San Francisco Mixed-Use Investment
For Sale
$1,595,000
Pending
9 Grace Street, San Francisco, CA 94103
Historic 1925 building with development potential in San Francisco.
Property Size4,919 SF
Lot Size0.07 Acres
Days on Market698
Property Features for 9 Grace Street
General Information
Standard status
Pending
Size
4,919 SF
Lot size
0.07 Acres
Property subtype
Commercial
Amenities
Alley
Neighborhood
Building Details
Year Built
1992
Listing Agency:
COMPASS COMMERCIAL
(415) 345-3000
Listed By:
STEVEN C GERRY · License #01926878
Source:
Corcoran
Added: Sep 15, 2024
Changed: Aug 8
Last Checked: Aug 3 at 5:51AM
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 COMPASS COMMERCIAL
Investment Insights
Based on property information with market context.
This historic 1925 building in San Francisco, California, presents a prime investment opportunity for multifamily or mixed-use purposes. The property, spanning 4,987 square feet, features 4 spacious units and offers versatile development potential due to its Mixed Use SLR Zoning. It has double frontages with zero lot line and a mezzanine garden that provides city views. Secure parking is available. The building is equipped with 400 amps, 3 phase electrical service.
Key Highlights
- Prime investment opportunity in San Francisco, CA.
- Historic 1925 building with 4 spacious units.
- Mixed Use SLR Zoning allows for versatile development.
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
$109,755
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
6.88%
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%
$2,195,100
$2.2M
Cap Rate 7%
$1,567,929
$1.6M
Cap Rate 9%
$1,219,500
$1.2M
Market Conditions
NOI Build-Up for 4,919 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
$206.6K $42.00/SF
− Vacancy
−$31.0K −$6.30/SF
EGI
$175.6K $35.70/SF
− OpEx
−$65.9K −$13.39/SF
NOI
$109.8K $22.31/SF
Area
San Francisco, CA
Vacancy
15.00%
Lease Rate
$42.00 /SF/Yr
Expense Ratio
37.50%
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%
$2,195,100
Cap Rate 7%
$1,567,929
Cap Rate 9%
$1,219,500
Alternative Uses
Best Use
Apartment 5plus
$2.28M
$2.00M – $2.66M
NOI $159,705 @ 7.0% cap · market cap 10.01%
Second Best
Mixed Use
$1.57M
$1.37M – $1.83M
NOI $109,755 @ 7.0% cap · market cap 6.88%
Theoretical Best
Specialty Retail
$24.03M
$21.02M – $28.03M
NOI $1,681,911 @ 7.0% cap · market cap 105.45%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
11,546
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 Multifamily in West region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Mixed-use property - Historic 1925 building with development potential in San Francisco.
Where is this mixed-use property located?
The property is located at 9 Grace Street San Francisco, CA.
What is the asking price?
The asking price for this property is $1,595,000.
What are key features of this property?
This property features: Prime investment opportunity in San Francisco, CA.; Historic 1925 building with 4 spacious units.; Mixed Use SLR Zoning allows for versatile development.
