January 6, 2026
City of South San Francisco
400 Grand Avenue
South San Francisco, CA 94080
RE: Rotary Gardens- 500 Linden Ave. South San Francisco Additional Funding Request
100% Senior Affordable Housing Project
Dear City Officials,
On behalf of HumanGood Affordable Housing and Rotary Plaza, Inc, I am writing to respectfully request funding and confirmation of funding to support the successful completion of Rotary Gardens, a 100% affordable senior housing development located at 500 Linden Avenue.
Project Overview and Progress
Rotary Gardens is designed to provide 80 units of high-quality, affordable housing for seniors with incomes between 15% and 60% of the area median income. Our project aligns with the City’s and State’s affordable housing goals and responds to the urgent need for safe, stable, and supportive homes for older adults in our community.
To date, we have secured commitments from San Mateo County, Capital Magnet Funds from HumanGood Affordable Housing, seller financing and sponsor financing from Rotary Plaza, Inc., as well as an existing award from the City of South San Francisco and have made significant progress, including land acquisition, entitlements, and advancement in design. We are grateful for your partnership and previous support, which has been instrumental in advancing this project.
Request for Additional Funding of $5,500,581
As we progress, it has become clear that additional funding is required to ensure we meet our target construction date and leverage available tax credits.
Securing this additional funding will enable us to be construction-ready much sooner, which is a significant positive outcome for the City. Being ahead of schedule not only demonstrates our commitment to efficiency but also promises the timely delivery of the project's benefits to the community.
However, without the necessary funds to bridge this gap, we face the risk of the project stalling for one to two years beyond our target construction date. This delay could significantly impact our timeline, increase the cost of construction and potentially jeopardize the tax credits we are counting on and other funding sources already committed to the project.
Securing this additional funding will ensure:
• Application of 4% LIHTC Funding in the 1st Round of 2026 o Will provide scoring benefits through leverage and an increased tie breaker score
• Start of Construction by 4th Quarter 2026
Confirmation
As you know, the City of SSF gave us a Commitment dated June 30, 2025, for $4M to the Rotary Gardens Projects; however, a portion of that amount has been allocated to the Multifamily project as indicated below. To align with the Original Commitment less PHLA and Low Mod Funds, we would like to confirm that $2,366,828 is available for the Rotary Gardens Senior Project.
Current Award letter - $4M $4,000,000
Less PHLA (Senior) ($ 556,789)
Less Low Mod Income Housing TF (Multi-family) ($1,076,383) Confirm the following Funds will be available for Senior Project $2,366,828 Impact Fee Waivers
In addition, we previously submitted impact fee waiver requests to the City of SSF. In the event that these waivers are not granted, we will revise our funding request from the City of SSF to reflect any un-waived impact fees.
Parks & Recreation- 50% of Fee $718,620.40
Child Care- 100% of Fee $248,436.80
Library Facilities- 50% of Fee $24,843.60
Public Safety- 50% of Fee $49,693.20
Citywide Transportation Fee- 50% of Fee $186,341.60
Total Impact Fee Waiver Request $1,227,935.60
Conclusion
HumanGood Affordable Housing and Rotary Plaza, Inc. would like to confirm our support for the City of South San Francisco to lease commercial space at 500 and 522 Linden Avenue for $1 per year and secondly, ensuring no reduction in parking at both developments.
In summary, we are requesting to amend the City’s existing conditional commitment of $2,366,828 with a requested increase of $5,500,581, totaling $7,867,409 of committed funding to this project and authorize the reduction of the above select impact fees.
We respectfully request your consideration and confirmation of this additional funding request. We are available to discuss this request further and provide any additional information needed.
Thank you for your continued partnership and commitment to affordable housing.
Sincerely,
Peggy Lichthart
Development Director
HumanGood Affordable Housing