BMR Rent and Income Maximums (Inclusionary Housing Program)
The following information is intended to inform project sponsors of the current rent levels for units under the Inclusionary Housing Program and to guide rental agents in their annual adjustment of rent levels for existing tenants. Agents should review the City and County of San Francisco Inclusionary Affordable Housing Program Monitoring and Procedures Manual for specific program rules.
Maximum Rent Levels
To determine the income target of upcoming BMR units, developers should review their Notice of Special Restrictions or contact MOHCD at email@example.com for specific information on the maximum rent levels allowed for their units. To determine the income target of existing Inclusionary units, developers should review their Notice of Special Restrictions, view a list of projects and their income targets at the link below, or contact MOHCD for specific information on the maximum rent levels allowed for their BMR units.
Maximum rent and income levels are updated each year on or around April 15.
When determining the applicable rent level, developers and their agents should refer to the correct income target and household size in the tables below and should typically refer to the rent levels "without utilities" unless the owner intends to pay every utility for each BMR renter.
Current renters should consult their rental manager to confirm the income and rent level of their unit before reviewing these charts.
The income and rent table used for most BMR units under the Inclusionary Housing Program is derived from the Unadjusted Area Median Income (AMI) for HUD Metro Fair Market Rent Area (HMFA) that contains San Francisco.
The following tables establish income and rent level maximums for 2018 only.
Exceptions to the Use of San Francisco Maximum Rent Chart for Establishing Annual Income Reviews and Rent Level Updates
A handful of existing projects should not follow the above tables when adjusting the rent levels of their existing BMR households, as follows.
(1) Three projects contain some or all BMR units whose rent levels are determined from a different maximum rent chart. These projects include the following:
- Rincon Green (AKA 333 Harrison Street) - Units are rented under an alternate table at 30% of AMI under that table.
- Potrero Launch (AKA 2235 3rd Street) - Some units are rented under an alternate table at 30% of AMI under that table; others fall under the tables above at 50% of AMI.
- Arc Light Co. (AKA 178 Townsend or 21 Clarence Place) - Units are rented under an alternate table at 30% of AMI under that table.
(2) The following buildings must obtain their specific maximum rent levels from MOHCD each year in order to establish the annual rent levels for BMR households in the building:
- Avalon Ocean Avenue (AKA 1150 Ocean Avenue or 1200 Ocean Avenue)
- 2000 Post III (AKA 2161 Sutter Street)
- 6 Mint Plaza (AKA 418-420 Jessie Street)
- 2545 Judah Street (AKA 1408 31st Street)
Explanation: The BMR units in these buildings were initially reduced based on a parking policy that was in place at the time of the initial rental of the BMR units. Under that policy, the rent levels were first reduced by the amortized cost of providing a parking space. The building owner was then allowed to charge the lowest overall parking space price to the BMR households. To review this “unbundled parking policy” for BMR rental units in detail, please review the 2007 Procedures Manual.
However, any new tenant who becomes a BMR renter in these buildings today would fall under the new most current Procedures Manual. Under the Procedures Manual, the building will charge the maximum rent level that is allowed per the tables above and then charge only $100 a month for the parking space provided to the new BMR renter household. To review this “unbundled parking policy” for BMR rental units in detail, please review the Procedures Manual.
Parking in "unbundled" parking buildings is typically made available to BMR renters for $100 a month. Please review the City and County of San Francisco Inclusionary Affordable Housing Program Monitoring and Procedures Manual for more information on this policy. However, the policy may not apply to older buildings that were not marketed under this policy. Please contact MOHCD for information on parking policy in your building.
Annual Rent Adjustments
For current tenants, maximum rent levels are adjusted each year on the anniversary date of the BMR household's lease, using the tables listed above (except in the case of one of the noted exceptions). BMR renter households must remain on a year-to-year lease at all times. Agents should follow all applicable laws regarding notice of rent increase, etc. Rents should be raised and reduced, as applicable in each year. Failure to raise rents when applicable may result in an inability to recover the missed increase in future years.
- Current BMR renters at 418-20 Jessie Street ("6 Mint Plaza") and 1188 Market Street ("Trinity Place Apartments") should use income and rent levels on the above charts at 55% of median income. (This percentage is a translation from the former "SF-Only" income and rent charts that once set the rent levels for these buildings at "60% of SF-only AMI).
- Developers who have qualified to build below market rate (BMR) rental units either on-site or off-site must review and complete the pricing, marketing, application review, re-rental and recertification requirements posted at www.sfmohcd.org. The legal requirements of the Inclusionary Housing Program are more fully described in the City and County of San Francisco Inclusionary Affordable Housing Program Monitoring and Procedures Manual.
- Buildings with vacant BMR units must follow the prescribed re-rental procedures at the following link: http://www.sf-moh.org/index.aspx?page=131.