Lieu of the project sponsor constructing a new wholesale flower market. Should the flower market vendors and management exercise this option, the project variant would then contain about 2 million square feet of office, 91,000 square feet of retail, 23,000 square foot childcare facility and 950 square foot Community Facility and lower amounts of parking, loading but increased bicycle Parking Spaces and an increased approximately 38,000 square feet of Public Open Space. So how would they repurpose the ground floor that was once thought of as a flower market site . So with this design, what they would do is first they would widen the pedestrian to increase the amount of open space. Some of that ground floor would be converted to atgrade loading with the flower mart, much of the loading is in the underground garage, so instead they bring some of those uses up to street level, reduce the amount of excavation and belowgrade space. And then the 23,000 square foot childcare facility would be in that location as well as the additional retail, about 30,000 square feet more office and the Community Center. How does that work with proposition x . Well, with this, there is as far as the Development Agreement, theres an agreement that they can provide the replacement p. D. R. Off site as opposed to onsite, and that is one of the code amendments that was in the ordinance that was introduced by haney. Thank you. In addition, the project will do a lot of street scape improvements, pedestrian improvements throughout and around the site. And speaking to the text code amendments and map amendments on june 11, districts 6 supervisor haney introduced the planning code text and map ordinance amendment that would establish the 2,000 rent special use district as well as create a key sites exception that would be utilized by the flower mart site. The purpose of the ordinance is to facilitate the project as well as the continued operations of the flower mart. The 2000 marin would provide a temporary location for the San Francisco wholesale flower market while the project is under construction. It would modify the planning code requirements related to demolition, replacement of industrial buildings, secrete scape improvements, Building Design standards, transportationrelated requirements and impact fees for a period of six years. It would be temporary. And the flower mart planning code text amendments would california create additional key site would create additional key site improvements including protected street frontages, p. D. R. Floor to floor height, overhead obstructions, offsite open space, residential to nonresidential ratio, childcare facility and p. D. R. Replacement and p. D. R. Community Building Space requirements. This concludes my presentation. I will hand it over to my colleague, ann. Thank you. Before you come up, is there a representative of the Public Utilities commission here . Or can you represent that in so far as 2000 marin is an asset of the Public Utilities commission that they agree their site can be used for up to six years . That is the Public Utilities commission is in negotiations for the Lease Agreement with kilroy for the temporary use of the flower Market Facility so this agreement would be subject to the approval of the Public Utilities commission . Yes. Okay. Please proceed. Good afternoon chair peskin and members of the committee. Thank you for your time and attacks on this proposed legislation. Thank you for your time and attention on this proposed legislation. I would like to provide a brief overview of the Community Benefits for this development and then read into the record summary of amendments to the d. A. For consideration today. There are three key components on the Development Agreement for which ill provide an indepth description. They include the need for two project scenarios, scenario a which contemplates the flower market returning after construction is completed at that site, scenario b which contemplates the flower mart electing not to return. The requirements for the developer to secure a site and construct the improvements in the event the flower market elects scenario b and thirdly, the agreement to prioritize the project phase 1b propagulecation in the fall of 202 1b proposition in the fall of 2021. As you know, under the central soma area plan, each of the key sites was assigned a specific set of Community Benefits the project would be required to achieve in order for there to be a diverse portfolio of communitywide benefits. The kia menti is the the key amenity the p. D. R. Sector is critical to San Francisco. Companies serve the needs of local residents and businesses and tend to provide highpaying jobs and Career Advancement opportunities for people without necessarily requiring they have a Fouryear College degree. P. D. R. Jobs also enhance the citys Economic Diversity and our ability to weather times in economic stress. While this project is anticipated replacing the flower market, the Development Agreement addressing the possibility for the wholesale flower vendors to select an alternative location for a permanent replacement site. The need for two scenarios became necessary late last year. Once the central soma plan was finalized, the flower vendors recognized the increased density along with the Infrastructure Improvements designed to safely accommodate increases in bike and Pedestrian Access would result in challenges for the vehicle intensive reality of operating a major flower distribution business. The flower mart is made up of over 50 independent Small Businesses that are largely family and minorityowned. These small operators in turn accommodate 4,000 small and Large Businesses across all of Northern California on a weekly basis. Most of these floreses, grocers, caterers, designers