SEC. 127. TRANSFER OF PERMITTED BASIC GROSS FLOOR AREA.

(a) The limits upon the floor area ratio of buildings, as defined by this Code, shall be as stated in this Section and Sections 124 through 128.1. The maximum floor area ratio for any building or development shall be equal to the sum of the basic floor area ratio for the district, as set forth in Section 124, plus any premiums and floor area transfers which are applicable to such building or development under Sections 125, 127, 128 and 128.1 and as restricted by the provisions of Sections 123(c) and (d) and 124(b) and (j).

(b) No building or structure or part thereof shall be permitted to exceed, except as stated in Sections 172 and 188 of this Code, the floor area ratio limits herein set forth for the district in which it is located.

(c) In the C-3 Districts, the amount of TDR that may be transferred to a development lot, as allowed by Section 128, is limited as follows:

(1) The gross floor area of a structure on a lot in the C-3-O District may not exceed a floor area ratio of 18 to 1;

(2) The gross floor area of a structure on a lot in the C-3-R, C-3-G and C-3-S Districts may not exceed a floor area ratio that is 1½ times the basic floor area limit for the district as provided in Section 124. This section shall not apply to the C-3-S (SU) District.

(d) The gross floor area of a structure on a lot on which is or has been located a Significant or Contributory Building may not exceed the basic floor area ratio limits stated in Section 124 except as provided in Sections 128(c)(2) and 124(f).

(e) C-3-O(SD) District. To exceed the basic floor area ratio limit of 6.0:1 up to a ratio of 9.0:1, TDR must be transferred to the development lot as described in Section 128 . The use of TDR to exceed a floor area ratio of 9.0:1 shall not be allowed in the C-3-O(SD) district. In order to exceed a floor area ratio of 9.0:1, all projects must participate in the Transit Center District Mello-Roos Community Facilities District as described in Section 424.8. The gross floor area of a structure on a lot in the C-3-O(SD) District shall not otherwise be limited.

(f) A project subject to the TDR requirements of Section 249.78 is subject to the floor area ratio restrictions contained in that Section.

(Amended by Ord. 414-85, App. 9/17/85; Ord. 275-03, File No. 021577, App. 12/10/2003; Ord. 87-07, File No. 061688, App. 4/27/2007; Ord. 182-12 , File No. 120665, App. 8/8/2012, Eff. 9/7/2012; Ord. 296-18, File No. 180184, App. 12/12/2018, Eff. 1/12/2019)

AMENDMENT HISTORY

Division (c)(1) amended; division (e) added; Ord. 182-12 , Eff. 9/7/2012. Divisions (a) and (c) amended; division (f) added; Ord. 296-18, Eff. 1/12/2019.

SEC. 124. BASIC FLOOR AREA RATIO.

(See Interpretations related to this Section.)

(a) Except as provided in subsections (b), (c), (d), (e), and (l) of this Section 124, the basic Floor Area Ratio limits specified in the Zoning Control Table for the district in which the lot is located, or in Table 124 below, shall apply to each building or development in the districts indicated.

TABLE 124 BASIC FLOOR AREA RATIO LIMITS
District	Basic Floor Area Ratio Limit
RED, RED-MX	1.0 to 1
Pacific	1.5 to 1
RH-1(D), RH-1, RH-1(S), RH-2, RH-3	1.8 to 1
RM-1, RM-2
RTO, RTO-M
SPD, NC-1, NCT-1, NC-S
Haight
Inner Clement
Inner Sunset
North Beach
Outer Clement
Sacramento
24th Street-Noe Valley
West Portal
NC-2, NCT-2, RCD	2.5 to 1
Broadway
Folsom Street
Glen Park
Noriega
Ocean Avenue
Irving
Judah
Polk
SoMa
Taraval
24th Street-Mission
Upper Fillmore
Valencia
Castro	3.0 to 1
Hayes-Gough
Union
Upper Market
RM-3	3.6 to 1
RC-3
C-2
NC-3, NCT-3
Excelsior-Outer Mission
Fillmore
Mission Street
RM-4	4.8 to 1
RC-4	4.8 to 1
Chinatown R/NC	1.0 to 1
Chinatown VR	2.0 to 1
Chinatown CB	2.8 to 1
MUG, MUO, MUR, UMU, WMUG, WMUO, SALI in a 40, 45, or 48 foot height district	3.0 to 1
MUG, MUO, MUR, UMU, WMUG, WMUO, SALI in a 50, 55, or 58 foot height district	4.0 to 1
C-3-S	5.0 to 1
MUG, MUO, MUR, UMU, WMUG, WMUO, SALI in a 65 or 68 foot height district
M-1, M-2
C-3-O(SD), C-3-R, C-3-G	6.0 to 1
MUG, MUO, MUR, UMU, WMUG, WMUO, SALI in a 85 foot height district	6.0 to 1
MUG, MUO, MUR, UMU, WMUG, WMUO, in a height district over 85 feet	7.5 to 1
C-3-O	9.0 to 1

(b) In R, RC, NC, and Mixed Use Districts, floor area ratio limits shall not apply to dwellings or to other residential uses. In Chinatown Mixed Use Districts, the above floor area ratio limits shall not apply to institutions, and mezzanine commercial space shall not be calculated as part of the floor area ratio.

(c) In a C-2 District the basic floor area ratio limit shall be 4.8 to 1 for a lot which is nearer to an RM-4 or RC-4 District than to any other R District, and 10.0 to 1 for a lot which is nearer to a C-3 District than to any R District. The distance to the nearest R District or C-3 District shall be measured from the midpoint of the front line, or from a point directly across the street therefrom, whichever gives the greatest ratio.

(d) In the Van Ness Special Use District, as described in Section 243 of this Code, the basic floor area ratio limit shall be 7.0 to 1 where the height limit is 130 feet and at the hospital site within the Van Ness Medical Use Subdistrict, and 4.8 to 1 where the height limit is 80 feet. Within the Van Ness Medical Use Subdistrict, the basic floor area ratio limit shall be 7.5 to 1 for a medical office building, subject to Conditional Use Authorization for a hospital, medical center or other medical institution.

(e) In the Waterfront Special Use Districts, as described in Sections 240 through 240.3 of this Code, the basic floor area ratio limit in any C District shall be 5.0 to 1.

