dpaul brown, RealtorĀ®

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San Francisco Residential Construction Pipeline

The San Francisco Business Times performed a superb in-depth analysis of the many housing projects, rental and sale, market rate and affordable, currently in the Planning Department new construction pipeline, breaking out and describing major projects of 60 units or more, and mapping them as well. Above is my attempt to boil down much of that information into one chart. Please note that projects are constantly being added, revised, sold to new developers, or even abandoned, and the median time from filing a plan to building completion is 3 to 6 years depending on the size of the project.

Hundreds of condos under construction have already been pre-sold to buyers, with close of escrow and occupancy to occur upon final building completion, sometimes well in the future. These sales of units not yet built still have a significant impact on market supply and demand dynamics.

It is also interesting to note that of projects either under construction or approved by Planning (and leaving aside the long-term mega-projects such as Treasure Island), rental units outnumber sale units by about 2 to 1. This is a very recent development in SF housing construction, which has long been dominated by condo projects (though there are plenty of those too). This expected rush of new rentals, most of which are at the high end of rental cost, is coming just as the rental market is dramatically softening in the city. Indeed, the rental market appears to have cooled much more quickly than the sale market.

 

**These analyses were made in good faith with data from sources deemed reliable, but may contain errors and are subject to revision. **