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Project Profile: Transbay Transit Center

Transbay Transit Center

photo credit: Transbay Joint Powers Authority (TJPA)


San Francisco, California

Project Sponsor / Borrower

Transbay Joint Powers Authority (TJPA)

Program Areas

Project FinanceValue CaptureTIFIA

Value Capture Techniques

Right-of-Way Use Agreement

Sales Tax Districts

Tax Increment Financing




TJPA was created in 2001 as a collaboration of Bay Area government and transportation agencies to design, build, operate, and maintain the new Transbay Transit Center, which will replace the existing Transbay Terminal that serves local, regional, and intercity bus transit. Its Board of Directors is composed of representatives from the City and County of San Francisco, including the San Francisco Municipal Railway (MUNI), the Office of the Mayor and the Board of Supervisors; the Alameda-Contra Costa Transit District (AC Transit); and the Peninsula Corridor Joint Powers Board-Caltrain, composed of the City and County of San Francisco, the San Mateo County Transit District, and the Santa Clara Valley Transportation Authority.

The Transbay Transit Center will replace the Transbay Terminal with a new multimodal transportation center and centralize the region's transportation network by accommodating nine transportation systems under one roof, as well as California High Speed Rail and an underground pedestrian connection to the Embarcadero BART/Muni station. The project consists of three components:

  • Replacing the outdated Transbay Terminal with a modern transit hub consisting of one above-grade bus level, ground-floor, concourse, and two below-grade rail levels serving Caltrain and future California High Speed Rail
  • Extending the Caltrain rail line from its current terminus 1.3 miles into the heart of the Financial District, including a provision for future California High Speed Rail (Caltrain Downtown Extension Program)
  • Redeveloping the area surrounding the Transbay Transit Center with 2,600 new homes (35% affordable), parks, and a retail main street

The project is being developed in two phases. Phase 1 includes the Transit Center building and the below-grade rail levels, along with a new bus ramp connecting the Transit Center to a new off-site bus storage facility and the San Francisco-Oakland Bay Bridge. Phase 2 includes the Caltrain Downtown Extension Program.

A Temporary Terminal serves existing bus passengers (AC Transit, WestCAT, MUNI, Golden Gate Transit, SamTrans, and Greyhound) while the new transit center is under construction.

A complementary transit tower will be built adjacent to the Transit Center and will provide additional financing for the project.


Total program cost estimate - $6,194 million

Total cost for Phase 1 - $2,259.4 million

  • Construction - $1,488.9 million
  • Program costs - $595.3 million
  • Contingencies/reserves - $211.3 million
Funding Sources

Phase 1 only. Funding for Phase 2 is being secured.


  • San Francisco Proposition K sales tax - $139.3 million
  • San Mateo County Measure A sales tax - $4.5 million
  • AC Transit Capital Contribution - $39.4 million
  • Lease & Interest Income - $3.8 million
  • Transferrable Development Rights - $4 million
  • Transit Center District Plan (Mello Roos Community Facilities District) - $146.6 million
  • Bridge financing (loan) - $154.0 million
  • City Financing - $247.5 million
  • Other Local - $4.1 million


  • RTIP - $10.2 million
  • Regional Measure 1 (RM-1) Bay Area toll bridge revenue - $54.4 million
  • Regional Measure 2 (RM-2) Bay Area toll bridge revenue - $143 million
  • AB 1171 (Bay Area toll bridge seismic retrofitting legislation) - $150 million


  • Land Sales - $515.6 million


  • TEA-21 Earmark - $8.7 million
  • SAFETEA-LU Earmarks - $53.5 million
  • TIFIA Loan - $171 million
  • FRA Rail Relocation - $2.7 million
  • ARRA High Speed Intercity Passenger Rail - $400 million
  • One Bay Area Grant - $6.2 million
  • FEMA Grants - $0.1 million
Project Delivery / Contract Method

The San Francisco Redevelopment Agency (SFRA) in collaboration with the Transbay Joint Powers Authority is developing the project through competitive bid by private developers under the SFRA's Redevelopment plan. The transit tower joint development project is enabled by a Right-of-Way Use Agreement.

Private Partner


Project Advisors / Consultants

Pelli Clarke Pelli Architects/Hines - Transit Center design and development team

Webcor Obayashi, Joint Venture - Construction management

Orrick, Herrington & Sutcliffe - Bond counsel


  • TIFIA Legal Advisor - Katten Muchin Rosenman LLP
  • TIFIA Financial Advisor - First Southwest Company


Goldman Sachs Bank (bridge loan)

City and County of San Francisco (interim financing)

Duration / Status

Temporary terminal construction started in December 2008 and the facility opened in August 2010.

Phase 1 substantial completion is expected in October 2017.

TIFIA Credit Assistance

Direct Loan - $171.0 million

The TIFIA loan is secured by a senior lien on Project Revenues, which include dedicated tax increment revenues from land sold and developed in the state-owned parcels surrounding the Transit Center (98% of revenues), and a commitment of passenger facilities charges from the Transit Center's initial primary tenant, AC Transit (2% of revenues).

Financial Status / Financial Performance

TIFIA credit agreement was executed on January 25, 2010.

  • This is the first TIFIA loan secured by value capture revenues from real estate taxes on surrounding transit oriented development.
  • The new transit center, with its sustainable and green building features, will make public transit a convenient option, thereby decreasing congestion and pollution.
Related Links / Articles

Transbay Transit Center Website

Temporary Terminal Website

Phase 1 Budget Estimate

Phase 2 Budget Estimate

San Francisco Office of Community Investment and Infrastructure Transbay Project page


Mark Zabaneh
Executive Director
Tel: (415) 597-4620

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