Mayor Lurie Unveils

 
09/09/2025

[ Article originally appeared in www.sf.gov ]

Mayor Daniel Lurie today announced a major initiative to accelerate the revitalization of San Francisco’s downtown, unveiling his “Heart of the City” executive directive. The Heart of the City directive puts in place the tools needed to turn San Francisco’s downtown into a vibrant neighborhood where people live, work, play, and learn. This change will drive the city for years to come—because the ideas, innovation, and revenue that are generated downtown fund the services that keep the whole city running. Mayor Lurie’s administration will leverage more than $40 million in initial commitments secured by the Downtown Development Corporation (DDC) to create safe, clean streets, support small business, and activate downtown public spaces, and will collaborate with civic groups to raise tens of millions more.

This directive builds on measurable results already underway and locks in the resources and reforms needed to deliver lasting change. In just the first eight months of Mayor Lurie’s administration, there are already encouraging signs of progress in downtown’s comeback—with reduced crime rates, declining office vacancies, and an increase in tourism. The mayor took immediate action to turn around downtown, launching the San Francisco Police Department Hospitality Zone Task Force to revitalize critical commercial districts and improve public safety. Crime is down more than 40% in Union Square and the Financial District. Hotel room bookings associated with events at Moscone have increased by more than 60% from 2024, more downtown office space is being leased, and workers are returning to the office at higher rates in San Francisco than all other major cities.  Today’s directive ensures these early gains are not one-offs, but the foundation of a long-term transformation.

To further drive the downtown comeback, Mayor Lurie is helping businesses of all sizes open and grow, while creating the conditions that lead companies to want to be in San Francisco. His PermitSF initiative has made common-sense reforms to the city’s permitting process, cutting red tape for business owners. The mayor is partnering with business leaders to bring workers and events downtown, and prioritizing clean and safe streets to attract people back to the city.

“Downtown is the beating heart of our city. The economic revenue generated here powers Muni, funds our parks, pays our first responders, and sustains critical services that help our families thrive. With the Heart of the City directive, our administration is announcing the legislation and resources that will continue to turn downtown San Francisco into a place where people live, work, play, and learn,” said Mayor Lurie. “To continue accelerating downtown’s comeback, we are prioritizing safe and clean streets, supporting small businesses, drawing new universities to San Francisco, and activating our public spaces with new parks and entertainment zones—all while mobilizing private investment to help us achieve results. We have a lot of work to do, but the heart of our city is beating once again.”

Codified in an executive directive signed today, the Heart of the City plan lays out clear actions to strengthen San Francisco’s downtown—turning momentum into lasting change and creating a vibrant hub where people can live, work, play, and learn.

  • Living downtown means building more housing. 
    • The city will launch a Downtown Revitalization Financing District, which will start accepting applications early next year, to make office-to-residential conversions easier, turning empty towers into much-needed homes.
    • Mayor Lurie has passed two ordinances with the Board of Supervisors to help turn empty offices into new homes downtown, and advanced 100% affordable housing in the East Cut.
       
  • Working downtown means creating the conditions for businesses big and small to thrive. 
    • The city will deliver development projects that modernize downtown’s office stock and streamline tenant improvements with over-the-counter approvals making downtown the premier destination for employers.
    • Through PermitSF, the city is continuing to speed up permits for new commercial spaces and small businesses.
       
  • Playing downtown means adding activated public spaces and vibrant streets.
    • The city will add more entertainment zones and continue to bring more arts and entertainment downtown, including first Thursdays, free concerts, and cultural events to celebrate San Francisco’s vibrant communities. 
    • The city will leverage permit reform and private investment to help activate public spaces and make events easier to host.
    • Mayor Lurie has passed state legislation with Senator Scott Wiener to add new liquor licenses and support nightlife.
       
  • Learning downtown means expanding our world-class educational presence.
    • The city will work to bring additional universities and institutions into the heart of the city and develop more opportunities to draw young people downtown.

“The mayor’s executive directive sends a clear signal that a vibrant downtown is critical to San Francisco’s future,” said David Stiepleman, Board Chair of the San Francisco Downtown Development Corporation. “We’re proud to work alongside City Hall and civic leaders to help jumpstart the city’s vision for a clean, safe, welcoming, and dynamic downtown. And we applaud our partners—companies and philanthropists who recognize the opportunity to turn this momentum into lasting change.”

