San Francisco advances $22.2M housing deal with MEDA amid financial concerns

San Francisco supervisors advanced a $22.2 million financing agreement for a Mission District apartment building operated by the Mission Economic Development Agency (MEDA).

The decision came after a one-week delay due to concerns about MEDA's financial management, including the city controller placing the nonprofit on a watch list following accusations of self-dealing by a former employee.

The Board of Supervisors’ Budget and Finance Committee recommended that the city purchase an existing $20.3 million loan from the Housing Accelerator Fund, which funded the acquisition and rehabilitation of the 35-unit apartment building at 2059-2065 Mission Street with four commercial spaces.

If approved by the full Board of Supervisors, the city would become the new lender, with the MEDA-affiliated company owing the loan to San Francisco.

MEDA is a longstanding nonprofit with over 50 years of experience and manages more than 1,300 housing units. The Mission Street building is part of the Small Sites program, which aims to help nonprofits buy and rehabilitate buildings to prevent tenant displacement and maintain affordable rents.