The Redstone Building 2940 16th St 55,560 SF 100% Leased Office Building San Francisco, CA 94103 $8,490,000 ($152.81/SF) 8.15% Cap Rate

NAI Northern California is pleased to present the Redstone Building (once known as the San Francisco Labor Temple) at 2924-2948 16th Street, an iconic steel-framed, three-story, low-rise office boasting a total building area of 55,560 square feet. Presenting significant rent upside, with current in-place rents averaging $22 per square foot compared to market rates of $39 per square foot, this offering has strong income growth potential through renewals and tenant turnover. Additional value can be unlocked through the unfinished 8,690-square-foot basement, which a future owner may improve for further income generation. At an offering price of just $193 per square foot, this is a rare opportunity to acquire a fully leased Mission District asset at a compelling value relative to comparable improved properties.

The Redstone Building is rich in history and filled with character and charm, showcased by its brick masonry and concrete exterior facade. Highly visible, this building features street frontage along both 16th Street and Capp Street. Current tenants include small offices, community organizations, artists and art spaces, event and performance spaces, and a church. Restoration efforts have revitalized The Redstone Building into a vibrant, modern workspace, positioning new ownership to benefit from a stabilized asset with continued upside potential.

The property has undergone extensive upgrades and improvements across multiple areas. Interior enhancements include the clearing of five former theater units, one of which had seating and theatre aesthetics preserved, while vacant spaces received new flooring, lighting, plumbing fixtures, and paint. Outdated wall heaters were replaced with modern, energy-efficient models. Building systems and common areas have also been updated with a modernized elevator, new plumbing fixtures, shut-off valves, motion-sensor LED lighting, and fresh paint. Rest assured, the building's historic murals have been meticulously preserved. Security and access have been elevated with the installation of cameras on every floor, app-based and code-entry systems for units and common areas, and the replacement of the rear gate and fencing. Structural upgrades include comprehensive basement waterproofing and drainage improvements, along with the installation of new sump pumps.

The Redstone Building, located in the Mission District, a buzzing and desirable neighborhood in San Francisco, is home to a population of 47,205 and offers an intersection of vibrant culture and socioeconomic diversity. Serving as a Latino cultural hub, the Mission is home to many restaurants, boutiques, and a rich art scene that includes the largest collection of murals in the city. Geographically, the Mission is part of the Eastern Neighborhoods along with SoMa, Showplace Square/Potrero Hill, and Central Waterfront.