(f) For buildings in C-3-G and C-3-S Districts, other than those designated as Significant or Contributory pursuant to Article 11 of this Code, additional square footage above that permitted by the base floor area ratio limits set forth above may be approved for construction of dwellings on the site of the building affordable for the Life of the Project, as defined in Section 401, to households whose incomes are within 150 percent of AMI, as defined in Section 401, for ownership units and up to 120% of AMI for rental units, in accordance with the conditional use procedures and criteria as provided in Section 303 of this Code. For buildings in the C-3-G District designated as Significant or Contributory pursuant to Article 11 of this Code, additional square footage above that permitted by the base floor area ratio limits set forth above up to the Gross Floor Area of the existing building may be approved, in accordance with the conditional use procedures and criteria as provided in Section 303 of this Code, where: (1) TDRs (as defined by Section 128(a)(5)) were transferred from the lot containing the Significant or Contributory building prior to the effective date of the amendment to Section 124(f) adding this paragraph when the floor area transferred was occupied by a non profit corporation or institution meeting the requirements for exclusion from Gross Floor Area calculation; (2) the additional square footage includes only the amount necessary to accommodate dwelling units and/or group housing units that are affordable for the Life of the Project to households whose incomes are within 60 percent of AMI as defined herein together with any social, educational, and health service space accessory to such units; and (3) the proposed change in use to dwelling units and accessory space and any construction associated therewith, if it requires any alternation to the exterior or other character defining features of the Significant or Contributory Building, is undertaken pursuant to the duly approved Permit to Alter, pursuant to Section 1110, provided, however, that the procedures otherwise required for a Major Alteration as set forth in Sections 1111.4 and 1111.5 and shall be deemed applicable to any such Permit to Alter.

(1) Any dwelling approved for construction under this provision shall be deemed a "Designated Unit" as defined below. Prior to the issuance by the Director of the Department of Building Inspection ("Director of Building Inspection") of a First Construction Document to construct any Designated Unit subject to this Section, the permit applicant shall notify the Director of Planning and the Director of MOHCD in writing whether the Designated Unit will be an owned or rental unit as defined in Section 401 of this Code.

(2) Unless specifically stated in this Section 124(f), each designated unit shall be subject to the provisions of Section 415 of this Code. For purposes of this Subsection and the application of Section 415 of this Code to Designated Units constructed pursuant to this Subsection, the definitions set forth in Section 401 of this Code shall apply.

(3) Except as specifically specified herein, Designated Units shall meet all of the procedures, pricing methodology, monitoring obligations and other requirements of the Inclusionary Housing Procedures Manual and either:

(A) Be used to satisfy the requirements of the Inclusionary Affordable Housing Program, Section 415 et seq., and meet all of the requirements of that Program, including the income limits specified therein; or

(B) Meet the requirements of this subsection (f), including the income limits specified, and be family sized, meaning that each Designated Unit contains at least 2 or 3 bedrooms. In the event that the Designated Unit is not also an On- or Off-site Unit under Section 415, Designated Units shall not be used to determine the required unit size mix for purposes of the Inclusionary Affordable Housing Program.

(4) MOHCD shall update its Procedures Manual if necessary to include any specific provisions related to Designated Units.

(5) Affordable unit gross square footage which is exempted per this section for FAR shall not be exempted for impact fees that are levied on a gross square foot or FAR basis.

(g) The allowable Gross Floor Area on a lot which is the site of an unlawfully demolished building that is governed by the provisions of Article 11 shall be the Gross Floor Area of the demolished building for the period of time set forth in, and in accordance with the provisions of, Section 1116 of this Code, but not to exceed the basic floor area permitted by this Section.

(h) In calculating the permitted floor area of a new structure in a C-3 District, the lot on which an existing structure is located may not be included unless the existing structure and the new structure are made part of a single development complex, the existing structure is or is made architecturally compatible with the new structure, and, if the existing structure is in a Conservation District, the existing structure meets or is made to meet the standards of Section 1109(c), and the existing structure meets or is reinforced to meet the standards for seismic loads and forces of the Building Code. Determinations under this Paragraph shall be made in accordance with the provisions of Section 309.

(i) In calculating allowable Gross Floor Area on a preservation lot from which any TDRs have been transferred pursuant to Section 128, the amount allowed herein shall be decreased by the amount of gross floor area transferred.

(j) For buildings in C-3-G and C-3-S Districts that are not designated as Significant or Contributory pursuant to Article 11 of this Code, additional square footage above that permitted by the base floor area ratio limits set forth above may be approved for construction of a project, or portion thereof, that constitutes a Student Housing project, as defined in Section 102 of this Code. Such approval shall be subject to the conditional use procedures and criteria in Section 303 of this Code.

(k) In the Cesar Chavez/Valencia Streets Medical Use Special Use District, as described in Section 249.68 of this Code, the basic floor area ratio limit shall be 2.6 to 1, subject to Conditional Use Authorization of a Hospital.

(l) For PDR-1-B, PDR-1-D, PDR-1-G and PDR-2 Districts see Table 210.3.

(Amended by Ord. 414-85, App. 9/17/85; Ord. 69-87, App. 3/13/87; Ord. 131-87, App. 4/24/87; Ord. 445-87, App. 11/12/87; Ord. 537-88, App. 12/16/88; Ord. 115-90, App. 4/6/90; Ord. 15-98, App. 1/16/98; Ord. 262-00, File No. 001426, App. 11/17/2000; Ord. 275-03, File no. 021577, App. 12/10/2003; Ord. 87-07, File No. 061688, App. 4/27/2007; Ord. 72-08, File No. 071157, App. 4/3/2008; Ord. 298-08, File No. 081153, App. 12/19/2008; Ord. 61-09, File No. 090181, App. 4/17/2009; Ord. 63-11, File No. 101053, App. 4/7/2011, Eff. 5/7/2011; Ord. 35-12 , File No. 111305, App. 2/21/2012, Eff. 3/22/2012; Ord. 188-12 , File No. 111374, App. 9/11/2012, Eff. 10/11/2012; Ord. 42-13 , File No. 130002, App. 3/28/2013, Eff. 4/27/2013; Ord. 131-13 , File No. 120357, App. 7/11/2013, Eff. 8/10/2013, Oper. 9/9/2013; Ord. 132-13 , File No. 120358, App. 7/11/2013, Eff. 8/10/2013, Oper. 9/9/2013; Ord. 22-15, File No. 141253, App. 2/20/2015, Eff. 3/22/2015; Ord. 164-15 , File No. 150348, App. 9/23/2015, Eff. 10/23/2015, Retro. 5/20/2015; Ord. 188-15 , File No. 150871, App. 11/4/2015, Eff. 12/4/2015; Ord. 26-18, File No. 171193, App. 2/23/2018, Eff. 3/26/2018; Ord. 296-18, File No. 180184, App. 12/12/2018, Eff. 1/12/2019; Ord. 70-23, File No. 220340, App. 5/3/2023, Eff. 6/3/2023; Ord. 33-24, File No. 231144, App. 2/21/2024, Eff. 3/23/2024)

