After filipino historical figures. The Filipino Community appreciates the lee familys willingness to work with our community on this program, especially aiding after School Programs and jobs in the hotel facility. We would also like to thank you them with the neutral car check. Thank you. President hillis thank you. Next speaker, please. Good afternoon. Our 18,000squarefoot Community Gardens has been there for over 30 years and its very popular Public Open Space with about 300 gardening beds that are provided to local seniors at no charge. Of course, we realize this building would cast some shadow. It costs about 200,000 shadow hours a year, not quite. We approached the developer and asked for mitigation of that impact. The gardens being 30 years old needs a complete rebuilding and were its about a 500,000 project overall. Were 2 3 of the way through it. And but we still have more to go. We have had theres a precedent set that before the city agreed to donate 1 on every hour of shadow to the future improvements of the gardens. We prevailed upon them to do that and they agreed, and we think its a reasonable approach to mitigating shadow on public and Community Spaces not covered by the sunshine ordinance at all, such as our garden. As it happens, this projects shadow, about half falls on our service area, not on the act of open space in our gardens. And so we asked for 50 of that amount and the developers agreed to participate 100,000. And we believe that is satisfactory mitigation. In general, a small hotel like this is neighborhoodscaled and we think theyre a positive addition. The reason is, they bring 24hour life to the neighborhood. There is 24hour staff on the desk, at the street level. That definitely improves the neighborhoods security and safety, especially on an alley such as this is. And thats really a welcome improvement. I can also tell you that Hotel Operators take much more interest in neighborhoods than Office Building operators. There are two Office Buildings on this block. I speak from experience. They care, because of course, they have to care for the sake of their clients and guests. That, as well, is a positive piece of neighborhood building. All in all, this is a welcome project. President hillis thank you. Next speaker, please. Ms. Gomez . Good afternoon. Cynthia gomez, Research Analyst and Hotel Workers union. This project is joining a pretty long and storied history of Hotel Developers that sign agreements that will allow Hotel Workers to unionize and, therefore, guarantee them the opportunity the kind of affordable healthcare living wages that are essential. One of the distinguishing factors is that this sponsor came to us voluntarily to sign this agreement early on in the process. Another distinguishing factor, as far as San Francisco goes, it sets the record for the smallest project that has made this commitment. So it has set the bar for including all different sizes in these agreements. Were happy to be standing with our community partners, who are also supporting this project. So thank you. President hillis thank you very much. Next speaker, please. Good afternoon, commissioners. Im bernadette sea, Filipino American foundation. We run the after School Program at the filipino education center. Its a newcomers school. The project sponsor, its been unique in the relationship with us, in that they came to us early on to listen about what we do, and to understand it, and incorporate that in their project allowing a plaque to be there and coming to several events to build relationship with us and thats key in becoming a community partner. They demonstrate that, not just when they need you for this hearing. So i thank you and support them. President hillis thank you. Any additional Public Comment on this item . Seeing none, well close Public Comment commissioner moore . Commissioner moore i think this is a wonderful project. Im really excited about it. Its not just the architectural configuration, how it fits. I like the story that mr mr. Elberling as longterm steward of the area tells us about the park and open space. The one question i have is, do we have a Hotel Operator . We dont have an operator. Weve spoken with a few and are in that process. Commissioner moore this is obviously since this is a very sophisticated project and im looking towards director rayham, its one of the things where the community and every facet of the Community Supports the department and spent a tremendous amount of time and architecture has done a great job and the project could potentially, if no operator shows, because its a small hotel with an Unusual Group housing operation, we can lose it. What guarantees do we have to have this project delivered to us . The project you are approving is a hotel with i forget the number of Group Housing rooms. Commissioner moore nine. So it could not turn to residential without your approval. Commissioner moore no. It takes some skill to do Something Like this. Its not a runofthemill, okay, were going to do a hotel. This is special. And what guarantees do we have that this will be delivered in its current form . So the typical process is if a project comes in thats substantially not in keeping with what you see in front of you, it would have to come back to you. And a judgment call is made by the Zoning Administrator if the project were to change the Hotel Operator in and of themselves is not under our control and it often changes over time. The uses that you