San Francisco will collaborate with local labor unions to create a business plan and fund a stakeholder engagement process to develop a modular housing production facility in the city. These units will be used primarily for residents experiencing homelessness. The project is expected to increase jobs in manufacturing while also creating supportive housing.

“The housing shortages and homelessness issues facing our city are the challenges of our time, and we need to deliver creative solutions,” former Acting Mayor London Breed said in a written statement. “It is clear that we need more housing and we need it now.”

Modular housing is becoming increasingly popular throughout the Bay Area as a means to build more affordable housing as construction prices continue to rise.

The city is seeking a consultant with substantial experience in the design, construction and operation of modular housing production facilities that can both develop a business plan and facilitate the stakeholder process. The Mayor’s Office of Housing and Community Development and Office of Economic and Workforce Development will fund the consultant.

The project will be split into two phases. The first phase will consist of the consultant leading various meetings with city staff and labor section partners about the construction and long-term operation of a modular housing production facility. Meetings will explore those things needed to create a facility, including capital investment requirements, construction specifications, site logistics, transport requirements for raw materials and finished components, and staffing levels.

During Phase 2, the consultant will develop a business plan for a modular housing production facility in San Francisco. Recommendations will be finalized by the end of the year.