282 Valley Street, San Francisco, CA 94131 For Sale

282 Valley Street is a six-unit multifamily asset located in the heart of San Francisco. Offered at $3,480,000, this property presents a compelling combination of in-place cash flow and significant rental upside, supported by strong submarket fundamentals and a clear path to future value creation in one of the nation's most supply-constrained real estate markets.

The asset is currently generating a 5.09% cap rate, with clear potential for improvement to a 9.06% pro forma cap rate through targeted rental increases and operational improvements. In-place income reflects a GRM of 15.09, which is poised to compress to 9.19 as rents are brought in line with market levels, generating additional revenue and increasing overall asset value.

At $580,000 per unit and $584.87 per square foot, 282 Valley Street offers an attractive entry point into the San Francisco multifamily market, where supply is limited, and demand remains high. The property is fully occupied with all six units currently leased below market. The significant loss-to-lease creates an opportunity to enhance value by repositioning rents toward market rates without requiring substantial capital investment.

Originally constructed in 1910, the property benefits from classic architectural appeal and durable construction, characteristics that continue to resonate with tenants seeking authentic housing in a vibrant, highly sought-after neighborhood.

Located in one of San Francisco's most desirable neighborhoods, the property is well-positioned to capture strong demand and robust future rental growth. 282 Valley Street represents a prime opportunity to acquire an income-producing asset with embedded upside potential, offering both attractive current returns and a clear path to enhanced profitability through rental rate normalization.