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Governor Announces Plan to Transform DMV Lot into 372 Units of Affordable Housing, a Project Proposed & Championed by Asm Phil Ting & Supv Dean Preston

For immediate release:
Fell Street DMV To Be Turned Into New DMV Office with Housing

Governor Gavin Newsom announced today that a developer has been selected and plans will move forward for a 100% affordable housing development on the DMV lot at 1377 Fell Street. Assemblymember Ting and Supervisor Preston have been working with state officials since early 2023 to pivot the site to affordable housing. 

The plans announced today will include 372 affordable housing units built over 3 phases, and rebuild the Department of Motor Vehicles office on this 2.5 acre site. Project approvals, including environmental review for this development, will be managed by the Department of General Services, as this is state-owned land. The project will provide housing to serve residents with incomes at the 30% through 80% of Area Median Income. The project will be jointly developed by Related California and non-profit developer Tenderloin Neighborhood Development Corporation. 

“I’m very thankful for Supervisor Preston's leadership in bringing this affordable housing opportunity to my attention. I facilitated a meeting between him and state agencies to discuss the future of the Fell Street site. Without his and his staff’s work, this project would not have moved forward. I also want to thank the DMV and their leadership for quickly pivoting from a plan to rebuild their office to one that provides critical and much needed affordable housing. This project demonstrates the incredible work that can happen when local and state governments work together,” said Assemblymember Phil Ting (D-San Francisco).

“Since we called for this site in the heart of District 5 to be converted to large-scale affordable housing, Assemblymember Ting brought state officials together to make it happen,” said Supervisor Preston. “This shows what can happen when local and state leaders work together to ensure that our affordable housing needs are met. I’m grateful for the partnership, and thrilled that we will be adding 372 units of affordable housing to our district on this state owned land.” 

In 2021, the state approved funding for a plan to replace the DMV field office, without any housing. In response, Supervisor Preston passed a resolution at the San Francisco Board of Supervisors urging state officials to develop the DMV site for affordable housing in addition to the rebuilt DMV field office. The resolution passed the Board of Supervisors unanimously in January 2023. Preston has consistently called for the City to prioritize affordable housing development, especially in light of the current goals for San Francisco to build 46,598 units of affordable housing by 2031 and the need for greater investments in housing that serves low- and moderate income households. Preston has advocated for the use of state and city owned properties for affordable housing. 

Ting, who served as Chair of the State Assembly Budget Committee, has been a leader in Sacramento on converting state-owned land to affordable housing, passing AB 1486 in 2019, a law that connects affordable housing developers to local surplus land and strengthens enforcement of the Surplus Lands Act. Following Preston’s resolution, Assemblymember Ting worked closely with DGS and DMV to explore the possibility of housing and a rebuilt DMV on this site, which has now been approved by the Governor. 

"We’re thrilled to deepen TNDC’s presence in District 5 by building high-quality affordable housing at the Fell Street DMV site. Situated at the eastern tip of Golden Gate Park’s Panhandle, this project will connect residents to the vibrant neighborhoods of NOPA, Lower Haight, and Haight-Ashbury, some of the most vibrant areas of the City. Residents will enjoy access to local businesses, quality schools, and excellent public transportation. We’re excited to partner with MOHCD and Related California to deliver more affordable housing for the people of San Francisco," said Katie Lamont, Interim Co-Chief Executive Officer of TNDC.

The modernized DMV is expected to be completed Summer of 2029 with the first phase of housing ready a year later.