AMENDMENT HISTORY

Divisions (b), (d), (f), (f)(1), and (f)(3) amended; Ord. 63-11, Eff. 5/7/2011. [Former] Table 124 amended; Ord. 35-12 , Eff. 3/22/2012. Division (k) added; Ord. 188-12 , Eff. 10/11/2012. [Former] Table 124 amended; Ord. 42-13 , Eff. 4/27/2013. Division (d) amended; Ord. 131-13 , Oper. 9/9/2013. Division (a) amended; division (l) added; Ord. 132-13 , Oper. 9/9/2013. Division (a) amended and former Table 124 deleted; divisions (f), (g), (h), (j), (k), and (l) amended; Ord. 22-15, Eff. 3/22/2015. Divisions (f)-(f)(3) amended; new divisions (f)(4) and (5) added; Ord. 164-15 , Eff. 10/23/2015. Division (a) amended; new Table 124 added; Ord. 188-15 , Eff. 12/4/2015. Division (f)(1) amended; Ord. 26-18, Eff. 3/26/2018. Division (a), Table 124, and divisions (j)-(j)(1) amended; Ord. 296-18, Eff. 1/12/2019. Division (i) amended; divisions (j)-(j)(2) deleted; divisions (k) and (l) redesignated as (j) and (k); Ord. 70-23, Eff. 6/3/2023. Table 124 amended; division (l) added; Ord. 33-24, Eff. 3/23/2024.

Editor's Note:
Ordinance 155-15 (File No. 150348, App. 8/6/2015, Eff. 9/5/2015) purported to amend this section. At the direction of the Office of the City Attorney, Ord. 155-15 was never codified (and accordingly is not referenced in the history notes above). Its provisions effectively were superseded by Ord. 164-15 (File No. 150348, App. 9/23/2015, Eff. 10/23/2015, Retro. 5/20/2015).

SEC. 124.1. FLOOR AREA RATIO EXCEPTIONS: CHINATOWN.

(See Interpretations related to this Section.)

(a) The floor area ratios set forth for the Chinatown Residential Neighborhood Commercial District shall not apply to projects which have received commitment for Community Development Block Grant funds as of January 10, 1985 for creation of new housing. The applicable floor area ratios shall be those in effect on January 9, 1985.

(b) In the Chinatown Community Business District, Chinatown Visitor Retail District and the Chinatown Residential Neighborhood Commercial District, mezzanine commercial space and institutional use shall not be included in computation of the floor area ratios. A deed restriction limiting the space to institutional use shall be recorded on the property by the property owner.

(c) The floor area ratios set forth for the Chinatown Residential Neighborhood Commercial District shall not apply to hospitals or medical centers. The applicable floor area ratio for hospitals or medical centers shall be 4.8.

(d) The floor area ratios set forth for the Chinatown Mixed Use District shall not apply to any existing business originally located within or partially within a Chinatown Mixed Use District as of the effective date of this ordinance which must relocate as a result of acquisition by the City and County of San Francisco of the real property on which the business is situated. Such use must be the same as that use existing on the effective date of the ordinance. The applicable floor area ratio shall be a maximum of 4.8 or a lesser amount sufficient to accommodate replacement of improved property and parking used on a regular basis in connection with the business needing to relocate as determined by the Zoning Administrator.

(Added by Ord. 131-87, App. 4/24/87)

SEC. 125. FLOOR AREA PREMIUMS, DISTRICTS OTHER THAN NC, C-3 AND MIXED USE.

In any district other than an NC, C-3, or Mixed Use District in which a floor area ratio limit applies, the following premiums, where applicable, may be added to the basic floor area ratio limit to determine the maximum floor area ratio for a building or development:

(a) For a lot or portion thereof which is defined by this Code as a corner lot, a floor area premium may be added by increasing the area of the lot or portion, for purposes of floor area computation, by 25 percent;

(b) For a lot or portion thereof which is defined by this Code as an interior lot, and which abuts along its rear lot line upon a street or alley, a floor area premium may be added by increasing the depth of the lot or portion along such street or alley, for purposes of floor area ratio computation, by one-half the width of such street or alley or 10 feet, whichever is the lesser.

(Amended by Ord. 443-78, App. 10/6/78; Ord. 69-87, App. 3/13/87; Ord. 131-87, App. 4/24/87)

SEC. 127. TRANSFER OF PERMITTED BASIC GROSS FLOOR AREA.

(a) When Allowed. The maximum permitted Gross Floor Area for any building or development on a lot may be increased by transfer to such lot of basic Gross Floor Area that is permitted in the Zoning Control Table for the district in which the lot is located but unbuilt upon an adjacent lot that is occupied by an historical, architectural or aesthetic landmark that has been so designated by the Board of Supervisors pursuant to Article 10 of this Code. For the purposes of this Section, an "adjacent lot" is one that either abuts for a distance not less than 25 feet along a side or rear lot line of the lot to which the basic gross floor area transfer is made (hereinafter referred to as the "transferee lot"), or would so abut for such a distance if not separated solely by a street or an alley.

(b) Amount of TDR Available for Transfer. The maximum TDR available for transfer from a Transfer Lot consists of the difference between (1) the allowable gross floor area permitted on the Transfer Lot by Section 124 and (2) the gross floor area of the development located on the Transfer Lot.

(c) Eligibility of Development Lots and Limitation on Use of TDR on Development Lots. TDR may be used to increase the allowable Gross Floor Area of a development on a Development Lot if the following requirements and restrictions are satisfied:

(1) Transfer of Development Rights shall be limited to the following:

(A) The Transfer Lot and the Development Lot are located in a C-3 Zoning District; or

(B) the Transfer Lot contains a Significant building and is located in the South of Market Extended Preservation District, as set forth in Section 819, and the Development Lot is located in a C-3 District; or

(C) the Transfer Lot is in a P District adjacent to a C-3 District and meets the requirements established in subsection (a)(4) above and the Development Lot is located in a C-3 District; or

(D) the Transfer Lot is located in any C-3 District and contains an individual landmark designated pursuant to Article 10 and the Development Lot is located in any C-3 District.

