You could always build upward to house the rich people instead. I'm sure a lot of the incoming startup-types are young and would be happy to live in a high-rise (The correlation between youth and high-rise-living coming, in my experience, from the fact that people with kids often want more space. But that's not a hard-and-fast rule, obviously.).
> But it might make more sense to build lots of small scale housing, with a focus on building viable community spaces rather large scale ghettoes.
I'm not sure if SF has the land space to build lots of small-scale housing. I totally agree about building nice community spaces, though, and I think high-rise building is compatible with that (e.g., Manhattan's pocket parks).