Mixed-Use Hotel and SRO
For Sale
$2,995,000
725 Geary Street, San Francisco, CA 94109
Mixed-use building featuring 7 hotel rooms, 15 SRO units, and ground-floor commercial space with three vacant units.
Property Size4,986 SF
Price / SF$600.68
Days on Market54
Property Features for 725 Geary Street
General Information
Standard status
Active
Size
4,986 SF
Property subtype
COMMERCIAL
Zoning
RC-4
Additional Details
Business Included
Yes
Building Details
Building Size
4,986 SF
Year Built
1907
Listing Agency:
Vanguard Properties
(415) 510-8600
Listed By:
Drexlir Red Pothier
Source:
Cityrealestatesf
Added: Jul 9
Changed: Aug 24
Last Checked: Aug 30 at 11:14PM
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 Vanguard Properties
Investment Insights
Based on property information with market context.
725–727 Geary Street presents a mixed-use asset combining 7 tourist-licensed hotel rooms, 15 residential SRO units, and ground-floor commercial space. The property includes immediate in-place income alongside the opportunity to improve occupancy by lease-up of three currently vacant units.
Zoned RC-4 (Residential-Commercial, High Density), the building is positioned in San Francisco’s urban core near Union Square, Nob Hill, and the Financial District, with major transit also nearby. This tenant-and-income mix is structured across hospitality and residential use, offering an alternate stream of revenue within the same asset.
The offering is for sale with the building’s current hotel and SRO configuration in place, supported by the existing ground-floor commercial component.
Zoned RC-4 (Residential-Commercial, High Density), the building is positioned in San Francisco’s urban core near Union Square, Nob Hill, and the Financial District, with major transit also nearby. This tenant-and-income mix is structured across hospitality and residential use, offering an alternate stream of revenue within the same asset.
The offering is for sale with the building’s current hotel and SRO configuration in place, supported by the existing ground-floor commercial component.
Key Highlights
- Built in 1907, mixed‑use property with ground‑floor commercial space plus 7 tourist‑licensed hotel rooms and 15 residential SRO units
- Zoned RC‑4 (Residential‑Commercial, High Density)
- Includes 3 vacant units available for lease‑up
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
$148,930
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
4.97%
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%
$2,978,600
$3.0M
Cap Rate 7%
$2,127,571
$2.1M
Cap Rate 9%
$1,654,778
$1.7M
Market Conditions
NOI Build-Up for 4,986 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
$289.0K $57.96/SF
− Vacancy
−$18.2K −$3.65/SF
EGI
$270.8K $54.31/SF
− OpEx
−$121.9K −$24.44/SF
NOI
$148.9K $29.87/SF
Area
ZIP 94109
Vacancy
6.30%
Lease Rate
$57.96 /SF/Yr
Expense Ratio
45.00%
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%
$2,978,600
Cap Rate 7%
$2,127,571
Cap Rate 9%
$1,654,778
Alternative Uses
Best Use
Apartment 5plus
$2.13M
$1.86M – $2.48M
NOI $148,930 @ 7.0% cap · market cap 4.97%
Second Best
Hotel Hospitality
$532.9K
$466.3K – $621.7K
NOI $37,302 @ 7.0% cap · market cap 1.25%
Theoretical Best
Retail
$22.73M
$19.89M – $26.52M
NOI $1,591,165 @ 7.0% cap · market cap 53.13%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
Turnkey business
Opportunity
Location Intelligence
Trade Area within ½ mile
20,154
Businesses Nearby
Explore this area
Business Placement
Demographics for 94109, CA
58,501
Population
39,043
Households
1.5
Avg Household Size
38
Median Age
65%
College-Educated
90%
High-School Grad
1.1 sq mi
ZIP Area
53,183
Density / Sq Mi
$112,201
Median Household Income
$89,841
Median Earnings
$2,172
Median Rent
$1,390,000
Median Home Value
Market
Vacancy Rate% for Multifamily in West region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Hotel - Mixed-use building featuring 7 hotel rooms, 15 SRO units, and ground-floor commercial space with three vacant units.
Where is this hotel located?
The property is located at 725 Geary Street San Francisco, CA.
What is the asking price?
The asking price for this property is $2,995,000.
What are key features of this property?
This property features: Built in 1907, mixed‑use property with ground‑floor commercial space plus 7 tourist‑licensed hotel rooms and 15 residential SRO units; Zoned RC‑4 (Residential‑Commercial, High Density); Includes 3 vacant units available for lease‑up