(2) TDR may not be transferred for use on any lot on which is or has been located a Significant or Contributory building; provided that this restriction shall not apply if the designation of a building is changed to Unrated; nor shall it apply if the Historic Preservation Commission finds that the additional space resulting from the transfer of TDR is essential to make economically feasible the reinforcement of a Significant or Contributory building to meet the standards for seismic loads and forces of the Building Code, in which case TDR may be transferred for that purpose subject to the limitations of this Section and Article 11, including Section 1111.6. Any alteration shall be governed by the requirements of Sections 1111 to 1111.6.

(3) Notwithstanding any other provision of this Section, development on a Development Lot is limited by the provisions of this Code, other than those on floor area ratio, governing the approval of projects, including the requirements relating to height, bulk, setback, sunlight access, and separation between towers, and any limitations imposed pursuant to Section 309 review applicable to the Development Lot. The total allowable gross floor area of a development on a Development Lot may not exceed the limitation imposed by Section 123(c).

(d) Limitations. No transfer of permitted gross floor area shall serve to increase the total gross floor area permitted under this Code on the adjacent lot and the transferee lot taken together, either presently or prospectively. No building permit application shall be approved by the Planning Department at any time, nor shall any building permit be issued by any City department at any time, if the result of such approval or issuance would be to increase the total permitted Gross Floor Area of both such lots taken together above such total as calculated on the basis of the floor area ratio limits prevailing at that time for such lots.

(e) Completed Transfers. Any transfer of permitted Gross Floor Area completed prior to the effective date of this Section shall be effective notwithstanding the location of the transferee lot outside the C-3-O District and notwithstanding the aggregate transfer of more than ½ the gross floor area permitted on the adjacent lot under the basic floor area ratio limit, provided all other conditions of this Section have been met.

(f) Restrictions on Transfer. Any restrictions or limitations imposed upon any lot by virtue of the transfer of Gross Floor Area permitted by this Section shall remain in effect notwithstanding an amendment of this Section which removes authorization for such a transfer.

(Amended by Ord. 414-85, App. 9/17/85; Ord. 22-15, File No. 141253, App. 2/20/2015, Eff. 3/22/2015)

AMENDMENT HISTORY

Divisions (a) and (f) amended; Ord. 22-15, Eff. 3/22/2015.

SEC. 128. TRANSFER OF DEVELOPMENT RIGHTS IN C-3 DISTRICTS.

(a) Definitions.

(1) "Development Lot." A lot to which TDR may be transferred to increase the allowable gross floor area of development thereon beyond that otherwise permitted by the Zoning Control Table for the district in which the lot is located.

(2) "Owner of Record." The owner or owners of record in fee.

(3) "Preservation Lot." A parcel of land on which is either (A) a Significant or Contributory building (as designated pursuant to Article 11); or (B) a Category V Building that has complied with the eligibility requirement for transfer of TDR as set forth in Section 1109(c); or (C) a structure designated an individual landmark pursuant to Article 10 of this Code. The boundaries of the Preservation Lot shall be the boundaries of the Assessor's lot on which the building is located at the time the ordinance or, as to Section 1109(c), resolution, making the designation is adopted, unless boundaries are otherwise specified in the ordinance.

(4) "Transfer Lot." A Preservation Lot located in a C-3 District from which TDR may be transferred. A lot zoned P (public) may in no event be a Transfer Lot unless a building on that lot is (A) owned by the City and County of San Francisco; and (B) located in a P District adjacent to a C-3 District; and (C) designated as an individual landmark pursuant to Article 10 of this Code, designated as a Category I Significant Building pursuant to Article 11 of this Code, or listed on the National Register of Historic Places; and (D) the TDR proceeds are used to finance, in whole or in part, a project to rehabilitate and restore the building in accordance with the Secretary of Interior standards. For the purposes of Section 128(b), a lot zoned P that satisfies the criteria of this Subsection (4) to qualify as a "Transfer Lot" shall be deemed to have an allowable gross floor area of 7.5:1 under Section 124.

(5) "Transferable Development Rights (TDR)." Units of gross floor area that may be transferred, pursuant to the provisions of this Section and Article 11 of this Code, from a Transfer Lot to increase the allowable gross floor area of a development on a Development Lot.

(6) "Unit of TDR." One unit of TDR is one square foot of gross floor area.

(b) Amount of TDR Available for Transfer. The maximum TDR available for transfer from a Transfer Lot consists of the difference between (1) the allowable Gross Floor Area permitted on the Transfer Lot by the Zoning Control Table for the district in which the lot is located; and (2) the Gross Floor Area of the development located on the Transfer Lot.

(c) Eligibility of Development Lots and Limitation on Use of TDR on Development Lots. TDR may be used to increase the allowable gross floor area of a development on a Development Lot if the following requirements and restrictions are satisfied:

(1) Transfer of Development Rights shall be limited to the following:

(A) The Transfer Lot and the Development Lot are located in a C-3 Zoning District; or

(C) the Transfer Lot is in a P District adjacent to a C-3 District and meets the requirements established in subsection (a)(4) above and the Development Lot is located in a C-3 District; or

(D) the Transfer Lot is located in any C-3 District and contains an individual landmark designated pursuant to Article 10 and the Development Lot is located in any C-3 District.

(d) Effect of Transfer of TDR. Transfer of TDR from a Transfer Lot permanently reduces the development potential of the Transfer Lot by the amount of the TDR transferred, except as provided in Section 124(f). In addition, transfer of TDR from a Preservation Lot containing a Contributory building or an individual landmark designated pursuant to Article 10 causes such building to become subject to the same restrictions on demolition and alteration, and the same penalties and enforcement remedies, that are applicable to Significant Buildings Category I, as provided in Article 11.

(e) Procedure for Determining TDR Eligibility.

(1) In order to obtain a determination of whether a lot is a Transfer Lot and, if it is, of the amount of TDR available for transfer, the owner of record of the lot may file an application with the Zoning Administrator for a Statement of Eligibility. The application for a Statement of Eligibility shall contain or be accompanied by plans and drawings and other information which the Zoning Administrator determines is necessary in order to determine whether a Statement of Eligibility can be issued. Any person who applies for a Statement of Eligibility prior to expiration of the time for request of reconsideration of designation authorized in Section 1106 shall submit in writing a waiver of the right to seek such reconsideration.

