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Yaki, Ammiano Offer Solutions to Nonprofit Space Crisis in S.F.

High rents displacing at least a third of groups, according to study

By Neela Banerjee

In response to sky-high rents that are potentially putting the city’s nonprofit groups out of business, Supervisor Michael Yaki last week unveiled a plan to provide immediate relief to the space crisis, calling for a $500,000 short-term emergency rent fund, a $2.5 million capital fund and for the Planning Department to evaluate creating new zonings for nonprofit businesses.

Supervisor Tom Ammiano and Mayor Willie Brown have also each recently disclosed plans to help struggling nonprofit groups survive. These three proposals came after a survey of arts groups by the William and Flora Hewlett Foundation found that more than one-third of nonprofits have already lost their leases, are month-to-month renters or will lose their leases by December 2001, when they face rent increases.

“I’ve been mulling over this whole problem for months, trying to come up with a plan,” Yaki said. “I’ve been working with the city attorney and others to see what can be done.”

Yaki is hoping to put most of the focus on finding these groups long-term solutions to their problems with the $2.5 million fund that would be combined with other money from the city or foundations for long-term leases and improvements to buildings.

“We need to act now and act aggressively to preserve the social service and cultural fabric of our city,” Yaki said. “But putting to much into short-term solutions won’t help with the problem in the long run.”

Ammiano’s plan proposes that the city take $1.5 million from its reserves to provide rent subsidies and improvement repairs for the nonprofit groups that are in danger of being displaced. He is also proposing that there be a new law that allows arts groups to use city-owned performance or exhibition space when not in use.

Brown’s plan called for the re-direction of $5 million in existing city funds to help finance long-term leases for nonprofit groups. He also suggested using Pier 70 on Hunter’s Point Naval Shipyard to house arts groups.

Asian American nonprofit groups in the city have been dealing with the fear of displacement for years and are looking for any kind of solution. Joan Osato, administrative director for the Asian American Theater Company (AATC), said they lost their theater space years ago.

“We’ve had to move into a strictly administrative office and rent theater spaces for our shows and rehearsal space,” Osato said. “There are not enough spaces in the city and what there are, we can barely afford.”

Osato said that she knows about the city’s Propositions K and L, which propose restrictions on office construction in some neighborhoods and offer incentives to landlords to rent space to nonprofits at below-market rates. She is wary of the success of these propositions and what it will mean to groups like the AATC.

“We’ve been working really hard to support the idea of an Asian Pacific Islander Cultural Center,” Osato said. “It will be a city-funded center where Asian American arts groups can share space and resources.” Osato said that this would help prevent different API arts groups from competing for the same space and bring the community together. “There is a huge population that lives in this city that does not have a cultural space to come together in,” Osato said. “This could be a part of the solution for nonprofit groups who are on the verge of losing their space.”

Kelley Lee, coordinator for the API Cultural Center group said that he has talked to many Asian American nonprofit groups that have lost their leases.

“Even the groups that have their lease for another year or two are really worried,” Lee said. “Because they know when that lease runs out, they will be scrambling.”

Lee said that it may be a long time before the API Cultural Center really comes together but believes it will be really important in uniting the API arts community.

“When we have a more solid base then we can work on solutions to problems like this together,” Lee said. “Right now, every one is at the mercy of trying to get individual grants for their organization. We are hoping to get strong funding from the San Francisco Arts Commission.”

Both Yaki and Ammiano are working to get this money to the groups quickly. “I would hope to have this money available in late November or early December,” Yaki said. “We are trying to waive the paperwork and processes that would slow this down because it is such a crisis situation.”

Yaki said that his plans to create new zoning laws, which would make it easier for non-profits to find space, is expected to take longer. “That’s not something that can happen overnight,” Yaki said. “But I am confident that it will be accomplished.”

Yaki is also working with the city assesor and treasurer’s offices to determine the potential tax breaks, such as property tax relief or transfer tax exemption that may be used to give incentives to landlords of buildings that currently house nonprofits.