Potrero Yard Modernization Project
Potrero Yard Modernization Project approved by SFMTA Board and the BOS Budget & Finance Committee
The project will next be considered by the full Board of Supervisors on March 24. More information can be found online at: Potrero Yard Modernization Project at Board of Supervisors 3/24/2026.
Public comments were accepted on March 18 at the Budget & Finance Committee meeting, however according to legislative rules there will not be a public comment opportunity at next week's Board of Supervisors meeting. You may still submit a general comment by emailing bos@sfgov.org. All comments will be made a part of the official record.
Reaching an affordable price for the bus yard
Fall, 2025: As one-time pandemic relief funds run out, Muni faces a budget deficit of about $307 million. We are making cost saving reductions across the SFMTA to avoid devastating cuts to Muni service. That means making hard choices to be able to move essential Muni infrastructure projects forward.
Unfortunately, the previously endorsed scope of the Potrero Yard Modernization Project is beyond what we can afford. To move forward with this critical investment in Muni service, we made difficult decisions to lower costs. We made changes that would reduce the amount of housing that could be built at the new yard. This approach helps us keep Muni reliable for the long haul while still preserving the opportunity to build up to 100 units of proposed affordable housing at the project site.
Read our Fall 2025 Project Update or our blog to learn more about the proposed changes or review the presentation deck from our September 30, 2025, Potrero Yard Neighborhood Working Group meeting.
You can also review the information we presented at recent public meetings here:
Project Introduction
The Potrero Yard Modernization Project will replace an obsolete, century-old bus yard with a modern, four-story, efficient bus maintenance and storage facility.
The SFMTA Board of Directors approved the project on March 3, 2026
On March 3, 2026, the SFMTA Board of Directors passed these two components of the project legislation:
- Infrastructure Facility Project Agreement (PA) for design, construction, and financing of the Potrero Yard Modernization Project
- Lease Development and Disposition Agreement (LDDA) for development of affordable housing as part of the Potrero Yard Modernization Project.
- Watch a recording of the March 3 SFMTA Board of Directors meeting here.
Board of Supervisors Budget & Finance Committee approved the project on March 18, 2026
The Board of Supervisors Budget & Finance Committee unanimously approved sending the legislation to the full Board of Supervisors for final approval.
Next step: Seek approval from Board of Supervisors, March 24
The project will next be considered by the full Board of Supervisors on March 24. More information on this meeting can be found at the Potrero Yard Modernization Project at Board of Supervisors 3/24/2026 web page.
A modern Potrero Yard will address critical transportation issues and improve:
- Efficiency: Repair buses faster, improving Muni's reliability
- Sustainability: Provide green infrastructure
- Future Growth: Accommodate fleet as it grows – room for 68% more buses at the yard
- Work Conditions: Improve environments, amenities and safety conditions for 800+ SFMTA staff
Learn more about the need to replace this 100+ year-old bus yard.
Project Design
On November 21, 2022, the SFMTA awarded the project's predevelopment agreement to Potrero Neighborhood Collective (PNC) as lead developer. PNC worked with the City, community and project stakeholders to refine the Project design during the pre-development phase.
The PNC design includes a modern, four-story bus storage and maintenance transit facility, approximately 100 units of affordable housing for those with low incomes, and opportunities for commercial retail and concessions. The project would be the nation's first known joint development of a bus maintenance facility with housing constructed adjacent to a bus facility, a groundbreaking approach that prioritizes safe, equitable, and sustainable transportation while also supporting the City's housing goals.
Aerial view from the northwest of the bus facility. Rendering indicates location of proposed housing along Bryant Street by white block area. (Arcadis)
Project Amenities
- Approximately 100 affordable housing units that include a mix of studio, 1-, 2-, and 3-bedroom units, pending funding availability.
- New public restrooms conveniently located near Franklin Square
- Two retail spaces targeted for offerings that reflect community needs and include community-based retailers or organizations, with additional spaces for street vendors on 17th Street
- Improved pedestrian and bike infrastructure for enhanced safety and comfort
- An economic inclusion plan that prioritizes Small Business Enterprise (SBE) inclusion
- Resident services including recreation and community rooms, and bike storage
- Large-scale public art pieces in collaboration with the San Francisco Arts Commission (SFAC)
A Modern Bus Yard for a Transit-First City
The Project promotes public transit, biking, walking, and other forms of sustainable transportation. This follows the SF Transit-First City Policy. To support the use of public transportation, the Project will have Transportation Demand Management (TDM) plans that consider existing and new transportation resources for residents and employees. There will not be residential or public parking on site because it is in a prominent transit zone.
The Project fosters a vibrant streetscape that improves safety and encourages street-level activity. It does this through a mix of retail offerings, public restrooms, safety enhancements for bicyclists and people walking, and public art.
Zero Emission Fleet
California is a leader in the transition to green energy. The state has set regulations for public transit agencies to achieve zero-emission fleets by 2040. Completely rebuilding the Potrero Yard will make it the central hub for the SFMTA’s zero emission trolley bus fleet. It would house additional 92 trolley buses (and 68% increase from the current design capacity) allowing the city to take a major step towards operating an all-electric fleet by 2040.
These trolley buses do not generate direct or indirect particulate emissions. They are powered by the Hetch Hetchy hydroelectric dam. This ecosystem of clean energy provides emissions-free transit service to about 97,500 bus riders each weekday – more than a fifth of Muni’s total weekday bus ridership.
Outreach
We believe that community should help to shape many of the decisions that are needed to rebuild the Potrero Yard and have actively engaged the public by:
Community input has shaped the project. Based on community feedback, the project design includes novel elements including:
- ground floor public restroom
- community-accessible meeting space
- public art that reflects the diversity of Potrero Hill and Mission District neighborhoods as well as Muni’s longstanding commitment to safe, equitable, transit service
At A Glance
Project Timeline
Improvements
Provide needed space for a growing bus fleet.
Facilitate the transition to an all-electric fleet.
Improve the efficiency and timeliness of bus maintenance and repairs.
Improve working conditions for Muni staff.
Enhance resiliency to climate change and natural disasters.
High visibility crosswalks and safety improvements for people walking.
Protected bikeway on 17th Street.
Approximately 100 units of affordable housing, pending funding availability
New ground-floor retail spaces.
Bus Routes and Rail Lines
Neighborhoods
Building Progress Program
In 2017, the SFMTA launched the Building Progress Program, a $2.3 billion multi-year effort, to repair, renovate, and modernize the San Francisco Municipal Transportation Agency's (SFMTA) aging facilities to keep the City moving and transition to an all-electric bus fleet.
Potrero Yard, located at Bryant and Mariposa streets, is the first facility scheduled under the Program that the SFMTA will modernize and renovate.
Contact Information
Chris Lazaro, Project Director
Bonnie Jean von Krogh, Building Progress Public Affairs Manager
John Angelico, Public Information Officer