“Union Square is an important center of culture, retail, and tourism. It is essential, not just to downtown, but to the economic health of our entire city,” said Katherine August-deWilde, President and CEO of Partnership for San Francisco. “San Francisco’s tax base relies on downtown, and our thriving city depends on workers, residents, and visitors filling our streets, our offices, and our places of business. The art, food, fun, culture, and commerce around this storied square are all vital to what makes San Francisco unique.”

“Downtown is a critical artery of the overall health of our city. With a long history of innovation, we know we must continue to evolve,” said Rodney Fong, San Francisco Chamber of Commerce President and CEO. “The success of downtown requires a thriving 24/7 neighborhood, highlighting San Francisco’s creativity, culture, and vibrancy after business hours. The Chamber commends Mayor Lurie’s work and stands ready to support our next boom.”

The reforms that are part of the executive directive—including financing tools, business incentives, cultural investments, and educational anchors—create a coordinated, comprehensive effort to restore the heart of the city and build a downtown that will be sustainable for generations of San Franciscans to come.

“As Chair of the Downtown Recovery Committee, I’ve worked with city halls across the state to bring business and culture back to California’s downtowns,” said Assemblymember Matt Haney. “Downtown San Francisco is finally turning a corner. You can feel the energy coming back in the streets, small businesses, and the workers. This new plan is about doubling down on what’s working and locking in that progress so people believe in downtown again.”

“It is a truism that San Francisco is a city of neighborhoods, but it is equally true that the success of our neighborhoods depends on the success of our downtown,” said Board of Supervisors President Rafael Mandelman. “Mayor Lurie and his team deserve a lot of credit for their work to accelerate downtown’s recovery, and our partners at the Downtown Development Corporation deserve abundant thanks for stepping up at this important moment for our city.”

“San Francisco’s boom loop is real, and it’s happening in downtown,” said District 6 Supervisor Matt Dorsey. “I’m working collaboratively with Mayor Lurie to fulfill a vision of downtown as a place to live, work, learn, and play. This is what 21st century urbanism is all about.”

“These initiatives and targeted investment have been critical for supporting the Tenderloin and the reimagining of what downtown will mean for future generations,” said District 5 Supervisor Bilal Mahmood. “I'm proud to be a part of this effort and thank Mayor Lurie for his dedicated leadership to revitalize downtown.”

“Anyone who visited downtown recently has seen and felt it: Our city is coming back, and we're doing it with energy, joy, and creativity. Building on our progress, this Heart of the City executive directive is exactly the next set of steps we need to take to foster a truly thriving downtown core,” said District 3 Supervisor Danny Sauter. “I look forward to working with the mayor and community partners to continue to improve downtown and realize the vision of a 24/7 downtown neighborhood.”

“Mayor Lurie is facilitating greater collaboration among city departments and community partners to ensure that we are all working towards common goals,” said Anne Taupier, Executive Director of the Office of Economic and Workforce Development. “This coordination and focus are manifesting real change, making people feel safer, encouraging them to come to our downtown for lively events, convincing them to lease our office spaces and inspiring investment in our future. We are excited to continue this work and write San Francisco's best chapter yet.”

Key components of the Heart of the City executive directive include:

100-Day Actions:

  • Encourage private investments to accelerate downtown recovery, including more than $40 million in commitments already secured by the Downtown Development Corporation (DDC) to activate and beautify downtown
  • Continue working with DDC, downtown community benefit districts, and civic groups to raise tens of millions more to establish a small business fund, create more beautiful public spaces on Powell Street, Fourth Street, and at Embarcadero Plaza
  • Finalize plans and timeline to transform Powell Street, Stockton Street and Fourth Street, and Embarcadero Plaza into vibrant public spaces.
  • Attract five new retailers downtown through the Vacant to Vibrant program, and continue to support small businesses bringing energy and life to downtown streets
  • Adopt the Family Zoning Plan, creating new housing opportunities for individuals and families throughout the city who may work downtown
  • Explore and align on a sufficient, fair and supportable Parcel Tax structure to fund Muni while continuing to make transit safe, reliable, affordable, accountable and efficiently budgeted

