Blue Hotel 626 O'Farrell St 13 Room Hotel San Francisco, CA 94109 $2,500,000 ($192,308/Room) 7.47% Cap Rate

Located less than a mile from San Francisco’s Union Square, the Blue Hotel presents a rare opportunity to acquire a mixed-use building in the heart of the city. The ground floor is anchored by the established Louder Restaurant, providing steady commercial income, while the upper floors consist of 13 SRO units. Residents benefit from access to a common kitchen along with private and shared restrooms. Seven of the rooms hold city-designated tourist licenses and are rented on a nightly basis, historically generating strong short-term rental income in one of the country’s top travel destinations. The remaining six rooms are suited for longer-term tenants, with four to be delivered vacant—allowing a new owner the flexibility to select tenants and stabilize rents. Offered at an 8.69% CAP rate and 8.67 GRM, the property provides immediate income with significant upside potential through lease-up and operational optimization.