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Transformation of San Francisco public housing offers community in a long-neglected corner of the city

Redevelopment of the Year for San Francisco
The Amani apartment building provides space for a grocer, a food hall, a city-run wellness center and an early childhood center. (CoStar)
The Amani apartment building provides space for a grocer, a food hall, a city-run wellness center and an early childhood center. (CoStar)
CoStar News
March 25, 2026 | 11:00 AM

Ask your average San Franciscan what this famously picturesque — and expensive — city needs, and they'll probably say more and better affordable housing.

But the two new buildings unveiled late last year as a cornerstone of the sweeping redevelopment of one of San Francisco's largest public housing projects bring more than just new places to live. Amani and Nia, as they've been dubbed, replace some of the city’s most dilapidated public housing. Developer Mercy Housing is also focused on a broader goal of creating an integrated neighborhood with retail, recreation, open space, healthcare, education and arts.

That vision won the project a 2026 CoStar Impact Award for Redevelopment of the Year, as judged by a panel of real estate professionals familiar with the market.

Sunnydale Hope SF is one of four public-private projects — the others are at Hunters View, Alice Griffith and Potrero Hill — in which World War II-era public housing developments are being replaced with affordable housing as well as market-rate units. The developers have spent years consulting with the community in the hope of bringing to life a holistic transformation without displacing the residents, who asked for a revitalization that prioritized racial equity, education and job opportunities, safety, and better lives in general for members of the community.

About the project: The multiphase Sunnydale HOPE SF project is one of four similar public-private partnerships throughout the city. Developers Related California and Mercy Housing aim to transform the city's largest public housing site into a vibrant mixed-income neighborhood with 1,700 new affordable and market-rate homes, plus new streets, infrastructure, parks, amenities, neighborhood-serving retail, community spaces and economic opportunities.

The two five-story buildings have 170 apartments for low-, very-low and extremely-low-income families, with 127 units reserved for existing Sunnydale residents. The buildings have vibrant landscaping and open-air bridges, a central lobby, and a shared community room and parking garage.

Amani has space for a grocer, something the neighborhood has lacked for years, as well as a food hall and city-run wellness center, an early childhood education center and a coworking space for nonprofits. Nia has a cafe and six micro-retail spaces to be subleased to small-business owners.

Across the street is The Hub, a 30,000-square-foot community center with things like a recording studio and an outdoor community garden.

Overcoming an array of financing and logistical challenges, the redevelopment is considered a model of sustainable, large-scale housing redevelopment.

What the judges said: "This project offered much-needed residential units in an area that could use it," said Hans Hansson, president at Starboard Commercial Real Estate.

They made it happen: Elizabeth Kuwada of Mercy and Carlos Vasquez, Mireille Becerra, Thu Nguyen and Ann Silverberg of Related spearheaded the project. Daniel Simons, Stephen Laird Doherty and Meghan McAllister of David Baker Architects oversaw the design with Tom Giarrusso and Gary Hanley of San Francisco modular construction firm NibbiPrefab.

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