San Francisco, August 28, 2025
News Summary
San Francisco has commenced construction on an 11-story affordable housing development at 300 De Haro Street in Potrero Hill, aiming to provide 425 new apartments for low to moderate-income tenants. This project is part of a broader initiative to address the city’s housing crisis and reflects recent legislative efforts to accelerate housing production. Criticism regarding community engagement and neighborhood impact has arisen as some residents express concerns about the project.
San Francisco Starts Construction on 425-Unit Affordable Housing Development
San Francisco has taken a significant step forward in addressing its ongoing affordable housing crisis by officially breaking ground on a new 11-story project at 300 De Haro Street in the Potrero Hill neighborhood. The development is set to include 425 new apartments aimed at residents earning between 30% and 70% of the area’s median income, approximately $41,000 to $95,000 per year.
The new units will be compact, featuring studios that range from 300 to 400 square feet. To maximize the available space, the apartments will be designed with convertible furniture, including Murphy beds that can be folded up to create more room when not in use.
Significance of Senate Bill 35
This housing development is one of the first projects to be initiated under Senate Bill 35, legislation intended to speed up housing construction. The bill allows developers to bypass certain review processes in cities that do not meet state-mandated housing goals. This initiative has drawn attention as a means to increase housing production in areas like San Francisco, where demand consistently outstrips supply.
Despite the pressing need for housing, San Francisco has faced challenges in meeting its construction targets. The city issued permits for only 1,074 new housing units in 2024, marking the lowest figure since the Great Recession. The situation is reflected in the high rental prices of $3,280 in San Francisco and $2,330 in Los Angeles, which severely impacts housing affordability for many residents.
Challenges and Opportunities
The costs of construction and difficulties in financing have made it harder for developers to create new residential properties. As a result, there has been a shift toward focusing on affordable housing, with many seeing it as a viable solution to the ongoing crisis. Originally, the 300 De Haro project was intended to be mixed-income housing. However, due to changing economic factors and the availability of financing options like low-income housing tax credits, the plan shifted to fully affordable housing.
The development will also include approximately 6,000 square feet of retail space and various community amenities such as lounges, fitness areas, and a rooftop deck. These elements aim to create a sense of community within the development while addressing the needs of the residents.
Progress Amidst Challenges
Reaching the groundbreaking for the 300 De Haro project took six years, influenced by economic disruptions caused by the COVID-19 pandemic. San Francisco is tasked with constructing 82,000 new housing units by 2031 to tackle the state’s severe housing shortage. The construction of this project signals progress in that direction, being the largest affordable housing initiative in San Francisco since the pandemic began.
Community reactions to the project have been mixed, with some neighbors expressing concerns over the height and impact on the local area, along with reservations about the quick decision-making process enabled by SB 35. Nonetheless, developers assert that this project represents a broader strategy to increase the availability of affordable housing in San Francisco.
The construction of the 300 De Haro development is expected to be completed by summer 2027, marking a crucial milestone toward alleviating the city’s ongoing affordable housing challenges.
FAQ
What is the purpose of the 300 De Haro Street development?
The development aims to provide 425 affordable housing units for residents earning between 30% and 70% of the area’s median income.
How did Senate Bill 35 contribute to this project?
Senate Bill 35 allows developers to bypass certain review processes, expediting the construction of housing in areas that fail to meet state housing goals.
What amenities will the new apartments include?
The project will have community amenities like lounges, fitness areas, and a rooftop deck, along with about 6,000 square feet of retail space.
When is the expected completion date?
The 300 De Haro project is expected to be completed by summer 2027.
Why was the project changed from mixed-income to fully affordable housing?
The shift was made in response to changing economic conditions and available financing opportunities, such as low-income housing tax credits.
Key Features of the 300 De Haro Project
| Feature | Details |
|---|---|
| Total Units | 425 |
| Income Range | $41,000 – $95,000 |
| Unit Size | 300 – 400 sq. ft. Studios |
| Amenities | Lounges, fitness areas, rooftop deck |
| Retail Space | 6,000 sq. ft. |
| Projected Completion | Summer 2027 |
Deeper Dive: News & Info About This Topic
Additional Resources
- CBS News: San Francisco Develops 425 Unit Affordable Housing
- SF Chronicle: Affordable Apartments in San Francisco
- The Frisc: Supreme Court and SF Affordable Housing Funding
- NBC Bay Area: New Housing at 300 De Haro Street
- SFYIMBY: Affordable Housing at 301 Alves Lane
- Google Search: Affordable Housing San Francisco
- Wikipedia: Affordable Housing
- Encyclopedia Britannica: Housing
- Google News: San Francisco Housing News
Author: Construction CA News
CALIFORNIA STAFF WRITER The CALIFORNIA STAFF WRITER represents the experienced team at constructioncanews.com, your go-to source for actionable local news and information in California and beyond. Specializing in "news you can use," we cover essential topics like product reviews for personal and business needs, local business directories, politics, real estate trends, neighborhood insights, and state news affecting the area—with deep expertise drawn from years of dedicated reporting and strong community input, including local press releases and business updates. We deliver top reporting on high-value events such as the Rose Parade, Coachella, Comic-Con, and the California State Fair. Our coverage extends to key organizations like the California Building Industry Association and Associated General Contractors of California, plus leading businesses in technology and entertainment that power the local economy such as Apple and Alphabet. As part of the broader network, including constructionnynews.com, constructiontxnews.com, and constructionflnews.com, we provide comprehensive, credible insights into the dynamic landscape across multiple states.
