San Francisco, CA – In a significant push to address the housing crisis in California, Governor Gavin Newsom announced today the redevelopment of a dated Department of Motor Vehicles (DMV) building in San Francisco into a mixed-use, transit-friendly complex that will include 372 new homes. This initiative comes as part of the Governor’s efforts to utilize state-owned properties creatively to bolster affordable housing availability.
The project, situated at the San Francisco DMV Field Office at 1377 Fell Street, will not only host a modernized DMV office but also provide a substantial number of homes dedicated to low-income families. The site, nestled between Lower Haight, NoPa, Buena Vista, and Alamo Square neighborhoods, is a prime location close to various residential, entertainment, and visitor-serving amenities.
“We are committed to using every tool at our disposal to increase affordable housing throughout California, and converting underutilized state property is a key strategy in our approach,” stated Governor Newsom. “This project, in the heart of San Francisco, will serve as a pioneering model for similar transformations across the state.”
The original DMV building, constructed in 1960, will be completely revamped to meet current health and safety standards as well as modern DMV requirements. The reimagined site will feature a range of housing units in an area designated by the EPA as Highly Walkable and situated within half a mile of a Major Transit Stop.
Ana M. Lasso, Director of the Department of General Services (DGS), emphasized the dual benefits of the project, saying, “This groundbreaking venture not only delivers a modern DMV facility but also addresses the critical need for affordable housing in San Francisco.”
The redevelopment will be spearheaded by The Related Companies of California and the Tenderloin Neighborhood Development Corporation. HCD Director Gustavo Velasquez commented on the project’s broader implications: “This presents a unique opportunity to revitalize a government facility and provide much-needed affordable housing. We hope this project will inspire similar innovative uses of public land across California.”
The initiative is a direct result of Governor Newsom’s 2019 executive order, which directed the HCD and DGS to identify underutilized state-owned sites for affordable housing development, focusing on proximity to job centers, public transit, and amenities. Since then, the state has made considerable investments in housing and homelessness solutions, totaling over $67 billion.
Governor Newsom’s administration continues to prioritize housing with initiatives like the recent executive order to transform infill sites into vibrant housing opportunities, aligning with California’s broader housing and climate goals. This includes the establishment of the Housing Accountability Unit at HCD to ensure local compliance with state housing laws.
As California continues to grapple with a severe housing shortage, projects like the DMV site redevelopment are seen as critical to alleviating the issue while also promoting sustainable urban growth.