and wedding planners arrive in small and large trucks or other vehicles in which they need to load palettes of flowers and supplies. They rely on easy circulation. In order to ensure that San Francisco is able to retain the continued success of the flower mart, we have developed a structure that will allow the vendors to either return to the street on scenario a or elect an alternative location. This will take place within 30 days of the city executing the Development Agreement. The election will allow the flower vendors the time they need to explore alternative sites and determine their election. In scenario a, the project sponsor will be responsible for constructing a temporary facility at the p. U. C. Owned site or another mutually agreeable site. As soon as the first phase of the primary project is approved, the developer will begin the improvements. They are responsible for paying the relocation costs and moving the vendors. The developer will enter into a minimum fouryear lease which will have options commencing upon move in of the flower vendor. Scenario a is straightforward. The vendors elect to return, and the developer moves them from the temporary site into the new building upon completion. The developers provide the following benefits, at least 115,000 square feet of onsite affordable p. D. R. Space with guaranteed subsidized rents. 100,000 square feet of onsite neighborhood serving retail, 15,000 square feet of off site land dedication for the development of Affordable Housing. 36,000 square feet of onsite privately owned Public Open Space, 5,000 square feet of off site Public Open Space and enhanced Workforce Program that includes both office and job p. D. R. Job training, 500 bike Parking Spaces, construction of a cultural district gateway marker, 2 million contribution to enhanced street cleaning and security, a 4 million public art contribution, and 210 million in Development Impact fees, including 107 million in jobs how are yog linkage fees. Up to 20 million of the jobs housing linkage fee may be used to stabilize housing for existing soma residents by providing small sites for rehabilitation. Scenario b is triggered if the flower mart elects not to return. If they choose not to return they set up a structure whereby the total costs will be paid by kilroy. The city worked with the sponsor and tenants to develop the requirements for the future permit location. A detailed set of standards and specifications is being developed and will be required for the new permitted facility, including the necessary tenant space, parking and loading needs. Kilroy will not be able to begin construction on their primary project until they have acquired a mutually agreed upon site, constructed the improvements, including all the base building, parking, loading and tenant improvements necessary to provide a turnkey facility to the flower vendors. Under scenario b begin construction or get a certificate of temporary or final completion . The kilroy project will not be able to begin construction. Thank you. Perfect. Under scenario b, the developer provides they need to move the flower market, they need to construct the site and relocate the flower market before they can begin construction. Under scenario b, the developer provides all the Community Benefits under scenario a with the addition of 23,000 square foot childcare center, 1,000 square foot Community Room as well as a robust sorry, programming for neighborhood organizations that will include space for seasonal popup flower shops, floral shows, job fairs, artisans markets and farmers markets. Under scenario b, the city will establish a San Francisco flower mart legacy Business Fund by directing a portion of the project fees to a special fund held by the controllers office. These funds are intended to provide a source of stable business and operations assistance to longstanding San Francisco p. D. R. Operation to help ensure the wholesale flower operation continues to be a resource to the many local artists florists, artisans, restaurants, markets and individuals who rely on their access to this london standing San Francisco institution. Longstanding San Francisco institution. Roughly 300,000 square feet in the fall of 2021. This prioritization addresses the fact that unlike other sites, kilroy will not be able to begin construction until they have completed their key Public Benefit requirement of relocating the flower market to a permanent home. I will describe the summary of changes between the first version of the Development Agreement and the one in front of you today for the stake of clarity, other than the increase in jobs housing linkage fees, the changes pertain only to scenario b in which the flower market elects to move off site to a new facility. The first project description remains as it was, approved by the Planning Commission on july 18, 2019, including the new wholesale flower market and temporarily relocates the tenants to a temporary site during construction. The project variance has changed as follows. Prior project variant provided the flower market vendors the option to choose between the stay option and a Payment Option whereby the developer would have provided funding to the flower market vendors to allow them to construct a new facility at an alternative site. The current variant provides the vendors the option to choose between the stay option and permanent off site option where by the developer will acquire and build a permanent off site facility at whatever the final location is determined. All references to Payment Options have been removed. Most of the changes are to article 3 and the definitions. The summary of permanent off site option vendors select between stay option and permanent off site option within 30 days of the da Effective Date by sending a notice to the city and the city shall there after exercise the stay option and permitted off site option. If the permanent option is exercised, they must allocate approvals and construct the permanent off site facility in acore dance with the specify in accord with the specifications. They must pay for ten years to support street cleaning efforts which is in da section 5. 