HomeMy WebLinkAboutCD Commercial Linkage Fees PPTCOMMERCIAL LINKAGE FEES
San Rafael City Council
June 20, 2023
Commercial Linkage Fee
New Commercial
Space New Workers
Affordable
Workforce
Housing
San Rafael City Council
June 20, 2023
A type of impact fee that charges new commercial development for its role in
creating new demand for affordable housing
San Rafael City Council
June 20, 2023
San Rafael’s Current Commercial Linkage Fees
Development Type Number of new very low-, low-
and moderate-income units (per
1,000 sq ft of gross floor area)
Office or Research and Development 0.03
Retail, Restaurant or Personal Service 0.0225
Manufacturing or Light Industrial 0.01625
Warehouse 0.00875
Hotel or motel 0.0075
Nexus Study
San Rafael City Council
June 20, 2023
Three categories of use:
•Office / R&D
•Retail / restaurant / services
•Hotel
Addresses two main areas of analysis:
1.the linkage between new jobs and the
needed affordable housing, and
2.the affordability gap between what
employee households can afford and
what new housing costs to build.
Study Considerations
•Best practices
•Varying market patterns in the County
•Financial feasibility of fees
•Stakeholder feedback
•Legal requirements
San Rafael City Council
June 20, 2023
San Rafael City Council
June 20, 2023
San Rafael’s Current Fee Levels (per equivalent square foot)
Development Type Number of new very low-, low-
and moderate-income units (per
1,000 sq ft of gross floor area)
Equivalent fee per
square foot
Office or Research and
Development
0.03 $10.32
Retail, Restaurant or Personal
Service
0.0225 $7.74
Manufacturing or Light Industrial 0.01625 Not included in study
Warehouse 0.00875 Not included in study
Hotel or motel 0.0075 $2.58
Stakeholder Engagement
•Market rate housing developers
•Affordable housing developers
•Commercial developers
San Rafael City Council
June 20, 2023
City Council Options
1.Accept the informational report.
2.Direct staff to provide additional information.
3.Take no action.
San Rafael City Council
June 20, 2023
COMMERCIAL LINKAGE FEES
San Rafael City Council
June 20, 2023