Developers across Bay Area look to increase density for approved resi projects

Key Takeaways:

• Developers across the Bay Area are constructing denser buildings to meet housing demands.
• The long-delayed 360 Fifth Street site in SoMa, once called “Lake SoMa,” is now set for high-rise redevelopment.
• State-mandated housing targets fuel an urgent push for larger residential projects.
• Thompson Builders plans to more than double the original unit count, from 127 to 272.
• Municipalities throughout the region share similar goals, adding momentum to this heightened approach.

Higher Density Trends in the Bay Area

Developers in the Bay Area are embracing taller, denser housing projects in an effort to address state housing requirements. With cities under pressure to meet ambitious targets, construction firms and local governments alike have turned their attention to maximizing buildable space.

The ‘Lake SoMa’ Transformation

One of the most prominent examples of this shift is Thompson Builders’ newly revised plans for 360 Fifth Street in San Francisco’s South of Market neighborhood. Nicknamed “Lake SoMa” because the pandemic left the site as a large hole that filled with water, the project had been stalled for some time. Originally envisioned as an eight-story building with 127 residential units, it has now been reimagined as a 25-story tower containing 272 units.

Meeting Housing Goals

Across the region, municipalities are taking similarly aggressive approaches to increase the housing supply. The Bay Area’s need to satisfy state-mandated goals is a significant driver in this move toward taller, higher-density developments. Local planners see these shifts as necessary to address ballooning housing demand and a lack of affordable options.

A Broader Trend

The renewed plans for “Lake SoMa” are emblematic of broader momentum toward dense, vertical construction. As developers secure approvals for larger-scale projects, many cities in the Bay Area hope to foster mixed-use developments that create livable, walkable communities. Officials remain optimistic that these collaborative efforts will help narrow the gap between housing supply and demand.

Looking Forward

For now, eyes remain on Thompson Builders and other developers who have chosen to scale up their projects. Observers believe that success at 360 Fifth Street could embolden more ambitious plans throughout the region, prompting a new era of vertical growth in California’s dense urban centers.