The last question is, i do believe that the comments on the central subway had a larger negative affect on some of the occupancies and vibrancy of part of stockton street in particular but also on some of the stores which are on the Market Street side of the central subway has slowed us down for many many years. It is the lower part of stockton and even with the christmas attempt to put some [inaudible] there and make some activities it has not really helped those stores at all. What has helped him its very interesting to see apple a strong flagship [inaudible] on union square when you see the shift with a topic used to be it was basically between macys, crate and barrel, and apple in the lower part of stockton. That has now all shifted to the upper part of marketof stockton street starting at the corner of union square, the park is much more used than was ever before. Now theres two cafes. It shows you the dynamics but holding onto that basic infrastructure of retail being the primary use and user of union square could not be more important and it would require subdivision of certain larger spaces the mud that is fine away to do that and find complementary retail and other excitements to make that as much of a destination as it always will be. I do believe the future of San Francisco will depend directly on us helping the maintenance for a comfortable compatible transformation. Thank you. Interestingly enough, the market for we got to to to to sutter is much different than what this report is. It surprising to me. Theres a narrative that [inaudible] that retail is designed or dead may be 45 who keep saying what the truth is and really its his version of what the truth is. But i like to see a reconciliation between what we are seeing here with report was looking at one small area and perhaps the report was brought more national or regional. It is interesting because the day was presented the ground floor of [inaudible] was 9 get their overall vacancy rate was five, which tells me the vacancy rate on the floor is two units lower than the ground floor is that with the data tells us . On the basement correct. That is interested i thought it would be the other way around. Massive vacancy upstairs and downstairs you are full. I believe that data was yes i believe that data was provided by Colliers International and one of the striking followups we had was seeing thatyes. The average size of the ground floor was smaller so yes, a lot of smaller parcels that are available. Interestingly enough one of the key points of the porch of the way from the carbon store model. Certain retailers especially large floor plate Department Stores macys being one of them close like 180 Locations Nationwide even Neiman Marcus or try to go public recently and they could not and are looking for sooner to help them out. I guess theres a spacea smaller space shift and theres large floor plate retailer in my neighborhood who i mentioned last week or two weeks ago whatever got leased up to a cvs is probably going out of business and i talked to the owner and i said, why dont you [inaudible] the smaller spaces because of her more businesses there one time. The gist of what he wants to do is doing all onesorry its getting latehe wants to do it in one fell swoop good rather than have to do with islam smaller spaces rather than thats a paradigm shift we see in the community. Another striking thing from the report is with that of 485,000 ft. 2 of retail space since 2010. Thats a huge absorption rate. Up in the upper market rather pistol a lot of vacancy because theres 23000 ft. 2 that nobody can afford especially with aftermarket and restaurants [inaudible] margins there some cutting wood edge restaurants the women in my area without changing to a are formatted to the restaurant portion is not being able to carry it. We have a huge spec retail on Market Street called marketplace, i believe. Is there anybody leasing it yet . It sitting there kind of all by itself and of the kosher. Whats happening for the vacancy rate citywide because theyre a lot of square feet . I think the project has in meaning 2656 and they are still currently seeking tenants and i have not seen any reports of a large [inaudible] item of clothing has any color to add. This was the planner that ashley worked on it so i have not heard anything about that. Its a beautiful building but completely empty. Yes. The other issue is, i go to the building to get my [inaudible] get things to be cleaned and all that and the thing that striking to me is the people am going to get the service from, theyre not ready to retire. Its not over that age and am wondering whos quickly the next generation whose can affect my fabulous swiss watch. When i walked home icy, spas and here cutting places and when you walk in there the owner or the people that work there are not as old as my watch repair guy. So theres maybe a turn you what were seen on those upper floors but it is kind of an interesting thing. The approval front office is going to be probably for 10 years or more because office is going to get a oneyear lease or twoyear lease and lease five with an option for five more. The thing im trying to understand and relating to to to to sutter with throat elation shipping office and retail. If you put an office in there will would do to the retail traffic . We can see the same thing with the Twitter Company were everybody is can stay inside their office never go out until the market envelope which is struggling and tries to change its format. What would the symbiosis be . Not only give them able to rent it but if you put something up cut it up into smaller spaces, why . Pok want to put an office in their . Macys men stole told an International Realty trust and impression i got was they want to have floors through x to the ground floor be retail. So we are doing with this all over. That would be a good thing to maybe look into. Any other commissioners . Okay great. Thank you very much. Appreciate