1. 1. The impact fees section has been amended to clarify the project shall calculate its jobs housing linkage fee pursuant to ordinance rate schedule in da section 6. 9. 2. The impact fees has been amended to clarify the project is able to satisfy all or a portion of its jobs housing linkage fee requirements. Thats also in da section 6. 9. 2. The impact fees section has been amended to provide a process for the creation of essential legacy business and p. D. R. Support funds that will be funded with 20 million and used by the city to provide annual business grants for the Master Tenant under the master lease. In the event the off site option is elected and provided the city waived fees, prior to the fund creation. Which is trailing legislation. Thats right. Impact fees section has been amended to add eastern neighborhoods infrastructure for an amount not to exceed 300,000 for funding for the design and construction of an arch or physical marker in a public location identifying the San Francisco filipino Cultural Heritage district. That concludes my presentation. Thank you for that very thorough reading. I want to invite alexander. He will be coming up in a minute. Thank you for your presentation and your work on this. A couple things. For the Community Benefit, if you can expound. For the 200,000 a year for ten years for street cleaning and safety, where will that money go specifically . Is that outlineed . Can you describe in more detail about that . Is it going to the city . It comes through the city. Its over ten years, a 2 million contribution that is designated i believe to the to y for enhanced street cleaning in central soma. Is that going into a category 8 fund . Or would you read us the exact language . I can certainly find that out. That would be great. And 5 million for sunnydale hub. Can someone speak to that and where that came from . I can certainly ask the project sponsor can answer your question about the evolution of the 5 million fund. Okay. And just you mentioned the prop m preference. Ive asked about this a few times. Can you speak more about that . Is this something that has been in past d. A. S or Development Agreements, is this a normal practice to physically give a priority preference . Yeah. And you said they may give them a priority. Is it will give them or may give them . They may give them a priority preference in the fall of 2021 after october 17, when the prop m pot gets refilled again, there is a section that allows for a preference to kilroy to receive another 350,000 square feet of prop m allocation. The purpose of that is in approving kilroys project as a Planning Commission, and a number of the central soma key sites, we initially asked each of the key sites to break their project into phases. And a couple of the and what we did with kilroy, we asked them to break their first phase into two phases. And so that we could allocate you know, we had a limited amount in the pot in 2018 or 2019. And we wanted to be able to make sure we got all the key sites in central soma, at least their first phase of allocation, by asking them all to phase their projects. One of the projects, because of the way they are building their structure, they reduced their total allocation by about 50 or 75,000 square feet but received their entire i think 850, i cant remember the exact allocation, but the project received 100 percent of their prop m allocation as opposed to the rest of the key sites in central soma which we asked to split their project into phases. So the kilroy project initial phase that would encompass the flower market, is a 1. 7 million square foot allocation. So in order to construct that building that would have the flower market on the ground floor, they would need 1. 7 million of their prop m allocation including all of the underground platform and podium. Because we asked them to split that phase into two phases, and because this is a project, this is the only key site project in central soma thats nonresidential project that has to fully fulfill their major Public Benefit obligation before they can even begin to construct their primary site, we agreed to put the 350,000 square feet into a preference in the future in the d. A. For the future allocation in 201. And there are president s for doing that, mission bay and certain parts of transbay also have preferences for prop m. And in so far as this is something that is in the Development Agreement, our roll in this is either to approve or deny i mean, our role, the full board, the Development Agreement. We can suggest changes to staff, but we either vote it up or vote it down. Is that correct . Deputy city attorney. Thats right. Thank you. Supervisor haney. Thats all i have for now. All right. Alexandra . Good afternoon, chair peskin, supervisor haney, safai, mandelman, thank you for being here. Alexandra with kilroy realty. Its our job well, thank you for the work you have done. The flower mart project was approved unanimously by the Planning Commission. Thank you, supervisor peskin for the work you have done over the last several years that we have been working on this project. Supervisor haney, thank you for all the work youve done since youve been here, especially for introducing the item as well. Vice president of Development Matt griffin and Vice President of Northern California kilroy and susan allan are here to