see here, configuration, number of rooms is whatted you see here with going up and down by only 5 to 10 . Thats the rule of thumb. If it went up by 5 or down by 10 , we would bring it back to you. Other than that, the project you are approving today is essentially fixed pretty much as you see it. And theres always a judgment call on the architecture and how much the architecture changes and whether or not we bring it back to you with the architecture. Our strong desire would be to see it continue on. Commissioner moore it could be dumbed down. President hillis we could include in the notion that part of the approval is the design and quality of materials being presented to us. If thats in the motion and those get dumbed down later, the Zoning Administrator has more to stand on. Commissioner moore i would make a motion to add the qualifiers and the aspects that do, indeed matter, including the subtlies and the compromises and engagements that have been discussed today. If that is indeed what were able to do, i make a motion that we approve. Second. President hillis theres a motion seconded to approve this matter with conditions as amended to include a condition that if significant design changes did occur the project would return to the Planning Commission on that condition. [roll call] so moved, commissioners. Motion passes than unanimously 60. That places us on item 14, 002825cua, 1965 Market Street. This is a conditional use authorization. Good evening, elizabeth jonckheer, Planning Department staff. Ive just passed forward a revised motion that you should have been emailed yesterday, which includes some red line changes, as well as some afterpacket materials. The project before you would remove a portion of the existing building at 1965 Market Street as well as the surface parking lot on duboce avenue. A new 8story residential building is proposed on the existing surface parking lot and vertical edition is proposed above 1965 market, which is an Historic Resource. The addition would be set back by approximately 35 feet along Market Street and 15 feet along duboce avenue. It would include belowgrade parking, 52 onebedroom, 43 twobedroom, and one studio unit. It would include 14 onsite, affordable units, pursuant to the housing program. The Housing Project includes 97 class 1 bicycle Parking Spaces and historic facility as well as a repair station and additional 12 class 2 spaces near the pedestrian entrances as approved by sfmta. The project is with two zoning districts. The project seeks conditional use authorization for a development of a large lot, over 10,000 square feet, per planning code 121. 1. And merger of a lot greater than 5,000 square feet in the rto district 121. 7. These are the entitlements before you. The existing structure at 1965 market is historic. In 1924, it was built as a mortuary and funery chapel. A third floor was added in 1933. The building is eligible for the National Register with commercial development and north neighborhood for its distinctive Spanish ColonialMission Revival architecture and the savings and loan established. The project would retain the 1965 historic facade and retain the uses for interpretive display to be permanently installed in the retail space. The project sponsor has elected to utilize the state and city bonus as implemented by planning code 206. 6. In accordance with the departments policies, theres been a 96unit project. Because the sponsor is providing 14 Units Available to lowincome households, the project is eligible for one concession they seek the concession to allow development above the 50foot height in that area within the district to permit three additional residential floors. This project seeks the accommodation to allow the density and prevent the project from impacting the Historic Resource. If they cannot do this, it would preclude 36 units on the site and reduce the units that could be constructed from 96 to 60. And also reduce the number of inclusionary units to about 8. 7, you using the 14. 5 requirement. The user has asked about height as the concession and thats attached. On november 16, the Planning Department issued a Community Plan and exemption and it was found to be consistent with the e. I. R. The department has received five letters of support and three letters opposing the project. Those have been passed forward and are included in the packets. Letters of support from district 6 Community Planners, merchant of upper market, San FranciscoHousing Coalition and upper Market Community benefit district. Those in favor are supportive due to the housing proposed, especially considering its proximity to jobs and transit. Those in opposition to the project state that the construction will cause environmental harm. Staff did receive a phone call today from some of the clinton park neighborhood and they had concerns in regard to the massing at the back of the project. And they were concerned about outreach from the project team. The Department Recommends approval with conditions for the following reasons the project complies with the applicable requirements of the planning code and is consistent with the general plan and octavia plan, especially for highdensity housing in the neighborhood. The project is an appropriate project that replaces a surface parking lot and adds 96 dwelling unit including Affordable Housing units. The project is consistent with the california state density bonus law. The project will not result in the loss