it. Sos did the Commission Care to provide planning with direction in terms ofbecause we can either continue to evaluate the case without any additional criteria which leaves us in a little bit of a bind or, you can also request we have applicants provide information as part of theirperhaps they could provide us with information on the alternative ways they try to fill the space. Right. I think for me to to to sutter is a good example to the reconciliation between what was submitted and what oewd has. That would be the first one could retail is dying or dead. No, its really healthy. Like there, well, which narrative should i believe. I think the second one is what you done to lease out those spaces given the fact retail is changing giving her criteria for smaller spaces etc. Probably not the entire floor nobody wanted that tells you something. So tell us, try to carve it up front any interest on that from the stores. Kind of destinations. [inaudible] commissioner melgar i dont think we can provide anything because this is information only you can provide your opinions and commentary but it is an informational presentation. No action needs to be taken. Okay. Commissioner moore i suggest we have some [inaudible] a volunteer for a working group. I personally would like to see the subject continued and discussion and anybody whos interested to commissioners missing here. I think you would be a missed opportunity for us to actively participate with staff and with other people were really passionate about the subject to do this. We had a working group for quite a few years on working on the issue of Small Business. This has a similar kind of tender to it and i think it would be really great for all of us to give staff a little bit more than a 5 min. This is what i think thing in the wind but participate and develop some additional observations. Im particularly interested in commissioner fung because he and i were together on the Small Business and in this is incredibly powerful thing to do. Yes i agree. Thank you for the work you done so far. I think its a good sort of a baseline. I agree with commissioner moore its not done yet. Largely because its an evolving industry. Shifting and changing. This particular area of downtown i think the floor plates are very different. They require at the type of approach then maybe another part of town or smaller part of town. So i would be happy to continue on with commissioner moore and whoever else as long as we have a quorum to keep discussing that and maybe look at the pipeline and see what other projects might be coming on that fit into this particular category of transition. Thank you. The other thing for me would be would also mean us is somebody turned the corner as relates to the subject . Its not [inaudible] able to rent third floor retail . Are we the cuttingedge or can we look at somebody whos an example . I think the key thing to take away from the port is that and i think the distinction between longterm operating holders that will went out to retail, they see a dip in the market versus corporations that because they purchased a property at a certain rate, thats how its valued. They will not rent out. They wont take that day because thats how the [inaudible] values that property. Its a subtle shift but its not that retail at the third or fourth level can be rented out. Its that they are asking too much for these type of uses that we think are complementary to pay that. So bit interesting as i walked on the street in my neighborhood commercial [inaudible] older families have had the building payoff for ever. Cant be bothered to rent it out yet could the people overcoming and eight less than what theyre offering so i think thati lost my train of thought. Im sorry. People mentioned to me vacancy tax or something and idea encouraging oewd has been involved in my neighborhood and all the other neighborhoods these positive errors but my neighbor vacancy rates are getting worse. Looks like 2000 await again. Theyre looking at great ways to get this on the market and make a little more painful [inaudible] oewd is currently undertaking a proper look at neighborhood commercial districts. So thats probably cthree vacancy tax. Okay. Just one thought i think commissioner moore might agree on. In these conversations its about the traffic foot pattern and the usage on the street. It could be retail which is great because a lot of in an open if it is an off hybrid of an office and retail, still as long as those for traffic i think it keeps those corridor active when you get to a position where people just in one time and out in the afternoon you have on how that pedestrian activity. Commissioner moore i want to turn the conversation one moment to not just saying, no, there are no conversions but finding exactly the balance of what is right and where i believe we need to say, no, to speculation. It is really only about leveraging space that is currently vacant up until im more rents intensive use, such as office, that is where i think the original intent of the downtown land started good i think it is up to us to fill back some of those elements who were originally forced out out of grant street, between kearney and stockton. Used to have on the upper floors some of the most noted Art Galleries in San Francisco. They are all gone. The majority, the large majority is conquered there used to be some Art Galleries on grant towards sutter. They are all gone. I think that kind of a sweet spot where we are creating the new incentive for those people to be able to return into large suites and to what they did before but complement the kind of more special retail character of what is basically the signature of the district of those are symbiotically highly competitive uses and we at the time were not asked that conversion or that kind of pullout was possible. We also the issue of [inaudible] its a multistory oneofakind Department Store that is national recognition. People come from all over