Mills Corp. Wins Shot At Prime Waterfront Site

SAN FRANCISCO-Virginia-based Mills Corp won exclusive negotiating rights to develop 19 acres of plum waterfront on Piers 27 through 31 near the foot of Telegraph Hill. The property includes 486,000 sf of buildings now used as warehouses the city’s Port Commission wants to see redeveloped to make the area more attractive to visitors.

In opting for the Mills proposal, the commissioners rejected a report from staff that seemed to favor a competing development plan by Chelsea Piers. New York-based Chelsea had proposed a conversion of the warehouses into 532,000 sf of sports and recreation facilities. Mills winning proposal involved building a 141,900 sf YMCA, retail and office space and 450,000 sf of open space.

In giving Mills the go-ahead, commissioners required that the shopping mall developer reduce the space in the $200 million project devoted to shops, restaurants and offices. The proposed YMCA would be one of the largest in the nation and will require the organization to raise $30 million to get the project built.