(2) The Zoning Administrator shall, upon the filing of an application for a Statement of Eligibility and the submission of all required information, issue either a proposed Statement of Eligibility or a written determination that no TDR are available for transfer and shall mail that document to the applicant and to any other person who has filed with the Zoning Administrator a written request for a copy, and shall post the proposed Statement of Eligibility or written determination on the Planning Department website. Any appeal of the proposed Statement of Eligibility or determination of noneligibility shall be filed with the Board of Appeals within 20 days of the date of issuance of the document. If not appealed, the proposed Statement of Eligibility or the determination of noneligibility shall become final on the 21st day after the date of issuance. The Statement of Eligibility shall contain at least the following information:

(A) the name of the owner of record of the Transfer Lot;

(B) the address, legal description and Assessor's Block and Lot of the Transfer Lot;

(D) whether the Transfer Lot contains a Significant or Contributory building, a Category V building, or an Article 10 individually designated landmark;

(E) the amount of TDR available for transfer; and

(F) the date of issuance.

(3) Once the proposed Statement of Eligibility becomes final, whether through lack of appeal or after appeal, the Zoning Administrator shall record the Statement of Eligibility in the Office of the County Recorder. The County Recorder shall be instructed to mail the original of the recorded document to the owner of record of the Transfer Lot and a conformed copy to the Zoning Administrator.

(f) Cancellation of Eligibility.

(1) If reasonable grounds should at any time exist for determining that a building on a Preservation Lot may have been altered or demolished in violation of Articles 10 or 11, including Sections 1110 and 1111 thereof, the Zoning Administrator may issue and record with the County Recorder a Notice of Suspension of Eligibility for the affected lot and, in cases of demolition of a Significant or Contributory building, a notice that the restriction on the floor area ratio of a replacement building may be applicable and shall mail a copy of such notice to the owner of record of the lot. The notice shall provide that the property owner shall have 20 days from the date of the notice in which to request a hearing before the Zoning Administrator in order to dispute this initial determination. If no hearing is requested, the initial determination of the Zoning Administrator is deemed final on the twenty-first day after the date of the notice, unless the Zoning Administrator has determined that the initial determination was in error.

(2) If a hearing is requested, the Zoning Administrator shall notify the property owner of the time and place of hearing, which shall be scheduled within 21 days of the request, shall conduct the hearing, and shall render a written determination within 15 days after the close of the hearing. If the Zoning Administrator shall determine that the initial determination was in error, that officer shall issue and record a Notice of Revocation of Suspension of Eligibility. Any appeal of the determination of the Zoning Administrator shall be filed with the Board of Appeals within 20 days of the date of the written determination following a hearing or, if no hearing has been requested, within 20 days after the initial determination becomes final.

(3) If after an appeal to the Board of Appeals it is determined that an unlawful alteration or demolition has occurred, or if no appeal is taken of the determination by the Zoning Administrator of such a violation, the Zoning Administrator shall record in the Office of the County Recorder a Notice of Cancellation of Eligibility for the lot, and shall mail to the property owner a conformed copy of the recorded Notice. In the case of demolition of a Significant or Contributory Building, the Zoning Administrator shall record a Notice of Special Restriction noting the restriction on the floor area ratio of the Preservation Lot, and shall mail to the owner of record a certified copy of the Notice. If after an appeal to the Board of Appeals it is determined that no unlawful alteration or demolition has occurred, the Zoning Administrator shall issue and record a Notice of Revocation of Suspension of Eligibility and, if applicable, a Notice of Revocation of the Notice of Special Restriction, and shall mail conformed copies of the recorded notices to the owner of record.

(4) No notice recorded under this Section 128(f) shall affect the validity of TDR that have been transferred from the affected Transfer Lot in compliance with the provisions of this Section prior to the date of recordation of such notice, whether or not such TDR have been used.

(g) Procedure for Transfer of TDR.

(1) TDR from a single Transfer Lot may be transferred as a group to a single transferee or in separate increments to several transferees. TDR may be transferred either directly from the original owner of the TDR to the owner of a Development Lot or to persons, firms or entities who acquire the TDR from the original owner of the TDR and hold them for subsequent transfer to other persons, firms, entities or to the owners of a Development Lot or Lots.

(2) When TDR are transferred, they shall be identified in each Certificate of Transfer by a number. A single unit of TDR transferred from a Transfer Lot shall be identified by the number "1." Multiple units of TDR transferred as a group for the first time from a Transfer Lot shall be numbered consecutively from "1" through the number of units transferred. If a fraction of a unit of TDR is transferred, it shall retain its numerical identification. (For example, if 5,000-1/2 TDR are transferred in the initial transfer from the Transfer Lot, they would be numbered "1 through 5,000 and one-half of 5,001.") TDR subsequently transferred from the Transfer Lot shall be identified by numbers taken in sequence following the last number previously transferred. (For example if the first units of gross floor area transferred from a Transfer Lot are numbered 1 through 10,000, the next unit transferred would be number 10,001.) If multiple units transferred from a Transfer Lot are subsequently transferred separately in portions, the seller shall identify the TDR sold by numbers which correspond to the numbers by which they were identified at the time of their transfer from the Transfer Lot. (For example, TDR numbered 1 through 10,000 when transferred separately from the Transfer Lot in two equal portions would be identified in the two Certificates of Transfer as numbers 1 through 5,000 and 5,001 through 10,000.) Once assigned numbers, TDR retain such numbers for the purpose of identification through the process of transferring and using TDR. The phrase "numerical identification," as used in this section, shall mean the identification of TDR by numbers as described in this Subsection.

(3) Transfer of TDR from the Transfer Lot shall not be valid unless (A) a Statement of Eligibility has been recorded in the Office of the County Recorder prior to the date of recordation of the Certificate of Transfer evidencing such transfer and (B) a Notice of Suspension of Eligibility or Notice of Cancellation of Eligibility has not been recorded prior to such transfer or, if recorded, has thereafter been withdrawn by an appropriate recorded Notice of Revocation or a new Statement of Eligibility has been thereafter recorded.

