Nossaman Congratulates the San Francisco Municipal Transportation Agency on Financial Close of Potrero Yard Modernization Project
Nossaman congratulates the San Francisco Municipal Transportation Agency (SFMTA) for reaching financial close on April 17, 2026 on the Potrero Yard Modernization Project. The Project will replace an obsolete, century-old bus yard with a modern, four-story, efficient bus maintenance and storage facility. The modernization will allow SFMTA to serve the projected future needs of its new battery-electric bus fleet. It will address critical transportation issues and improve efficiency, allowing SFTMA to repair buses faster and increase fleet reliability; bolster sustainability by providing a green infrastructure; allow for future growth—there will be room for 68% more buses at the updated yard; and improve work conditions by enhancing environments, amenities and safety conditions for the more than 800 SFMTA staff.
The Project has an estimated construction cost of approximately $620 million, and will be developed under a Design, Build, Finance (DBF) structure, employing an innovative 501c3 financing approach with tax-exempt bonds issued by the California Municipal Finance Authority, which are supported through an appropriations-only credit without any revenue pledge. Construction is expected to start in early 2027 and the new yard is expected to open in 2030.
Corey Boock and Elizabeth Cousins served as co-leads for the Nossaman team advising SFTMA. The team also included partners Andrée Blais and Lolly Enriquez. Our engagement began in 2021 with the procurement of a preliminary development agreement (PDA), ultimately resulting in the successful financial closing this week.