of the ability of the Historic Property to convey historic appearance and design consistent with the Historic Preservation commission and preservation staff. Comments and respect the appropriate character with appropriate massing and scale. Im available for questions. I have carly from our housing Implementation Team to address any density questions you may have. President hillis thank you. Project sponsor . Welcome. Thank you, president hillis. I want to introduce the team. And heres who we are. Im prowler inc. We have jeff keller and eric grover, who are the law firm that own and occupy the building and the developers, david baker, represented by will bloomer. We also have had on our team charles chase from Architectural Resources group. Its unusual in that its local. Most of the team members live or work within easy walking distance of the project. I live a few blocks away and will does, our land use lawyer does. And jeff and eric work in the building every day. Its across from the giaenant giant safeway on duboce. Its the gateway to upper market. We understand that its a very important site. And we take the responsibility of developing this site very seriously. The area is characterized by a mix of uses and scales. You see onestory buildings, ourstory buildings, eightstory buildings. Theres the whole foods, the mint on the bottom. On the left, eightstory buildings and even in the upper righthand side, theres a 1920s building thats eight stories. Its a mix of scales. And the site is zoned for 85 feet. Its a 1924 category a historic building, formerly a funeral home. Its interesting in that it started as a funeral room and then it was turned to office and retail and now turned into housing and retail. Its a Third Generation of adaptive reuse of this building. Jeff and eric bought the building to house their law offices. They invested hundreds of thousands of dollars in upgrades to the building. We never thought about proposing to demolish the building. We like the building very much. And we brought on charles chase to help advise us and worked closely with the hpc staff and your staff to try to come up with a design that best preserves and respects the existing building, and i think weve succeeded at that. So we identified significant historic aspects of the building and were preserving those. Heres what it looks like today. The site is the existing building in the middle and that parking lot next door on the left. It doesnt include the pet food store on the right. We wanted to not just preserve the existing building, but respect it. Can i have the next slide . Oh, heres the program. Its 96 new homes. 14 are 2bedrooms. All of them on site. Its our intent that it would be an ownership project. Retail space, currently fed ex, we hope to bring back, but retail space will remain the same size as it is now. Half a parking space per unit. And you cannot beat this location for transit access. Next slide, please. At the recommendation of we are set back 35 feet. At the edge, 35 feet of building and 35 feet of footprint. So we set way back and the other move that we did to maintain a feasible project, again, at johns suggestion, was reusing the state density bonus to move some of the mess to the parking lot site. So two big moves, lowering it and moving some of the mass on to the next floor. We designed it to read as three separate buildings. Weve been out talking to people for a long time. Heres some of the things that we heard from your staff, from hpc and the neighbors and the Neighborhood Groups. People really felt strongly and we agreed that it should be a background building. Theres a lot going on on that ground floor and we didnt want to compete with it. So we wanted something reserved, above it. Were using traditional residential materials on all the surfaces, stucco, thin brick, and so we tried to not compete or distract from the existing building. We also heard that people wanted active ground floor. This is important to us as well. You can see along duboce, those will be stoops. I will show you what those residential entries look like in a moment. On the right, you can see the existing retail entrance. Next slide, please. And this is the character along duboce. The other thing is, people didnt want blank walls. This is what it will look like across Market Street from safeway. We tried to make it an attractive facade on that side. We heard a lot from your staff, from the neighbors. We had 18 Community Meetings and we think that that input has really improved the proposal and were very thankful for that input. This is the preapplication meeting. We invited all the neighbors within 300 feet to come and see the proposal. It was very wellattended. Heres a list of neighborhood meetings. Doesnt mention Eureka ValleyNeighborhood Association that they voted last night to endorse the project. Every Neighborhood Group to whom we presented the project when their boards of directors had a chance to consider it, endorsed it unanimously. So Eureka Valley, the ccbd, the merchants, and the Housing Coalition. Were very proud of the project, grateful for the input weve got. Were very proud of the support that weve received from your staff and from the neighbors and wed like your support as well. Im available to answer questions. Will is available. The owners. At your service. President hillis thank you. Lets first open this up to Public Comment. And then we may have questions for you. I have one speaker card, robert