(4) Transfer of TDR, whether by initial transfer from a Transfer Lot or by a subsequent transfer, shall not be valid unless a Certificate of Transfer evidencing such transfer has been prepared and recorded. The Zoning Administrator shall prepare a form of Certificate of Transfer and all transfers shall be evidenced by documents that are substantially the same as the Certificate of Transfer form prepared by the Zoning Administrator, which form shall contain at least the following:

(A) For transfers from the Transfer Lot only:

(i) Execution and acknowledgement by the original owner of TDR as the transferor(s) of the TDR; and

(ii) Execution and acknowledgment by the Zoning Administrator; and

(iii) A notice, prominently placed and in all capital letters, preceded by the underlined heading "Notice of Restriction," stating that the transfer of TDR from the Transfer Lot permanently reduces the development potential of the Transfer Lot by the amount of TDR transferred, with reference to the provisions of this Section.

(B) For all transfers:

(i) The address, legal description, Assessor's Block and Lot, and C-3 use district of the Transfer Lot from which the TDR originates; and

(ii) The amount and sale price of TDR transferred; and

(iii) Numerical identification of the TDR being transferred; and

(iv) The names and mailing addresses of the transferors and transferees of the TDR; and

(v) Execution and acknowledgment by the transferors and transferees of the TDR; and

(vi) A reference to the Statement of Eligibility, including its recorded instrument number and date of recordation, and a recital of all previous transfers of the TDR, including the names of the transferors and transferees involved in each transfer and the recorded instrument number and date of recordation of each Certificate of Transfer involving the TDR, including the transfer from the Transfer Lot which generated the TDR.

(5) When a Certificate of Transfer for the transfer of TDR from a Transfer Lot is presented to the Zoning Administrator for execution, that officer shall not execute the document if a transfer of the TDR would be prohibited by any provision of this Section or any other provision of this Code. The Zoning Administrator shall, within five business days from the date that the Certificate of Transfer is submitted for execution, either execute the Certificate of Transfer or issue a written determination of the grounds requiring a refusal to execute the Certificate.

(6) Each duly executed and acknowledged Certificate of Transfer containing the information required herein shall be presented for recordation in the Office of the County Recorder and shall be recorded by the County Recorder. The County Recorder shall be instructed to mail the original Certificate of Transfer to the person and address designated thereon and shall be given a copy of the Certificate of Transfer and instructed to conform the copy and mail it to the Zoning Administrator.

(h) Certificate of Transfer of TDR for a Project on a Development Lot.

(1) When the use of TDR is necessary for the approval of a building permit for a project on a Development Lot, the Director of the Department of Building Inspection shall not approve issuance of the permit unless the Zoning Administrator has issued a written certification that the owner of the Development Lot owns the required number of TDR. When the transfer of TDR is necessary for the approval of a site permit for a project on a Development Lot, the Zoning Administrator shall impose as a condition of approval of the site permit the requirement that the Director of the Department of Building Inspection shall not issue the first addendum to the site permit unless the Zoning Administrator has issued a written certification that the owner of the Development Lot owns the required number of TDR.

(2) In order to obtain certification as required in Section 128(h)(1), the permit applicant shall present to the Zoning Administrator:

(A) Information necessary to enable the Zoning Administrator to prepare the Notice of Use of TDR, which information shall be at least the following:

(i) The address, legal description, Assessor's Block and Lot, and zoning classification of the Development Lot;

(ii) The name and address of the owner of record of the Development Lot;

(iii) Amount and numerical identification of the TDR being used;

(iv) A certified copy of each Certificate of Transfer evidencing transfer to the owner of the Development Lot of the TDR being used; and

(B) A report from a title insurance company showing the holder of record of the TDR to be used, all Certificate of Transfer of the TDR, and all other matters of record affecting such TDR. In addition to showing all such information, the report shall guarantee that the report is accurate and complete and the report shall provide that in the event that its guarantee or any information shown in the report is incorrect, the title company shall be liable to the City for the fair market value of the TDR at the time of the report. The liability amount shall be not less than $10,000 and no more than $1,000,000, the appropriate amount to be determined by the Zoning Administrator based on the number of TDR being used.

(C) An agreement whereby the owner of the Development Lot shall indemnify the City against any and all loss, cost, harm or damage, including attorneys' fees, arising out of or related in any way to the assertion of any adverse claim to the TDR, including any loss, cost, harm or damage occasioned by the passive negligence of the City and excepting only that caused by the City's sole and active negligence. The indemnity agreement shall be secured by a financial balance sheet certified by an auditor or a corporate officer showing that the owner has assets equal to or greater than the value of the TDR, or other security satisfactory to Planning Department and the City Attorney.

(3) If the Zoning Administrator determines that the project applicant has complied with the provisions of Subsection (h)(2) and all other applicable provisions of this Section, and that the applicant is the owner of the TDR, that officer shall transmit to the Director of the Department of Building Inspection, with a copy to the project applicant, written certification that the owner of the Development Lot owns the TDR. Prior to transmitting such certification, the Zoning Administrator shall prepare a document entitled Notice of Use of TDR stating that the TDR have been used and may not be further transferred, shall obtain the execution and acknowledgment on the Notice of the owner of record of the Development Lot, shall execute and acknowledge the Notice, shall record it in the Office of the County Recorder, and shall mail to the owner of record of the Development Lot a conformed copy of the recorded Notice. If the Zoning Administrator determines that the project applicant is not the owner of the TDR, or has not complied with all applicable provisions of this Section, that determination shall be set forth in writing along with the reasons therefore. The Zoning Administrator shall either transmit certification or provide a written determination that certification is inappropriate within 10 business days after the receipt of all information required pursuant to Subsection (h)(2).

(i) Cancellation of Notice of Use; Transfer from Development Lot.

(1) The owner of a Development Lot for which a Notice of Use of TDR has been recorded may apply for a Cancellation of Notice of Use if (A) the building permit or site permit for which the Notice of Use was issued expires or was revoked or cancelled prior to completion of the work for which such permit was issued and the work may not be carried out; or (B) any administrative or court decision is issued or any ordinance or initiative or law is adopted which does not allow the applicant to make use of the permit; or (C) a portion or all of such TDR are not used.