answer your questions after im done with the presentation. So for nearly six years, we have been working with the flower mart vendors, the city and neighborhood to design a unique mixed use project to fits in with the fabric of soma and provides a new home for the wholesale flower market. While the design has evolved over the years, our plan has always been to build a new state of the art flower market as part of the project. As you all know, we received a request by the Flower Merchants Association to have the option to move the flower market off site due to concerns about the viability of their operations in the new central soma neighborhood. We heard their concerns and worked diligently to achieve Planning Commission approval of a twovariant plan so they can decide which route is best for them. If the vendors elect to stay, kilroy will go forward with the plan to build a wholesale flower market as part of the project. If they elect to move to al alternate site, kilroy agreed to construct a new market and leaves that to the flower mart at the same below market rate. The ground floor experience that be reimagined and includes childcare, increased open space, community facilities. Timing is key for either variant. Its important for the flower mart project to obtain approval of a agreement this year to give the vendors the ability to choose the best option for their future and for the city to realize the robust Public Benefits project thats been described. In this scenario where the market returns, kilroy will be required to relocate the vendors temporarily to 2000 marin, which is available now, before planned future use is implemented. Where the vendors choose to relocate permanently, kilroy will be required to purchase a separate site which can only be secured once the d. A. Is approved and is only available through the end of the year 2019 to secure that site. Additionally, the d. A. Includes an immediate payment by kilroy upon a project approval to give the vendors funding to complete feasibility studies and make their decision within that time frame. Again, kilroys goal with these variants is to ensure that there is a new permanent home in San Francisco for the wholesale flower market with guaranteed affordable rent and first class new development in central soma that provides a neighborhoodfocused retail experience, all inclusive Public Open Spaces and good jobs and revenue for the for the city. Total Development Impact fees are 222 million, which includes roughly 110 million, we rounded up, for the new jobs housing linkage fee and 12 million in t. D. R. S. Consistent with our track record, kilroy is proud to partner with the wholesale flower vendors, the city and the neighborhood to propose a project that will deliver extensive city and Community Benefits, including but not limited to, obviously the construction of the new flower market, dedication of a Affordable Housing site, 5 million donation to the Community Center project, a contribution to the filipino cultural district, 14 million in street sweep and public Infrastructure Improvements, 200,000 in annual street cleaning support and more than 8,000 good construction jobs. In addition, kilroy was named the most sustainable Real Estate Company in north america for the fifth time this year and was the first Real Estate Company to commit to Carbon Neutral operations by 2020. We are proud to partner with led certification. Thank you. We look forward to answering any questions that you have. Thank you. Are there any questions for the representative of the Kilroy Corporation . I do. Supervisor haney. Thank you. Sorry. So i can you speak a little bit more about the enhanced Workforce Program . It says 500 million in benefits. How do you measure it to be that much . Do you mind if i do it . Thank you. Good afternoon. My thanks to supervisor peskin and haney. Identify yourself. Mike from kilroy. To answer your question, the 500 million is an estimate of the amount of spending that will be subject to the enhanced Workforce Program. So it requires us to make good faith efforts to hire locally, to it also includes not just for construction jobs but also for permanent jobs in the facility. So the 500 million is construction spending. It requires us to make good faith efforts to hire locally, hire Small Businesses per the citys workforce requirement. Does that answer your question . Supervisor . Yeah. And in terms of the oversight of that and who are you partnering with to actualize that . Was labor involved directly in negotiations of this . We negotiated that with the office of economic and workforce development, but i understand that the program was crafted with a lot of input from labor. Correct. Its a program that is used in other Development Agreements as well. And the street cleaning piece of this, again, just a similar question around is that money just to the city and then the city will figure out how to use that . Or is it more specific . Before you actually i dont want to interrupt but i want to hear that from city staff. Youve had a few minutes to figure out whether or not that is category 8 fund and precisely how that 200,000, tenyear will be spent and utilize. The floor is yours. Im sorry, i have not found out but we can direct it. It goes to the city. I just dont know specifically what the fund is that it goes into. But i can try to do that. [please stand by] year five, it goes up over time per a two Percent Inflation and for the terms of the agreement, but still very affordable. In year 26, there is a provision in the lease that allows kilroy to determine a new market rent for the flower vendors or for the first 25 years, it is a very low rent prescribed by the agreement that we negotiated. Which, for the record, will be paid for through fees, through fee rebatement, so just so we are all clear, and my colleagues understand what they are getting into, the trailing legislation will actually reduce the amount of mandated legal fees that kilroy has to pay to subsidize this subsidy. If i could correct that. You look offended. You have an opportunity to say this, but i want my colleagues to understand what they are getting into. So when we talk about the 27 million fee package, that is a portion of the subsidized one through four, 250,000 rent . True or not true . The current rent i think is 1 million, its about 1. 