San Fran Billionaire Luanches Plan To House Homeless In Shipping Containers
By Tyler Durden
Last year we noted, via the Liberty Blitzkrieg blog, that rents in San Francisco and surrounding areas had grown so out of control that even Ivy Leaguers, like 31 year old Luke Iseman of The Wharton School, were having a hard time making ends meet. After growing tired of renting a run down, tiny apartment for $4,200 per month, Iseman decided to take a novel approach to housing. So he rented out a warehouse space and filled it with 11 steel shipping containers that he now rents out as makeshift apartments for $1,000 per month. We learn more from Bloomberg:
Luke Iseman has figured out how to afford the San Francisco Bay area. He lives in a shipping container.
The Wharton School graduate’s 160-square-foot box has a camp stove and a shower made of old boat hulls. It’s one of 11 miniature residences inside a warehouse he leases across the Bay Bridge from the city, where his tenants share communal toilets and a sense of adventure. Legal? No, but he’s eluded code enforcers who rousted what he calls cargotopia from two other sites. If all goes according to plan, he’ll get a startup out of his response to the most expensive U.S. housing market.
Iseman collects $1,000 a month for each of the 11 structures parked in the 17,000-square-foot warehouse he rents for $9,100. Tenants include a Facebook Inc. engineer, a SolarCity Corp. programmer and a bicycle messenger.
Now, billionaire California real estate developer John Sobrato is looking to implement a similar plan in Santa Clara to house a portion of the city’s 6,500 homeless. The plan calls for converting 200 steel shipping containers into a mix of 160 and 240 square foot micro apartments that could then be rented out homeless and low-income families.
Sobrato, who has spent much of his career building office space for many of Silicon Valley’s technology giants, asked the Santa Clara City Council for exclusive negotiating rights to lease a 2.5-acre plot of city-owned land, three miles south of the San Francisco 49ers football stadium and currently leased to a Hyundai dealership. His plan for the lot calls for a mix of 160- and 240-square-foot units, large enough for a kitchenette and bathroom with shower, which he said could be fashioned out of re-purposed shipping containers.
Under the plan, the developer asked for a 57-year lease at the cost of $1 a year. In return, the Sobrato Organization, based in Cupertino, would build and own the apartments, then lease them back to Santa Clara County, which would hire property management and homeless service providers. The project, called Innovation Place, could open as soon as 2018, with half the units rented to homeless and half offered to renters earning between 50 and 80 percent of the area’s median income.
Mock ups of the proposed housing complex were presented at the Santa Clara city counsel meeting:
<img src="http://www.zerohedge.com/sites/default/files/images/user230519/imageroot/2016/12/22/2016.12.21%20-%20Shipping%20Container%20Homes%203_0.JPG" alt="Container …read more
Source: San Fran Billionaire Luanches Plan To House Homeless In Shipping Containers