(2) If the Zoning Administrator determines that the TDR have not been and will not be used on the Development Lot based on the reasons set forth in subsection (i)(1), the Zoning Administrator shall prepare the Cancellation of Notice of Use of TDR. If only a portion of the TDR which had been acquired are not being used, the applicant may identify which TDR will not be used and the Cancellation of Notice of Use of TDR shall apply only to those TDR. The Zoning Administrator shall obtain on the Cancellation of Notice of Use of TDR the signature and acknowledgment of the owner of record of the Development Lot as to which the Notice of Use of TDR was recorded, shall execute and acknowledge the document, and shall record it in the office of the County Recorder.

(3) Once a Cancellation of Notice of Use of TDR has been recorded, the owner of the Development Lot may apply for a Statement of Eligibility in order to transfer the TDR identified in that document. The procedures and requirements set forth in this Section governing the transfer of TDR shall apply to the transfer of TDR from the owner of a Development Lot after a Notice of Use has been filed, except for the provisions of this Section permanently restricting the development potential of a Transfer Lot upon the transfer of TDR; provided, however, that the district or districts to which the TDR may be transferred shall be the same district or districts to which TDR could have been transferred from the Transfer Lot that generated the TDR.

(j) Erroneous Notice of Use; Revocation of Permit. If the Zoning Administrator determines that a Notice of Use of TDR was issued or recorded in error, that officer may direct the Director of the Department of Building Inspection to suspend any permit issued for a project using such TDR, in which case the Director of the Department of Building Inspection shall comply with that directive. The Zoning Administrator shall thereafter conduct a noticed hearing in order to determine whether the Notice of Use of TDR was issued or recorded in error. If it is determined that the Notice of Use of TDR was issued or recorded in error, the Director of the Department of Building Inspection shall revoke the permit; provided, however, that no permit authorizing such project shall be revoked if the right to proceed thereunder has vested under California law. If it is determined that the Notice of Use of TDR was not issued or recorded in error, the permit shall be reinstated.

(k) Effect of Repeal or Amendment. TDR shall convey the rights granted herein only so long and to the extent as authorized by the provisions of this Code. Upon repeal of such legislative authorization, TDR shall there after convey no rights or privileges. Upon amendment of such legislative authorization, TDR shall thereafter convey only such rights and privileges as are permitted under the amendment. No Statement of Eligibility shall convey any right to use, transfer or otherwise utilize TDR if the maximum floor area ratio for the Transfer Lot is reduced after the Statement of Eligibility is issued.

(l) Preservation Rehabilitation, and Maintenance Requirements for Preservation Lots.

(1) In addition to the material required to be submitted with an application for a Certificate of Transfer for initial transfer from the Transfer Lot set forth in subsection 128(g), the owner of the Transfer Lot shall:

(A) Demonstrate that any and all outstanding Notices of Violation have been abated; and

(B) Submit for approval by the Department a Preservation, Rehabilitation, and Maintenance Plan that describes any proposed preservation and rehabilitation work and that guarantees the maintenance and upkeep of the Transfer Lot. This Plan shall include:

(i) a plan for the ongoing maintenance of the Transfer Lot;

(ii) information regarding the nature and cost of any rehabilitation, restoration or preservation work to be conducted on the Transfer Lot, including information about any required seismic, life safety, or disability access work;

(iii) a construction schedule; and

(iv) any other such information as the Department may require to determine compliance of this subsection 128(l).

All such work, shall comply with the Secretary of the Interior's Standards for the Treatment of Historic Properties. The requirements of the approved Plan shall be recorded along with the final Certificate of Transfer in the Office of the County Recorder.

Notwithstanding the foregoing, the owner of the Transfer Lot may apply to the Department for a hardship exemption from the requirements of subsection (i). Such hardship exemption shall demonstrate to the satisfaction of the Department that sale of TDR is necessary to fund the work required to cure the outstanding Notice(s) of Violation on the Transfer Lot.

(2) Approval of the Certificate of Transfer for initial transfer from the Transfer Lot shall be conditioned on execution of the requirements described in subsection (l)(1). Once any TDR is transferred from the Transfer Lot, the Certificate of Transfer and conditions may not be withdrawn.

(3) Within one year of the issuance of the Certificate of Transfer for initial transfer from the Transfer Lot, the owner of the Transfer Lot shall submit a status report to the Department detailing how the requirements of subsection (l)(1) have been completed and describing ongoing maintenance activities. Such report shall include: (A) information detailing the work completed; (B) copies of all permits obtained for the work, including any Certificates of Appropriateness or Permits to Alter; (C) any inspection reports or other documentation from the Department of Building Inspection showing completion of the work; (D) itemized receipts of payment for work performed; and (E) any such other documentation as the Department may require to determine compliance with the requirements of this subsection 128(l). The deadline for completion of the work and submittal of this report may be extended at the discretion of the Department upon application of the owner of the Transfer Lot and only upon a showing that the owner has diligently pursued all required permits and completion of the work.

(4) Failure to comply with the requirements of this subsection (l), including all reporting requirements, shall be grounds for enforcement under this Code, including but not limited to under Sections 176 and 176.1. Penalties for failure to comply may include, but shall not be limited to, a lien on the Transfer Lot equal to the sale price of the TDR sold.

(Added by Ord. 414-85, App. 9/17/85; amended by Ord. 115-90, App. 4/6/90; Ord. 21-03, File No. 020328, App. 2/21/2003; Ord. 77-04, File No. 031930, App. 5/6/2004; Ord. 87-07, File No. 061688, App. 4/27/2007; Ord. 246-10, File No. 100851, App. 10/14/2010; Ord. 256-10, File No. 101200, App. 11/5/2010; Ord. 68-13 , File No. 120474, App. 4/23/2013, Eff. 5/23/2013; Ord. 22-15, File No. 141253, App. 2/20/2015, Eff. 3/22/2015)

AMENDMENT HISTORY

References to officials and bodies updated and/or corrected throughout; internal subdivisions redesignated consistently throughout; in division (c)(1), former subdivisions (i) and (iii) amended and redesignated as (A) and (B), former subdivisions (v) and (vi) redesignated as (C) and (D), and former subdivisions (ii) and (iv) deleted; divisions (f)(1), (f)(3), and (l)(1) through (4) amended; Ord. 68-13 , Eff. 5/23/2013. Divisions (a)(1) and (b) amended; Ord. 22-15, Eff. 3/22/2015.

SEC. 128.1. TRANSFER OF DEVELOPMENT RIGHTS IN THE CENTRAL SOMA SPECIAL USE DISTRICT.