2 million, somewhere in that range. And then we asked for reduction. We asked for a stabilization period in the first four years, because we think its disruptive for the flower market to be moving off its current location. Theyll have to move into a new facility, it will be a new operation. For a period of time, theyll have a sinking fund, i get it so we asked for a reduction. The flower market asked for a stabilization period that their plat rent is 50,000, and the city agreed that we should help stabilize the flower market in the first four years. Subject to the approval of this board of supervisors with trailing legislation. Correct thank you. I was thinking about everything. Again, the reason im asking these questions is because at the end of the day, the worst that could happen, and i understand 25 years is a long period of time, is that ultimately that you get into a scenario where its unaffordable for the vendors to remain, but it sounds like theres significant time being spent in terms of initial transition and subsidy, but then in year 25, its a negotiationen this part but i mean i understand you have spent a lot of money to make this a flower mart, right . What happens in the year 25 in its not affordable anymore . 26 in year 26 there is the use restriction is it has to be used as p. D. R. Space, but theres a new negotiation for the rent, which is typical in leases, usually happens in year one. But for this lease, we are required to provide 25 years at the renteds that were negotiated in the triparty agreement. Whether they moved or didnt move, this was the scenario that would happen anyway . That is correct. And you all currently own this site and you remain the landlord . Correct. Okay. And then in terms of the scenario b, and you might have already said this but i want to underscore this point, what is the estimated cost to buy another location and build or renovate or rehab or construct a new flower mart space . With the cost to kilroy . Approximately. Yeah, in the list of Public Benefits we put 100 million cost in there. I will say that is a place holder because we cannot discuss in this forum the exact prices we are negotiates for these potential sites that we may or may not buy. I call it 100 million plus. So to relocate which i think is potentially the option the flower vendors are leaning toward, we dont know. They have to take a vote substance consequently to this confirmation of this Development Agreement, but at a minimum, you are saying it would be approximately an additional 100 million cost or more. More than 100 million to relocate the vendors, sign a lease that goes at least 25 years at affordable, really affordable, relatively affordable rent for that period of time. That is correct. And ill just point out in reference to supervisor peskins note about the rent, yes, there is a fee credit for the first four years of this. There is no fee credit for the rest of the 25 years of the discounted rent. And that over 100 million figure doesnt include any adjustment for rent. Thats just construction and acquisition cost. Thats what i was talking about, construction and acquisition. So if you were to add in the rent loss over what a market rent would be, it would be a far, far greater than that. But thats correct. Okay. Thats all my questions for now. Thank you. Excuse me. Before i open this up to Public Comment, i would like a representative of the San Francisco flower market to come up. Are you in the audience . Geneie beaux. If you could as the master and party to the triparty agreement and intimately involved in these negotiations, present the case from the flower market. Good afternoon, supervisors. Im the general manager of the San Francisco flower mart. I represent the Ownership Group and the 50 plus vendors that are currently at the San Francisco flower mart. We have operated in San Francisco since 1912. Of the 50 vendors, theres roughly 26 legacy Business Owners in that market. We employ 375 blue collar workers. Recently a National Floral industry publication dedicated their entire november issue to the San Francisco flower scene. As we are a key piece of this 26 billion floral industry in the u. S. , stating that the flower power of San Francisco is alive and well and will never decline. The piece focused on San Francisco city colleges floral department, several talented creative retail florists, the young museum that has the annual exhibit and the business of floral design in the city. And of course at the center of the article is our flower market, the world famous San Francisco flower mart. Our customers routinely shop our market and the thousands every month coming from all over the bay area and Northern California. You see our products in every event and every corner store, office building, apartment building, restaurant and hotel in the city. When large Corporate Events hit our city like dream force, the market and our customers are at the center of helping execute those events. We put the color in this city. Both with our beautiful products and the small Business Owners who rely on this market to do their business. What an amazing and unique Community Benefit the city of San Francisco bargained for to require kilroy