb-in-san-francisco-court-orders-frequently-go-ignored">open-air drug dealing</a>.

She says Corey, who loves music, football and movies, comes to San Francisco “because it is the easiest place for him to access what he needs and wants in order to continue his drug addiction.”

She says Corey, who loves music, football and movies, comes to San Francisco “because it is the easiest place for him to access what he needs and wants in order to continue his drug addiction.”

“I don’t know what else to do other than to call on the experts and the politicians, and just society and the community, to help make changes and maybe save my son’s life and the lives of others in the same situation,” she said.

“I don’t know what else to do other than to call on the experts and the politicians, and just society and the community, to help make changes and maybe save my son’s life and the lives of others in the same situation,” she said.

<figure class="wp-block-image size-large"><img src="https://content.sfstandard.com/wp-content/uploads/2021/06/5.jpg" alt="" class="wp-image-4264"/><figcaption>Jacqui Berlinn wipes tears from her eyes during the May 26 rally in the Tenderloin. | Photo by In Jeong Kim</figcaption></figure>

Berlinn, with the help of author and activist Michael Shellenberger, created an organization called <a href="https://www.stopfentanyldeaths.org/">Stop Fentanyl Deaths</a> to draw attention to the drug dealing situation in California. They have plans to protest the open-air drug scene in Venice, Los Angeles on June 2.

Berlinn, with the help of author and activist Michael Shellenberger, created an organization called <a href="https://www.stopfentanyldeaths.org/">Stop Fentanyl Deaths</a> to draw attention to the drug dealing situation in California. They have plans to protest the open-air drug scene in Venice, Los Angeles on June 2.

Last week’s rally drew families who have lost children or siblings to drug addiction as well as politicians and other community members. Thomas Wolf, a <a href="https://sfstandard.com/recovering-heroin-addict-san-francisco-failing-drug-users/">recovering heroin addict</a> who spent nine months homeless on the streets of San Francisco in 2018, spoke at the Tenderloin event.&nbsp;

Last week’s rally drew families who have lost children or siblings to drug addiction as well as politicians and other community members. Thomas Wolf, a <a href="https://sfstandard.com/recovering-heroin-addict-san-francisco-failing-drug-users/">recovering heroin addict</a> who spent nine months homeless on the streets of San Francisco in 2018, spoke at the Tenderloin event.&nbsp;

“Everybody here, regardless of your political affiliation, knows that the problem is out of control in this city,” he said. “Unless we do something as a city to stand up and ask for some measure of accountability, combined with services, the problem’s only going to get worse.”

“Everybody here, regardless of your political affiliation, knows that the problem is out of control in this city,” he said. “Unless we do something as a city to stand up and ask for some measure of accountability, combined with services, the problem’s only going to get worse.”

Supervisors Matt Haney and Ahsha Safai also spoke at the rally. “We agree that fentanyl is a death sentence and there’s nothing more urgent than stopping this epidemic and crisis in San Francisco right now. We all have to do more, including me,” said Haney.

Supervisors Matt Haney and Ahsha Safai also spoke at the rally. “We agree that fentanyl is a death sentence and there’s nothing more urgent than stopping this epidemic and crisis in San Francisco right now. We all have to do more, including me,” said Haney.

Berlinn advocates for mandatory drug treatment as an alternative to jail for severely addicted people like her son who break the law. Currently, Corey would need to make the decision to enter treatment himself, which Berlinn says he’s unlikely to ever do because his addiction is so all-consuming.

Berlinn advocates for mandatory drug treatment as an alternative to jail for severely addicted people like her son who break the law. Currently, Corey would need to make the decision to enter treatment himself, which Berlinn says he’s unlikely to ever do because his addiction is so all-consuming.

