Construction Begins on San Francisco’s Long-Awaited “Marvel,” Largest Affordable Housing Development in the Mission
More Than 350 Affordable Homes, Including Permanent Supportive Housing, Planned for 1979 Mission St.
San Francisco, Calif. — Construction will begin on the Mission District’s largest affordable housing development at 1979 Mission St., known as La Maravilla, a long-planned project that will deliver almost 400 new affordable homes for low-income families and individuals, including permanent supportive housing.
The first steps of site preparation began Wednesday, December 22nd, with demolition beginning in early 2026.
La Maravilla, also known as The Marvel in the Mission or 1979 Mission Street, is an affordable housing development rooted in decades of community advocacy to fight displacement and preserve the culture of the Mission District. The proposed project aims to create almost 400 new homes—split between Multifamily Affordable Housing and Permanent Supportive Housing (PSH)—to serve low-income families and individuals experiencing or at risk of homelessness.
Last month the San Francisco Board of Supervisors agreed unanimously on a financing package that includes a $61 million loan from the San Francisco Mayor’s Office of Housing & Community Development, the issuance tax exempt bonds, and a long term ground lease tax exempt for the first phase of the La Maravilla. La Maravilla represents a major step forward in providing deeply affordable housing in a neighborhood historically impacted by gentrification and rising housing costs.
Co-developed by Mission Housing Development Corp. and the Mission Economic Development Agency (MEDA), La Maravilla will be the Mission’s largest affordable housing site. The complete development will deliver 382 affordable homes at the northwest corner of 16th and Mission Streets.
Both organizations are experienced affordable housing developers with long histories of serving the Mission District. Mission Housing brings over 55 years of affordable housing development expertise, while MEDA is a developer that pairs construction with a holistic service model. By integrating wrap-around support for economic mobility, both organizations ensure that the housing provides not just a roof, but a foundation for the long-term success and financial stability of its residents.
MEDA and Mission Housing were selected to develop, own, and operate the housing and associated improvements proposed for the 1979 Mission Street project through a Request for Qualifications (RFQ) issued in August 2023.
Affordable housing units are funded by a combination of local, state, and federal affordable housing financing sources, as well as bond proceeds. State financing sources are highly competitive because funds are distributed across the entire state, and numerous projects compete for financing every year.
The first phase of construction will create 136 units of Permanent Supportive Housing (PSH) for formerly homeless residents — providing stability, dignity, and a foundation for long-term success.
The second and third phases are planned for later stages of the project and will add an additional 134 and 112 affordable family housing units, respectively.
The targeted timeline is subject to change.
Estimated Construction Timeline, Phase 1:
Environmental Abatement of Existing Building: December 22, 2025 – January 23, 2026
Demolition of Existing Building (Restaurant & Market at Capp St & 16th St): January 26, 2026 – February 12, 2026
Construction Period: February 13, 2026 – December 6, 2027
Leasing and Occupancy: Begins March 7, 2027
Cronograma de Construcción, Fase 1:
El cronograma previsto está sujeto a cambios
Remediación Ambiental de Estructuras Existentes: 22 de diciembre de 2025 – 23 de enero de 2026
Demolición de Estructuras Existentes (Restaurante y Mercado en las calles Capp y 16): 26 de enero de 2026 – 12 de febrero de 2026
Periodo de Construcción: 13 de febrero de 2026 – 6 de diciembre de 2027
Arrendamiento y Ocupación: 7 de marzo de 2027
Contact:
Christina Ellise
This is such encouraging news for the Mission District. Adding hundreds of affordable homes, especially permanent supportive level devil housing, could make a real difference for local families and people facing homelessness.
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Great news for the Mission District — La Maravilla will make a real difference for families at risk of displacement, and it’s encouraging to see the financing package finally come together after decades of community advocacy. The wrap-around services model is exactly what makes this project stand out. On a side note, when I need to organize project data quickly, I rely on a simple json to excel tool to turn structured data into clean spreadsheets.
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