Two-Story Mixed-Use
For Sale
$4,995,000
1122 Folsom, San Francisco, CA 94103
Fully renovated, two-story freestanding commercial building delivered vacant at close of escrow.
Property Size8,000 SF
Days on Market38
Property Features for 1122 Folsom
General Information
Standard status
Active
Size
8,000 SF
Building Details
Building Size
8,000 SF
Year Built
1923
Year Renovated
2023
Stories
2
Listing Agency:
(415) 317-5888
Listed By:
The Wiley Team
(415) 317-5888
Source:
Sanfranciscorealestategroup.idxbroker
Added: Jul 23
Changed: Aug 27
Last Checked: Aug 29 at 5:48AM
Displayed information is deemed reliable but is not guaranteed and should be independently verified. All listing content including descriptions, pricing, images are the copyrighted material of The Wiley Team
Investment Insights
Based on property information with market context.
This two-story, freestanding commercial building is fully renovated and offered in move-in condition. The ground floor includes commercial space that was renovated in 2018, and the second floor features a custom residential build-out completed in 2023.
The property will be delivered 100% vacant at close of escrow. It is located in a central SOMA setting and is being offered for fee simple purchase to owner-users and investors.
The building’s layout supports a mixed commercial and residential configuration, with the most recent improvements completed through the 2018 and 2023 renovation cycles.
The property will be delivered 100% vacant at close of escrow. It is located in a central SOMA setting and is being offered for fee simple purchase to owner-users and investors.
The building’s layout supports a mixed commercial and residential configuration, with the most recent improvements completed through the 2018 and 2023 renovation cycles.
Key Highlights
- Fee simple interest in a two‑story, freestanding commercial building at 1122 Folsom Street
- Fully renovated and delivered in move‑in condition
- Extensively renovated in 2018 with ground floor commercial space
Financial Insights
Estimated NOI and Cap Rate
NOI = area × lease_rate × (100 − vacancy) / 100 × (1 − expense_ratio). Net Operating Income — what the owner takes home each year before mortgage payments and income tax. Effective rent (asking rent minus vacancy losses) minus operating costs (taxes, insurance, maintenance, management).
NOI / Yr
$197,123
Cap rate = NOI / list price × 100. Capitalization rate — annual return on a fully cash purchase, before financing. NOI divided by price. Higher means more income per dollar invested, but usually also more risk or older condition. 5–8% is typical for stabilized commercial property; double digits often signal distressed deals.
Cap Rate
3.95%
Suggested Prices Based on Cap Rates
Cap rates vary significantly by property type, market, and asset quality.
Typical U.S. stable-market ranges:
Multifamily — 4.5% to 6.5% (Class A in primary markets often sub-5%; Class C in secondary markets 6%+)
Industrial / Logistics — 5.0% to 7.0% (compressed heavily in recent years due to e-commerce demand)
Office — 6.5% to 9%+ (wide spread post-2020; CBD Class A vs. suburban Class B varies dramatically)
Retail — 5.5% to 8.5% (grocery-anchored on the low end, unanchored strip centers higher)
Hospitality / Hotels — 7.5% to 10%+ (higher due to operational risk)
Self-Storage — 5.5% to 7.5%
Medical Office — 6.0% to 7.5%
Net Lease (single tenant, credit) — 5.0% to 7.0% depending on tenant credit and lease term
Rules of thumb:
Primary markets (NYC, SF, LA, Boston, DC) trade at lower cap rates than secondary/tertiary markets, often by 100–200 bps (bps, aka basis points; 1 bp = 0.01%).
Class A assets trade ~50–150 bps tighter than Class B, and Class B tighter than Class C.
Cap rates move inversely with price — a lower cap rate means a higher price for the same NOI.
Spread to the 10-year Treasury is a common benchmark; historically 200–400 bps over the 10-year.