“Jacqui said the only thing that will save her son’s life is if he gets locked up and is compelled into treatment. Do we have programs like that in San Francisco?” Safai asked the crowd.&nbsp;

“Jacqui said the only thing that will save her son’s life is if he gets locked up and is compelled into treatment. Do we have programs like that in San Francisco?” Safai asked the crowd.&nbsp;

<figure class="wp-block-image size-large"><img src="https://content.sfstandard.com/wp-content/uploads/2021/06/4.jpg" alt="" class="wp-image-4257"/><figcaption>Supervisor Ahsha Safai (District 11) speaks at the May 26 rally in the Tenderloin. | Photo by In Jeong Kim</figcaption></figure>

Berlinn also wants local governments to break up open-air drug scenes like the one found on Turk and Hyde streets, and believes that San Francisco relies too heavily <a href="https://sfstandard.com/board-of-supervisors-drug-treatment-hearing-sparks-debate-on-harm-reduction-abstinence/">on harm reduction</a> while not placing enough emphasis on recovery, thereby making it easy to remain addicted to hard drugs.

Berlinn also wants local governments to break up open-air drug scenes like the one found on Turk and Hyde streets, and believes that San Francisco relies too heavily <a href="https://sfstandard.com/board-of-supervisors-drug-treatment-hearing-sparks-debate-on-harm-reduction-abstinence/">on harm reduction</a> while not placing enough emphasis on recovery, thereby making it easy to remain addicted to hard drugs.

Berlinn says she hears from her son sporadically, and is able to see him in person a couple of times a year, though only when he contacts her from a borrowed phone. She’s given him dozens of cellphones which she says end up lost or stolen, as well as a medical bracelet with her phone number on it which he also lost. “So I live with that fear that he could end up injured in the hospital or even dead and nobody will contact me,” she says.&nbsp;

Berlinn says she hears from her son sporadically, and is able to see him in person a couple of times a year, though only when he contacts her from a borrowed phone. She’s given him dozens of cellphones which she says end up lost or stolen, as well as a medical bracelet with her phone number on it which he also lost. “So I live with that fear that he could end up injured in the hospital or even dead and nobody will contact me,” she says.&nbsp;

“My greatest fear is that my son is going to overdose on fentanyl,” says Berlinn. “I really feel like if he doesn&#8217;t get help, he&#8217;s going to die like so many of his friends have on the streets.”

“My greatest fear is that my son is going to overdose on fentanyl,” says Berlinn. “I really feel like if he doesn't get help, he's going to die like so many of his friends have on the streets.”

“My greatest fear is that my son is going to overdose on fentanyl,” says Berlinn. “I really feel like if he doesn&#8217;t get help, he&#8217;s going to die like so many of his friends have on the streets.”

Are you or someone you know in need of drug addiction counseling or treatment? The San Francisco Department of Public Health can connect those seeking help to a “warm line” for non-emergency peer counseling at 1-855-845-7415. More information about substance abuse residential treatment and bed availability can be found at findtreatmentsf.org.

Are you or someone you know in need of drug addiction counseling or treatment? The San Francisco Department of Public Health can connect those seeking help to a “warm line” for non-emergency peer counseling at 1-855-845-7415. More information about substance abuse residential treatment and bed availability can be found at findtreatmentsf.org.

Mother of fentanyl addict says San Francisco needs to do more to save her son

Kevin Truong

Imagine a slow-moving train coming towards you. The lights are shining, the horn is blaring, but it’s just far enough in the distance that the risk doesn’t seem real just yet.&nbsp;

Imagine a slow-moving train coming towards you. The lights are shining, the horn is blaring, but it’s just far enough in the distance that the risk doesn’t seem real just yet.&nbsp;

That’s a fitting-enough analogy for the state of San Francisco&#8217;s commercial real estate market, which is tilting towards a collapse in property values, leaving the city, its budget and its ability to provide services tied to the tracks.&nbsp;

That’s a fitting-enough analogy for the state of San Francisco's commercial real estate market, which is tilting towards a collapse in property values, leaving the city, its budget and its ability to provide services tied to the tracks.&nbsp;

