1538-1544 Polk Street, San Francisco, CA 94109, San Francisco, 94109 - 0 bed, 0 bath
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San Francisco, CA 94109
This Mixed-Use Value-Add Asset is listed at $4,500,000, representing a strategic entry into the Nob Hill commercial corridor. While the list price exceeds the $4,007,299 Fair Market Value, the valuation is supported by a Proforma 5% CAP Rate and significant rental upside from the 40-unit SRO and three ground-floor retail spaces. The property holds a Condition Rating of 5, indicating a need for capital improvements to modernize the 1907 structure. Proximity to Top-Rated Schools like Lowell High School ensures sustained demand. This is a premier opportunity for Buy-and-Hold Investors or Institutional Investors.
Comparables within 1 miles sold in recently
| Address | Sold Price | Beds | Baths | Sq Ft | $/Sqft | Distance |
|---|---|---|---|---|---|---|
★ 1538-1544 Polk Street Subject | $4,500,000* List Price | 0 | 0 | 14,160 | $283 | - |
A 1053 Bush Street Sold | $4,995,000 | 16 | 0 | 13,239 | $377 | 0.4 mi |
B 2160 Van Ness Avenue Sold | $4,600,000 | 2 | 0 | 12,066 | $381 | 0.3 mi |
* Subject property listed price vs sold prices of comps.
Property is extensive renovation needed.
Built in 1907, this property shows significant age-related wear with no evidence of recent major renovations. Interior photos reveal a highly dated kitchen area with old cabinetry, mismatched appliances, and worn flooring. Visible surface-mounted wiring and the SRO configuration with shared bathrooms indicate that the systems and facilities are likely over 30-50 years old and require a comprehensive rehab to reach modern market standards.
Elementary School: Chinese Immersion School At Deavila (9/10). Middle School: Lilienthal (Claire) Elementary School (9/10). High School: Lowell High School (10/10).
Situated in the heart of the Polk Street commercial corridor in Nob Hill, the property benefits from high foot traffic, Michelin-rated dining, and exceptional walkability in one of San Francisco's most desirable neighborhoods.
With the 40-room hotel currently on a month-to-month master lease, a savvy investor has the immediate opportunity to renegotiate terms or transition to direct operations to significantly increase cash flow and achieve the 5% proforma CAP rate.
A significant portion of the SRO units lack private bathrooms, relying on common area facilities, which may limit the tenant pool and necessitate future capital improvements to remain competitive.
As a 1907 structure, the property may face high ongoing maintenance costs and must navigate San Francisco's stringent SRO and hotel regulations regarding tenant rights and building codes.
1538-1544 Polk Street is a mixed-use (hotel + retail) property in the Nob Hill/Polk Gulch neighborhood of San Francisco. The three-story property features three (3) retail units on the ground floor and a 40-unit SRO/hotel above that is master leased to an operator, Shirley Hotels. Of the 40 rooms, 21 are SRO units, 7 are SRO with partial baths, 9 are tourist/transient and 3 are for manager use. The SRO units without bathrooms share 3 common area bathrooms. Two of three retail units are occupied by a tuxedo retailer and a foot massage service. The 40 room hotel is currently month-month. A savvy investor may renegotiate the lease or operate the hotel to significantly increase cash flow. The property is in a central location of the Polk Street commercial corridor in Nob Hill. The street is famous for its historic architecture, Michelin-rated cuisine, and abundant retail amenities. It is an exceptional location for this type of property due to its walkability and easy access to public transit. The investment appeal of this property is its location in San Francisco's most desirable neighborhood and its significant upside potential. Proforma CAP 5% based on vacant units rented at market rents.
No exterior & parking available.
Grades K-5 • 0.1 mi
Grades K-5 • 0.2 mi
Grades K-5 • 0.7 mi
No sensitive facilities data found.
| Feature | Subject | Average Home | Neighborhood Ranking (50 Listings) |
|---|---|---|---|
| Beds | 0.0 | 7.0 | 33% |
| Baths | 0.0 | 0.0 | 50% |
| Square foot | 14,160 | 7,300 | 67% |
| Lot Size | 4,722 | 2,495.99 | 67% |
| Price | $4.50M | $2.27M | 67% |
| Price per sq ft | $318 | $318 | 50% |
| Built year | 1907 | 1909 | 33% |
| HOA | $0 | $0 | 50% |
| Days on market | 54 | 221 | 33% |
Apr 23, 2026
$4,500,000
Initial Listing
Nov 26, 2013
$1,800,000
Public Record