reality to build a new world class flower market for San Francisco. Supervisor peskin, thank you so much. You have fought for years for this market and our cast of vendors down there. And honestly, we cant thank you enough over the years. Youve been key to all these legacy businesses surviving over multiple transitions. And i would like to also thank ann and ken and the city attorneys office. Over the last few months that weve been intimately involved with each other. Theyve worked very hard to bring all parties to the table. Weve been working diligently for months to get to a path that ensures that the Community Benefit of a World Class Wholesale flower market be achieved. Currently the parties are not in agreement on the physical building requirements, and we are not in agreement on the basic functions of that facility. The latest wholesale flower market to be build is the new Garden Market in london. That is the facility that the market should be used as the industry standard. We made progress on the terms but dont have an agreement on the process for designing and building a first class building. And we asked for the citys continued support in that critical effort. I thank you very much for listening to my comments this afternoon. Thank you. And i want to reciprocate and thank you for truly being a star in this whole difficult process and the president of your board is mr. Is that correct . If you could come up and say any words that you wish to say. I dont want to put you on the spot, but if you would like to come up, the floor is yours. And then i will open it up to Public Comment. Thank you, supervisors. The San Francisco flower mart, as you know, has been a Major Institution in the city for over 100 years. We support so many businesses here in the in the city, caterig events, hotels. Walking city hall every day, and you see our flowers in all of the weddings at city hall. This will not come out of your time, your time is unlimited but these come from rec and park. [laughter] great. Thank you. I used to come here at 2 00 a. M. In the morning with my father to sell flowers at the flower market. We want the flower market to continue to be a viable entity here in the city. The San Francisco flower mart and the Tenants Association have worked with kilroy and the city, and weve made significant progress in our agreements. But we are not there yet. The tenants have also agreed to some very, very significant increases in their rents in the years ahead, which a number of them have commented on. Weve spent the last entire weekend in negotiations with kilroy and with the city, but we still have a few major issues that we have to resolve. These issues among them are the specifications of a new market and the process for making key decisions as the market is being built. We had just received the spec designs, the revised designs, and we need time to adequately review them and work with kilroy and the city to finalize them. Therefore, we are asking the city to give us a few more extra days ahead to be able to work on the agreement so that we can put together a market in which tenants can continue to thrive, and which the market will continue to be a Major Institution. We also want to thank supervisor peskin for helping us to be able to make sure that the market is going to have a viable location where those tenants can continue to thrive. Also, we would like to give gratitude to ann, ken, and betty on helping to facilitate the negotiations. Thank you. What happened to Charles Sullivan . Kidding. [laughter] hes off somewhere else. Thank you. Before i open up to Public Comment, supervisor safai has a few questions. Thank you. Just real quick, sounds like these are ongoing conversations. But can you talk about your response to the specifications for the new market and how the conversations are proceeding . Yes. We do recognize there are outstanding issues with the technical specifications. These are things like electrical loads and refrigeration quantities and things like that. We are confident that they can all be worked through. I will point out that these are the kind of details that normally come much later in process for a project like this. We received a new draft of some of those documents as late as 2 00 yesterday. So we havent been able to work through them before this issue. But we have told the vendors we are going to sit down with them at the end of this hearing and get to work on resolving the last issues. Do you believe, based on what he said, that its just a few more days to hammer these things out . Absolutely. Thank you. Thank you, supervisor safai. Why dont we open this up to Public Comment . I want to thank everybody for your patience, particularly those of you further down the agenda. I have a number of speaker cards. Rob shab at, coal, emily, if there are other people who would like to speak, if you would line up to my left, your right. Mr. Paulson. Are you here on 7 8 . The floor is yours . On behalf of Building Trades council, mr. Tim paulson. Thank you, supervisors. Tim paulson, the secretary treasurer of the San Francisco building and construction trades council. And we are here as a council to urge that this moves out to committee with recommendation to the full board. That being said, its pretty clear that kilroy, which has been great parties has been a great partner over the years to the Building Trades, has proven itself to be a great partner, both with the city, the flower market, the community and frankly, as we watch this amazing amount of development thats going on in San Francisco, has been a really good partner in terms of reaching out and putting it together, a very complex and wonderful project. So we are here to support that. At the same time on a supervisor level, even when i was