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Richmond Residents Confronted Safeway Project Plans

The proposed eight-story development at 850 La Playa St. faces potential unit cuts by the city.

Updated on Sept. 26, 2026 in Commercial

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Richmond District residents and city planners are reviewing development plans for the Safeway site on La Playa Street, which proposes 562 new residential units. AI Illustration. Upload story photo >

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Richmond District residents gathered at a town hall to discuss the proposed redevelopment of the 55-year-old Safeway site near Ocean Beach. The project, led by Align Real Estate, seeks to replace the existing grocery store with an eight-story complex housing 562 residential units.

Why it matters

The development has drawn attention due to its use of state streamlining laws that bypass traditional local public hearing requirements. As city planners review the proposal, the question remains whether the final unit count will be reduced to satisfy code requirements.

The proposal includes 562 residential units, though the city has signaled a potential requirement to reduce that count by over 100 units. Whether this adjustment will lower the building's eight-story profile remains unknown.

The players

Align Real Estate

The private developer partnering with Safeway to redevelop the existing 850 La Playa St. property.

The details

The project at 850 La Playa St. proposes expanding retail space from 37,340 to 63,000 square feet while dedicating 20% of residential units to affordable housing. Align Real Estate is utilizing Senate Bill 330 to streamline the approval process. The city sent a formal letter in September 2026 outlining concerns regarding unit counts, which the developer must now address through planning department code interpretations.

Timeline

  1. September 24, 2026: A town hall meeting for residents was held at St. John's Presbyterian Church.

  2. September 2026: The city issued a letter regarding potential reductions in the project's unit count.

Across the Bay

This project follows a citywide pattern of developers utilizing Senate Bill 330 to accelerate high-density housing production. The proposal mirrors similar streamlining efforts seen across San Francisco as builders navigate evolving state housing mandates.

Residents near 850 La Playa St. should expect ongoing discussions regarding the scale of the new building. The city's pending code interpretation will determine if the project's height and density are adjusted downward.

The takeaway

The project serves as a test case for how state streamlining laws interact with local zoning constraints near the coast. Neighbors should monitor future planning department filings to see if the proposed 100-unit reduction results in a change to the building's height.

Further reading

For more on development trends in our neighborhoods, visit San Francisco Commercial.

Source note: This article includes information reported by Mission Local.

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Should residents have a formal voice in local housing projects that bypass standard zoning requirements?