The Sponsor Change That Restarted the Site
Greystar has taken over development responsibility at 400 Divisadero Street from 4Terra Investments and supplies the institutional financing, per SFist. San Francisco YIMBY reports the funding is expected to expedite the remaining work. 4Terra had completed the design and permitting phase before the handoff.
What the Financing Record Does Not Say
The published record names no loan amount, no lender, no rate, no term and no equity split for the Greystar financing. Institutional is the only description of the capital in the source.
SF YIMBY's January 2025 report on 4Terra put construction at about $85 million, excluding some development costs, and stated that a timeline for work to start had yet to be established. That figure predates the financing change.
Why the Previous Capital Left
Two sponsors walked away before this one. Texas-based Genesis Real Estate Group won approval in 2019 for a 186-unit project and abandoned it in 2022 as construction costs rose, per SFist. Tenderloin Neighborhood Development Corporation contracted in late 2022 to buy the site for 100 percent affordable housing, and the deal collapsed in early 2023 when city funding failed, per The Real Deal.
The State Tools That Lowered the Hurdle
Developers secured ministerial approval in late 2024 under California Assembly Bill 2011 and used the State Density Bonus Law to build past the parcel base zoning limit of 131 units, per SF YIMBY. Ministerial approval removes discretionary review from the path to a permit. The density bonus adds units above zoning without a rezoning. Both change the risk a lender prices.
The Cost Saving the SHADE Act Records
The SHADE Act locks a stalled project to the code in place at its original application. San Francisco revises that code on a three-year cycle. SFist estimates the change saves this project between 5 and 7 percent in construction costs.
What the Restart Signals for Other Delayed Sites
Four steps produced this restart: an approved but unfunded scheme, an institutional developer buying the position, state tools holding the code vintage, and a construction contract to follow.
The permit is where the sequence becomes visible. Street and sidewalk closure permits from San Francisco Public Works carry a 19 October 2026 start date, per Hoodline.
The Homes and the Rents They Set
The programme is eight stories and 85 feet by BDE Architecture, about 194,280 square feet, with 109,800 square feet of housing, 1,850 square feet of retail and 8,480 square feet for a 24-car garage, per SF YIMBY. The count is 121 one-bedroom and 82 two-bedroom apartments plus four ground-floor units facing Divisadero Street, with parking for 24 cars and 144 bicycles.
The San Francisco Standard reports 20 units set aside at 55 percent of Area Median Income, with estimated monthly rents around $1,400 for one-bedroom units and $1,545 for two-bedroom units.
The Indicator That Decides the Next Site
Follow San Francisco Travel's occupancy series. The 26 August 2026 release puts 2026 citywide occupancy at 70.7 percent, ADR at $266.16 and RevPAR at $188.06, with 2027 at 72.1 percent, $271.43 and $195.61.
Occupancy is the number in this pack that moves between releases and that a lender underwriting the next delayed San Francisco site will read. Read each revision before reading any single project announcement.
The Date the Money Becomes Visible
The 19 October 2026 closure start is the first date on which the financing becomes observable from the street. Until equipment arrives, the public evidence of new capital at Divisadero and Oak is a change of name on a permit file.