By Meghan Hall
Private equity firm Strada Investment Group is moving forward full steam ahead with its plans for 555-585 Bryant Street in San Francisco. In a deal that closed on July 1st, Strada paid $44.9 million for the development site, where it intends to construct a 160-foot-tall mixed-use building, according to public records.
The parcels part of the project are currently developed with a range of commercial uses, including an auto body shop. First proposed in October of 2020, Strada’s project site will combine seven different lots between Bryant and Welsh Streets in San Francisco’s Central South of Market District. Plans show that the development will include 503 residential units, of which 53 will be studios, 170 will be urban one-bedrooms, 73 will be one-bedrooms and 205 will be two-bedrooms. All units will be for-rent, and 100 will be designated as affordable.
Plans also indicate that for the ground floor, two different scenarios have been proposed. In the first, 20,604 square feet of production, repair and distribution (PDR) space is planned. The second scenario would include additional residential space, as Strada hopes to apply a portion of the South Beach Marina Affordable Housing Fee credits to the project. The credits would therefore exempt Strada from needing to construct PDR space under Proposition X.
“As COVID-19 has slowed the pipeline for new construction in San Francisco, the 555-585 Bryant Street development is an exciting opportunity to advance desperately needed affordable and market-rate housing” Strada Principal Michael Cohen wrote in a letter to the San Francisco Planning Commission. “The Project is also in a unique position to seek approvals under the HSD process and fulfill the goals of the Central SoMa Area Plan.”
The project will be designed by SCB Architects and Plural Landscape Architects and feature an “elegant” design scheme. Documents indicate that the building will have a modern exterior complete with a masonry base, while upper levels will be clad in lighter materials. Recessed vertical slots will modulate the building’s mass and help to accent an aluminium and glass wall system stacked with bay windows. Unit balconies will also add visual interest, and a residential amenity at the roof will be heavily landscaped.
The project is estimated to cost $200 million to build. Over the course of the summer, the project began the environmental review process. However, while timing for final entitlements and buildout remains uncertain, Strada is seeking expedited approval via the Central SoMA Housing Sustainability District.
Strada Investment Group has been active throughout the Bay Area in recent months. In September of 2020, the firm announced a joint venture with California State Teachers’ Retirement System (CalSTRS) to pursue additional multifamily development in key sectors, including the San Francisco Bay Area. CalSTRS has approved $300 million of equity capital to target “build to core” assets.
In May of this year, Strada pitched another residential tower in SoMa. The project, located at 395 Third St., would total 559 units. SCB has also been retained to design this project, which is just blocks from Bryant Street.
As of this writing, Strada had not yet returned The Registry’s request for comment.