(a) Purpose. The purpose of this Section is to use Transferable Development Rights to facilitate the economic viability of buildings that are of civic importance, that are not built to their full development potential, and that are within the Central SoMa Special Use District, established in Section 249.78.

(b) Definitions.

“Development Lot.” A lot within the Central SoMa Special Use District to which Transferable Development Rights may be transferred. The following areas are exempted from the calculation of the Development Lot area: land dedicated to the City for affordable housing pursuant to Section 249.78 or land dedicated to the City for publicly-owned parks or publicly-owned recreation centers pursuant to Section 263.32 or 263.34.

“Preservation Lot.” A parcel of land within the Central SoMa Special Use District on which exists (1) a Significant or Contributory Building, as designated pursuant to Article 11 of this Code; or (2) a structure designated as an individual landmark or as contributory to a historic district designated pursuant to Article 10 of this Code. The boundaries of the Preservation Lot shall be the boundaries of the Assessor’s Lot on which the building is located at the time the ordinance making the designation is adopted, unless boundaries are otherwise specified in that ordinance.

“Transfer Lot.” Within the Central SoMa Special Use District, a Transfer Lot is a Preservation Lot or a lot that contains a building in which all of the housing units are Affordable Housing Units as defined in Section 401 from which Transferable Development Rights may be transferred.

“Transferable Development Rights (TDR).” Units of allowable Gross Floor Area that may be transferred, pursuant to the provisions of this Section and Article 11 of this Code, from a Transfer Lot to increase the allowable Gross Floor Area of a development on a Development Lot.

“Unit of TDR.” One unit of TDR is one square foot of Gross Floor Area.

(c) Applicability. TDR may be transferred from a Transfer Lot to a Development Lot, subject to the requirements set forth in this Section 128.1.

(1) The maximum TDR available for transfer from a Transfer Lot consists of the difference between the allowable Gross Floor Area on the Transfer Lot and the actual Gross Floor Area of the development located on the Transfer Lot. For purposes of this Section, the allowable Gross Floor Area of the Transfer Lot is as follows:

(A) 3.0 Floor Area Ratio for projects in height districts of 40 to 49 feet;

(B) 4.0 Floor Area Ratio for projects in height districts of 50 to 59 feet;

(D) 6.0 Floor Area Ratio for projects in height districts of 70 to 85 feet; and

(E) 7.5 Floor Area Ratio for projects in height districts over 85 feet.

(2) TDR may not be transferred for use on any lot on which there is a Significant or Contributory building designated pursuant to Article 11 or any building designated pursuant to Article 10; provided that this restriction shall not apply if the Historic Preservation Commission finds that the additional space resulting from the transfer of TDR is essential to make economically feasible the reinforcement of a Significant or Contributory building designated pursuant to Article 11 to meet the standards for seismic loads and forces of the Building Code, in which case TDR may be transferred for that purpose, provided that the project sponsor has satisfied all other requirements of this Section and Article 11, including but not limited to the requirements of Sections 1111 through 1111.6.

(3) Notwithstanding any other provision of this Section 128.1, development on a Development Lot is limited by the provisions of this Code, other than those on floor area ratio, governing the approval of projects, including but not limited to the requirements relating to height, bulk, setback, sunlight access, and separation between towers, and any limitations imposed pursuant to Section 329 review applicable to the Development Lot.

(d) Controls. The transfer and use of TDR within the Central SoMa SUD are subject to the following controls:

(1) TDR from a Transfer Lot within the Central SoMa SUD may be used by any Development Lot in the city as defined in Sections 128 and 128.1.

(2) TDR from a Transfer Lot located outside the Central SoMa SUD may only be used by a Development Lot within the Central SoMa SUD if that Development Lot is a Large Development Site pursuant to subsection (e).

(3) Transfer and use of TDR within the Central SoMa SUD is subject to the requirements of Section 128(e) through (l).

(e) TDR Controls for Large Development Sites.

(1) Applicability. This subsection (e) applies to Large Development Sites, which are projects that:

(A) Are located in Central SoMa Fee Tier C, as defined in Section 423.2;

(B) Contain new construction or addition of 50,000 non-residential gross square feet or greater; and

(2) Controls. To exceed a Floor Area Ratio of 3:1, a Large Development Site shall acquire one Unit of TDR from a Transfer Lot, as defined in Sections 128 and 128.1, per square foot of development up to a Floor Area Ratio of 4.25:1. Above 4.25:1, the acquisition of additional TDR is not required.

(Added by Ord. 296-18, File No. 180184, App. 12/12/2018, Eff. 1/12/2019; amended by Ord. 47-21, File No. 201175, App. 4/16/2021, Eff. 5/17/2021)

AMENDMENT HISTORY

Divisions (b) and (c) amended; divisions (d)- (d)(2) and (e) amended in full as (d)-(d)(3) and (e)- (e)(2); Ord. 47-21, Eff. 5/17/2021.

SEC. 130. YARD AND SETBACK REQUIREMENTS, GENERAL.

(See Interpretations related to this Section.)

(a) Except as provided in Sections 172 and 188 of this Code, every building and addition shall have yards and setbacks as required by Sections 131 through 134 for the district in which the building is located.

(b) Every such front setback and rear yard shall extend along a lot line the full width of the lot. Every such side yard shall extend along a lot line from the front setback or the front lot line to the rear yard. The required minimum depth or width of any yard or setback shall be measured generally at right angles to the lot line. All required yards and setbacks shall be located on the lot on which the building is situated.

(c) Where a vacant lot abuts on two or more streets, any street lot line may be elected by the owner as the front lot line for purposes of the yard and setback requirements, and in general the lot line opposite and most nearly parallel thereto shall be the rear lot line. Any street lot line that is not a front lot line shall be a rear lot line or a side lot line.

(d) Where the side lot lines converge to a point, a line five feet long within the lot parallel to and at a maximum distance from the front lot line shall be deemed to be the rear lot line for the purposes of determining the depth of the rear yard.

(e) Where the building wall is not parallel to a side or a rear lot line, the required least dimension of the side yard or the rear yard along such line may be applied to the average, provided that no such side yard shall be less than three feet in width at any point, and no such rear yard shall be less than five feet in depth at any point.

(f) Obstructions in any required yard or setback shall be limited to those specified in Section 136 of this Code.

(Amended by Ord. 443-78, App. 10/6/78; Ord. 248-03, File No. 030999, App. 10/22/2003)

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