That’s a fitting-enough analogy for the state of San Francisco&#8217;s commercial real estate market, which is tilting towards a collapse in property values, leaving the city, its budget and its ability to provide services tied to the tracks.&nbsp;

The root of this—of course—is the pandemic and the way that it has completely transformed work patterns in the city, hollowing out a downtown core that once accounted for most of San Francisco’s GDP, 70% of its sales tax revenue and 40% of the city’s jobs. And there’s an uneasy feeling among a coalition of business groups that city leaders are sleepwalking into an economic calamity with far-reaching consequences.

The root of this—of course—is the pandemic and the way that it has completely transformed work patterns in the city, hollowing out a downtown core that once accounted for most of San Francisco’s GDP, 70% of its sales tax revenue and 40% of the city’s jobs. And there’s an uneasy feeling among a coalition of business groups that city leaders are sleepwalking into an economic calamity with far-reaching consequences.

Signal lights of the city’s tenuous fiscal future are starting to flash. Major tech employers like Yelp and Airbnb have <a href="https://sfstandard.com/business/san-francisco-tax-code-encourages-work-from-home/">fled</a> or gone fully remote, leading to mass office vacancies. A swath <a href="https://www.bizjournals.com/sanfrancisco/news/2022/08/26/san-francisco-assessment-appeals-board.html">of commercial landlords</a> are seeking massive reductions in their assessed property values—and associated tax bills. And a recent report from the Urban Displacement Project <a href="https://www.downtownrecovery.com/dashboards/recovery_ranking.html">ranked the city’s downtown recovery</a> as dead last among more than 60 cities across North America.&nbsp;

Signal lights of the city’s tenuous fiscal future are starting to flash. Major tech employers like Yelp and Airbnb have <a href="https://sfstandard.com/business/san-francisco-tax-code-encourages-work-from-home/">fled</a> or gone fully remote, leading to mass office vacancies. A swath <a href="https://www.bizjournals.com/sanfrancisco/news/2022/08/26/san-francisco-assessment-appeals-board.html">of commercial landlords</a> are seeking massive reductions in their assessed property values—and associated tax bills. And a recent report from the Urban Displacement Project <a href="https://www.downtownrecovery.com/dashboards/recovery_ranking.html">ranked the city’s downtown recovery</a> as dead last among more than 60 cities across North America.&nbsp;

‘Uncharted Territory’

<h2 class="wp-block-heading">‘Uncharted Territory’</h2>

core/heading

<h2 class="wp-block-heading">‘Uncharted Territory’</h2>

It’s no secret that office vacancies are high in SF’s downtown. But even as the pandemic wanes, an already-troubling outlook for downtown could only get worse.&nbsp;

It’s no secret that office vacancies are high in SF’s downtown. But even as the pandemic wanes, an already-troubling outlook for downtown could only get worse.&nbsp;

That’s because a slew of office leases signed at the height of the city’s economic boom are poised to expire over the next few years, further inflating vacancies and diminishing what the office towers that draw the city’s skyline are worth. There’s currently more than 25 million square feet of commercial space available for lease or sublease in the city, the equivalent of about 35 Transamerica Pyramids sitting empty.&nbsp;

That’s because a slew of office leases signed at the height of the city’s economic boom are poised to expire over the next few years, further inflating vacancies and diminishing what the office towers that draw the city’s skyline are worth. There’s currently more than 25 million square feet of commercial space available for lease or sublease in the city, the equivalent of about 35 Transamerica Pyramids sitting empty.&nbsp;

Empty desks in the SD Mayer Accounting firm office in San Francisco, Calif., on Friday, July 29, 2022. | Juliana Yamada/The Standard

<figure class="wp-block-image size-full"><img src="https://content.sfstandard.com/wp-content/uploads/2022/09/CommercialPropertyTax-INLINE2.jpg" alt="" class="wp-image-73298"/><figcaption class="wp-element-caption">Empty desks in the SD Mayer Accounting firm office on July 29, 2022. | Juliana Yamada/The Standard</figcaption></figure>