the country to go to this one store and that store has lost its lease. We are not find any way to basically say, either we have a complementary space someplace else where they can move indirectly with what they do or we are losing it. I think its in the creativity of that dialogue that all of us as consumers as commissioners, etc. Can participate to help planning to be really be more bold in the type of solutions they can develop. I definitely would like to volunteer because was a lot of fun when we did small retail. Im not to take anybody elses possibilities but i wouldve to participate. Two other things, commissioner moore mentioned it 24 geary mention it theres a lot of Art Galleries and now theyre moving to the dogpatch and the other thing im thinking of is if we have a Large Real Estate Company coming internationally by a place with certain returns in mind and approve these conversions to office, we are rewarding speculation and its assaults of the filling prophecy. If we draw the line say, no youre not going to get your turn. We need retail there maybe the speculation will slow down or stop. Can i ask one more question . I want to direct that question to ms. Waddy and ms. Are part. The question i have is we are commissioning at this moment a lot of larger projects, bayviews hunter point, candlestick point, all of the new projects have rather large retail components. Are we, when we entirely projects with such a large number is looking into the regional shift of what these large retail components and do or dont . Shouldnt we rather look at more neighborhood or Community FocusRetail Services rather than bigbox and other formula because theyre coming anymore . We see so many large retail actually going into bankruptcy or being close to bankruptcy you can read about them every day. I dont have to mention any names. Its not about names but the trend is quite obvious. We even see santana row, which used to be kind of the full urban lifestyle face and the competing with the union square important details are pulling out. There all of a sudden i heard about five Companies Last week pulling out of there all at once. They all used to be thriving stores but theyre still [inaudible] doesnt work for us anymore. Im asking you, how do you factor that in in your project . Sure. I say generally speaking we do typically in all these large homes with establishing retail and more finegrained neighborhood serving retail. I cant recall the last time that we were strategically planning for large bigbox retail to be located within these mixeduse developments. So i can speak on specifics of any individual project that generally speaking when looking at retail in event large quantities of retail the Larger Development, that an individual space basis i think our tent is for those spaces to be the my zabul were created from the getgo as rosalie smallbore pedestrian orientated neighborhood serving retail mother brought journal regional retail and lesser specific designated areas that are called out as such the Larger Development was such a Treasure Island were such that but typically the base of those buildings would be at a more localized scale. Thank you i have i think we have an action item list retail on its own and maybe secretary you can add that [inaudible] like were trying to do for parking. Thank you thank you very much. Commissioners if theres nothing further we can move onto 5 min. Break since there is four of us. [gavel] good evening and welcome back to the San FranciscoPlanning Commission regular hearing for thursday, march 16 2017. I will remind members of public please, sounds or mobile devices that may sound up during the proceedings. Commissioners we left off on item 10 the market st. Pub project informational presentation. Good evening commissioners. I would say good afternoon but i know its been a long afternoon so ill try to be as concise as i can. Im here today provide an update on the Market Street pub project. This is last before you in october of 2015 that was at the very very early sages of the project. Weve made great progress thus far and i want to provide an update of where we are and hear any feedback you might have. Im just going to provide a quick Product Overview and walk you through the recommendations that we developed thus far. So many of you probably know that the intersection of market valencia haight and gough was no missile because this works for railcars converge. But the vision for the hub is one with more housing, more 04 lauzen, safer and more walkable streets, welcoming and active public spaces, increase capacity and more reliable transit and a complete Neighborhood Services and amenities. The future of the hall is going to look very different than the portals is as it does today so we anticipate between 73009000 new Housing Units up to 2500 affordable units based on the current control, 50 increase in the number people crossing market and that mass and significant investments to transit and streets in the public spaces. This area was included in the market octavia plan which was adopted in 2008 and in the plan the hub was referred to as [inaudible] and envision as the highdensity mixeduse residential neighborhood. Theres a number policies in the plan that really support this vision including the creation of the venice special use district which allows for towers and High Density Residential moment and market and that mass in mission and south [inaudible]. So wildly plans set a framework for this area we really did start receiving Development Applications until 2012. Now their number of projects that are at very different stages. So it projects that have been approved and are moving forward under the existing controls and this includes projects like the tower carwash at 60 no one mission, or, the [inaudible] and then theres other projects working through their entire mind right now 1500 mission, the future office site as well as wood oak and theres other projects that are at the very very e