REQUEST A TOUR If you would like to see this home without being there in person, select the "Virtual Tour" option and your advisor will contact you to discuss available opportunities.
In-PersonVirtual Tour
Listed by Michael B Johnston Engel & Voelkers San Francisco
$ 3,500,000
Est. payment | /mo
7,179 SqFt
$ 3,500,000
Est. payment | /mo
7,179 SqFt
Key Details
Property Type Commercial
Sub Type Office
Listing Status Active
Purchase Type For Sale
Square Footage 7,179 sqft
Price per Sqft $487
MLS Listing ID 426142225
HOA Y/N No
Year Built 1923
Lot Size 3,163 Sqft
Acres 0.0726
Property Sub-Type Office
New Construction No
Property Description
1939 Divisadero Street presents a rare opportunity to acquire a turnkey, income-producing office investment in one of San Francisco's most established and centrally located neighborhoods. Originally constructed as an apartment building and thoughtfully converted into professional office suites, the property consists of 24 individual office spaces and one ground-floor retail suite. The tenant roster is comprised primarily of therapists and counseling professionals, a highly desirable tenant base known for long-term occupancy, low turnover, and consistent demand. For investors seeking the stability typically associated with multifamily ownership, 1939 Divisadero offers many of the same benefitsnumerous small tenants, diversified income streams, and resilient occupancywithout the constraints of residential rent control. The result is a property that combines the predictability of apartment-style cash flow with the flexibility and income growth potential of commercial real estate. The building has been meticulously maintained and professionally managed, reflecting pride of ownership throughout. Current management may be available to remain in place, providing a seamless transition for a new owner. With only three office vacancies, the property generates a legitimate in-place 6.5% capitalization rate while still offering future upside through rental growth. The flexible lease structure provides optionality for both investors and owner-users, allowing a future owner the opportunity to occupy space while maintaining substantial income from the existing tenant base. This combination of immediate cash flow, occupancy flexibility, and long-term appreciation potential is increasingly difficult to find in today's investment market. Architecturally, the property retains the timeless character and charm of its residential origins while offering modern functionality for professional users. In turnkey condition and strategically positioned along the Divisadero corridor, 1939 Divisadero is a compelling investment opportunity that delivers strong current returns, operational stability, and future value creation potential.
Location
State CA
County San Francisco
Area Sf District 6
Interior
Fireplace No
Building
New Construction No
Others
Tax ID 1028002B
Featured Listings
Featured Listings
Listed by Pat Patricelli of Vanguard Properties
Listed by Pat Patricelli of Vanguard Properties
Listed by Rich Lewetzow of Sotheby's International Realty