“We’re way above anything that was happening in the Great Recession and dot-com era days,” said Jay Shaffer, a co-founder and principal at Colton Commercial &amp; Partners. “We have this shadow market of sublease availability in seemingly uncharted territories. And sublease inventory is still rising.”&nbsp;

“We’re way above anything that was happening in the Great Recession and dot-com era days,” said Jay Shaffer, a co-founder and principal at Colton Commercial &amp; Partners. “We have this shadow market of sublease availability in seemingly uncharted territories. And sublease inventory is still rising.”&nbsp;

Citing data from real estate firm JLL, SF’s chief economist Ted Egan <a href="https://sfcontroller.org/sites/default/files/Documents/Economic%20Analysis/economic_context_for_development.pdf">tagged future vacancies</a>, in a worst case scenario, as high as 53% in the Jackson Square area and 43% in the mid-Market area in 2024 as the clock runs out on office leases.

Citing data from real estate firm JLL, SF’s chief economist Ted Egan <a href="https://sfcontroller.org/sites/default/files/Documents/Economic%20Analysis/economic_context_for_development.pdf">tagged future vacancies</a>, in a worst case scenario, as high as 53% in the Jackson Square area and 43% in the mid-Market area in 2024 as the clock runs out on office leases.

The current vacancy epidemic cuts across buildings of all sizes and price ranges in San Francisco’s downtown core, from the struggling mid-Market area to the sparkling office towers of the East Cut.&nbsp;

The current vacancy epidemic cuts across buildings of all sizes and price ranges in San Francisco’s downtown core, from the struggling mid-Market area to the sparkling office towers of the East Cut.&nbsp;

core/html

For example, 415 Natoma, a 653,900 sq foot office tower owned by Brookfield Properties that was the sole ground-up office project to deliver in San Francisco in 2021, currently has just one announced lease: 20,000 square feet taken by “remote-first” startup Thumbtack. Nearby office towers 123 Mission (Juul Labs, Inc.), 50 Fremont (Salesforce.com, Inc.) and 199 Fremont (CalSTRS) were each at least 30% vacant, according to CoStar data, along with a constellation of other big office buildings.&nbsp;&nbsp;

For example, 415 Natoma, a 653,900 sq foot office tower owned by Brookfield Properties that was the sole ground-up office project to deliver in San Francisco in 2021, currently has just one announced lease: 20,000 square feet taken by “remote-first” startup Thumbtack. Nearby office towers 123 Mission (Juul Labs, Inc.), 50 Fremont (Salesforce.com, Inc.) and 199 Fremont (CalSTRS) were each at least 30% vacant, according to CoStar data, along with a constellation of other big office buildings.&nbsp;&nbsp;

A few large buildings, like 550 California St. and 455 Market St, were <a href="https://www.sfchronicle.com/sf/article/real-estate-san-francisco-17414133.php">placed on the market</a> in recent months at deep discounts to what they would have fetched before the pandemic, but were eventually pulled when offers came in that were even lower than those already-discounted prices.

A few large buildings, like 550 California St. and 455 Market St, were <a href="https://www.sfchronicle.com/sf/article/real-estate-san-francisco-17414133.php">placed on the market</a> in recent months at deep discounts to what they would have fetched before the pandemic, but were eventually pulled when offers came in that were even lower than those already-discounted prices.

Search Results for: ahsha safaí

Breed’s Tenderloin crackdown has Mission Street vendors fretting about an influx

Fight for the fourplex: Supes weigh building on single-family lots, but voters may decide

‘Imminent crisis’: SF moves to create $25M fund to cover small businesses’ back rent

Mother of fentanyl addict says San Francisco needs to do more to save her son

San Francisco braces for epic commercial real estate crash