working at the Labor Council i was aware of the work that supervisor peskin was doing on this particular project. So supervisor, thank you so much for sheparding so much of what is culminating in the next few weeks to finish up this project. As supervisor haney, whose district this resides in, being as diligent as ive watched you be over the last months to try to continue to shepherd this. So we are on record to say we support moving this to full committee, and the building trade supports this project. Before i call on the next speaker, i would like to acknowledge that mayor who was important in the negotiations in 2015 with the flower mart, has joined us. Mayor agnos, if you would like to speak, you are welcome to do so. Supervisors. My name is herald. Im the president of the south of market business association. I operate a flower shop one block from the flower market. I have for 20 years. A block. Takes five blocks of driving to get to the flower market though. So i walk. And actually i have had some its part of this issue about the replacement location. The traffic in south market is really terrible. And there have been opinions expressed to me by many vendors that putting the flower market back there with the way the market as a whole, development of the area is going, isnt as good as having it somewhere else. Ive come to understand, though im not involved in the negotiations, that this p. U. C. Site on chavez is or evans is the ideal site. 2000 marin 2000 marin. Im sorry. I confused those streets. Nonetheless, it would be the ideal site for a permanent flower market. And if we could get the p. U. C. Off their land grab on this property, we could have a happy ending, very soon. So nonetheless, i appreciate all the effort thats being made to preserve the flower market. And i wish the city had taken as much care in looking at the health of the flower stands in San Francisco as they dwindle down to Single Digits but nonetheless, i would like to see the city help the flower market survive. If we can get the flower market to have its permanent site, it makes a lot more sense. Thank you very much. Before we hear from the next speaker, i want to thank you for personally delivering flowers when my father passed away, to my mothers house. Next speaker, please. Good afternoon. South of market association. I recall when there used to be breweries out there, warehouses, supply shops, and a lot of them moved away for all sorts of reasons, particularly breweries that are no longer there. Its really developing i like whats going on. Its nice to see places coming up. The giants ballpark and so many other places around south of market. Its become a bright, vibrant and interesting place to come to. So supervisor peskin, i really appreciate all the work youve put into this. Im a full supporter of small business. One thing i love about this place thats being built, all the p. D. I. , we have such a shortage of it. We have a few car repair places, but this is a great mixture of day care, p. D. R. , its going to be a good project i feel at this stage. Once again, we at south of market support this project. We have other issues thats not to talk about but as far as we are concerned at this stage, thank you very much for all your work, particularly supervisor peskin. Thank you. And let me just say as to the comments, this entire project is remarkably complicated. So the 2000 marin site is actually a proposed trade between our Public Utilities commission over their laydown yard a block away at fifth for property that used to be the hurst printing plant, which is a p. U. C. Asset. And unfortunately, the flower market cannot have it forever, for that will be the new p. U. C. Yard. Next speaker, please. Good afternoon. Thank you for your time. My name is emily abraham. Im here on behalf of the San Francisco chamber of commerce. Im here to express our support for the San Francisco flower mart central soma project. This project provides many economic housing, community and employment benefits. It is truly impressive that this project will include 100,000 square feet of neighborhood serving retail and business, a new flower mart, Affordable Housing, create good jobs, among many other Community Benefits. For these reasons, the chamber of commerce supports the San Francisco flower mart project and urges you to support as well. Thank you very much. Thank you. Next speaker, please. Hello. My name is michael. I work for full supply syndicate, a tenant of the flower market. Ive been in business for 80 years. Ive been working there since i was 16 years old. I think im representative of the type of tenants we have at the flower market. The historic flower market versus Kilroy Corporation, classic david and go lite, goliath. How do we succeed . We appreciate your support. We wouldnt be here without youre support. So thank you for city support. Some of the things that were said, i want to clarify. We are going to be seeing rent increases that will be effectively double our rent over the course of this lease with kilroy. We recognize that, and thats a sacrifice that we will do. So obviously its longterm viability and sustainability of the market. And weve made some good progress. We are not quite there yet. We really appreciate the support in getting us over the finish line with kilroy. And thats it. Thank you for your support. Thank you, michael. Next speaker, please. My name is rob with floral company. We celebrated our 113th year of business this year. My father started selling flowers on the streets of San Francisco before there was a flower market. When the flower market was established in 1912, he was one of the founders of it. At that time, the Flower Growers owned the market and the Flower Growers were also the tenants. So the at the nans and