Six-Month Actions:

  • Open the Downtown Revitalization Financing District program to applications from commercial-to-residential conversion projects
  • Introduce process improvements through PermitSF to accelerate permitting for new commercial spaces, including over-the-counter permits for commercial tenant improvements
  • Support activations around major events and redesign the outdoor event permitting process for greater efficiency
  • Support delivery of new private funding tools to help small businesses cover permitting and buildout costs, and sustain themselves while the city attracts more visitors
  • Secure commitments from academic institutions to open or expand campuses and programs downtown
  • Prioritize development projects that make downtown’s office stock more appealing
  • Launch new entertainment zones on Ellis Street, Maiden Lane, Jackson Square, and Claude Lane to encourage foot traffic and business activity
  • Establish a new park in the East Cut
  • Begin implementation of selected ideas from the Market Street design competition
  • Install lighting and elements to transform Front Street
  • Pass local legislation for 20 new liquor licenses in our hospitality zone

One-year actions: 

  • Introduce new legislation to support economic prosperity
  • Break ground on projects creating vibrant destinations on Powell Street, Stockton Street and Fourth Street, and Embarcadero Plaza
  • Assess city-owned properties and align them with downtown revitalization goals

“From the opening of new flagship stores and one-of-a-kind, on-trend boutiques to family-friendly activations and marquee events that unite Northern California, it’s clear Union Square is undergoing a renaissance in 2025,” said Marisa Rodriguez, CEO of the Union Square Alliance.  “We would not be at this point without the support and backing of Mayor Daniel Lurie, who since taking office has kept the momentum going and remained an inspiring, frequent presence in the heart of San Francisco. With major investments on hand, including a project that will enliven and transform Powell Street, the future looks incredibly bright for our district.”

“Our work downtown shows the power of public–private partnerships to deliver real results,” said Robbie Silver, Downtown SF Partnership President and CEO. “From advancing public safety to building Embarcadero Park, a once-in-a-generation waterfront project, we’re proving that when the city and business community come together, we can reimagine and revitalize San Francisco’s core for workers, residents, and visitors.”

“There is undeniable optimism driving Yerba Buena’s resurgence. In partnership with the city and community, expanded programs and new ideas are ensuring that the neighborhood is clean, safe, and welcoming. This progress is vital to San Francisco’s sustained recovery, with Yerba Buena serving as a critical economic engine and attraction with its premiere arts, cultural, and entertainment venues, and Moscone Center,” said Scott Rowitz, Executive Director of the Yerba Buena Partnership. “It’s especially exciting to see the waves of diverse businesses investing in Yerba Buena, new events, and attractions helping to redefine the downtown experience, and the upswing in convention bookings. These are indicators of a neighborhood and city on the rise.”

“Downtown’s comeback is rooted in the strength of partnerships. The East Cut Community Benefit District is proud to work with community leaders, small businesses, and companies to affect real change in our city’s heart, proving the power of public-private collaboration,” said Andrew Robinson, Executive Director of the East Cut Community Benefit District. “Projects like the future East Cut Park—made possible through city support and private investment—show how we’re creating parks and neighborhood spaces, building housing, and opening businesses to create the vitality that will make downtown not just a place to work, but a place to live, gather, and thrive.”

“Revitalizing downtown is about more than bringing workers back to offices—it’s about creating a lively, welcoming neighborhood where people from all walks of life want to live, shop, and gather,” said Sujata Srivastava, San Francisco Bay Area Planning and Urban Research Association Chief Policy Officer. “Mayor Lurie’s leadership is helping San Francisco reimagine downtown as a 24/7 destination, and SPUR is proud to support efforts that will turn vacant buildings into housing, strengthen small businesses, and ensure that our city’s core remains a driver of opportunity for everyone.”

As a result of actions in today’s executive directive and ongoing efforts to boost San Francisco’s economy, the city will monitor key indicators of downtown’s recovery—such as transit usage, foot traffic, hotel, office, and retail occupancy rates, and the number of San Franciscans living downtown.

SOURCE: https://www.sf.gov/news-mayor-lurie-unveils-hear-of-the-city-executive-directive-to-accelerate-san-franciscos-economic-comeback



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