Investing for free, sort of.

An attempt to open the investment, and profits, of redeveloping the Hunters Point Shipyard to various Bayview leaders has had to change course.

The community builder program, part of the city’s original plan to develop the shipyard, paired prominent members of the Bayview community, some of them religious leaders, with construction companies. Originally, each would have shared the cost of construction, investing potentially millions of dollars, to be paid a management fee—three percent of construction’s total profits—a net gain of several hundred thousand dollars for a lot of 25 homes.

Because of the tightening credit market, those who would be community builders have had trouble coming up with the cash.

Trying to preserve the program, Lennar Urban, the company overseeing the shipyard’s development, has shifted the entire cost to construction companies. This will allow several Bayview leaders, including Bishop Lee of the Shiloh Full Gospel Church and George Davis, the executive director of the Bayview Multi-Purpose Senior Center, to participate in the redevelopment even though credit is tight.

However, some worry that without skin in the game, community builders will reap an investor’s benefits without having to contribute to the redevelopment.

“(Community) builders need to put up the equity,” said Christine Johnson, the head of the housing branch of the Community Advisory committee, which oversees the redevelopment on behalf of Bayview residents.

Without that incentive, Johnson said, community builders won’t contribute resources to their respective projects.

Cheryl Smith, the director of community affairs for Lennar Urban’s Bay Area division, said the community builders would be expected to play a managerial role.

“This is not a handout from Lennar,” Smith said.

However, Smith was vague as to what exactly each community builder would have to bring to his project.

As plans currently stand, over 10,000 homes and 3.5 million square feet of retail space will be constructed on the former shipyard.

When pressed by Johnson in a CAC meeting on April 23, Smith defended the program, saying it was important for community members to contribute to, and benefit from, the redevelopment.

“My kids will see other people in this community being involved in developing their neighborhood,” Smith said. “To me, that’s significant.”