Cap Rate 5%
$3,942,460
$3.9M
Cap Rate 7%
$2,816,043
$2.8M
Cap Rate 9%
$2,190,256
$2.2M
Market Conditions
NOI Build-Up for 8,000 SF
Vacancy — income lost from leasable area expected to sit empty during the year, subtracted from gross rent.
EGI (Effective Gross Income) — gross rent minus vacancy losses, the realistic income before paying operating costs.
OpEx (Operating Expenses) — recurring costs to operate the property (property tax, insurance, utilities, maintenance, management); excludes financing and capital improvements.
NOI (Net Operating Income) — income a property generates after operating costs but before financing and taxes.
Gross rent
$352.3K $44.04/SF
− Vacancy
−$89.5K −$11.19/SF
EGI
$262.8K $32.85/SF
− OpEx
−$65.7K −$8.21/SF
NOI
$197.1K $24.64/SF
Area
San Francisco, CA
Vacancy
25.40%
Lease Rate
$44.04 /SF/Yr
Expense Ratio
25.00%
Simulate Cap Rate and NOI
Suggested Prices Based on Cap Rates
Cap rates vary significantly by property type, market, and asset quality.
Typical U.S. stable-market ranges:
Multifamily — 4.5% to 6.5% (Class A in primary markets often sub-5%; Class C in secondary markets 6%+)
Industrial / Logistics — 5.0% to 7.0% (compressed heavily in recent years due to e-commerce demand)
Office — 6.5% to 9%+ (wide spread post-2020; CBD Class A vs. suburban Class B varies dramatically)
Retail — 5.5% to 8.5% (grocery-anchored on the low end, unanchored strip centers higher)
Hospitality / Hotels — 7.5% to 10%+ (higher due to operational risk)
Self-Storage — 5.5% to 7.5%
Medical Office — 6.0% to 7.5%
Net Lease (single tenant, credit) — 5.0% to 7.0% depending on tenant credit and lease term
Rules of thumb:
Primary markets (NYC, SF, LA, Boston, DC) trade at lower cap rates than secondary/tertiary markets, often by 100–200 bps (bps, aka basis points; 1 bp = 0.01%).
Class A assets trade ~50–150 bps tighter than Class B, and Class B tighter than Class C.
Cap rates move inversely with price — a lower cap rate means a higher price for the same NOI.
Spread to the 10-year Treasury is a common benchmark; historically 200–400 bps over the 10-year.
Cap Rate 5%
$3,942,460
Cap Rate 7%
$2,816,043
Cap Rate 9%
$2,190,256
Alternative Uses
Best Use
Office B
$2.82M
$2.46M – $3.29M
NOI $197,123 @ 7.0% cap · market cap 3.95%
Second Best
Mixed Use
$2.55M
$2.23M – $2.98M
NOI $178,500 @ 7.0% cap · market cap 3.57%
Theoretical Best
Specialty Retail
$39.08M
$34.19M – $45.59M
NOI $2,735,370 @ 7.0% cap · market cap 54.76%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
12,243
Businesses Nearby
Explore this area
Business Placement
Demographics for 94103, CA
37,843
Population
20,920
Households
1.8
Avg Household Size
37
Median Age
56%
College-Educated
88%
High-School Grad
1.4 sq mi
ZIP Area
27,031
Density / Sq Mi
$122,339
Median Household Income
$83,348
Median Earnings
$2,146
Median Rent
$1,057,600
Median Home Value
Market
Vacancy Rate% for Office in San Francisco, CA
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Frequently Asked Questions
What type of property is this?
Live-work space - Fully renovated, two-story freestanding commercial building delivered vacant at close of escrow.
Where is this live-work space located?
The property is located at 1122 Folsom San Francisco, CA.
What is the asking price?
The asking price for this property is $4,995,000.
What are key features of this property?
This property features: Fee simple interest in a two‑story, freestanding commercial building at 1122 Folsom Street; Fully renovated and delivered in move‑in condition; Extensively renovated in 2018 with ground floor commercial space
