NewsThe San Francisco StandardOctober 24, 2026San Francisco County
San Francisco commercial real estate investors reap rewards from pandemic-era property purchases
Photo: The San Francisco Standard
Real estate investors who bought discounted San Francisco commercial properties during the pandemic downtown slump are now seeing strong returns amid an AI-driven economic recovery. Developers such as Flynn Properties, Brick & Timber Collective, and Presidio Bay acquired office towers and hotels at steep discounts and have since secured major tenants and completed renovations.
Read the full story at The San Francisco StandardWhy It Matters
Downtown property valuations plummeted during the pandemic, allowing select investors to acquire assets like Market Center and the Huntington Hotel at deep discounts, which are now generating new leases, hospitality projects, and economic activity as conventions and tech companies return to the city.
Key Facts
- Flynn Properties purchased the abandoned Huntington Hotel for $38 million in cash in 2023, subsequently completing a costly renovation and reopening it in March.
- Flynn Properties acquired Class B office building 631 Howard St. for about $36 million in 2024 and Market Center towers for $177 million in 2025, with Market Center trading at 76% below its previous value.
- Brick & Timber Collective raised a fund in 2023 aiming to spend $500 million on San Francisco office buildings, spending $32 million on a Jackson Square complex in 2024 and another $30 million on its renovation.
- Presidio Bay purchased 60 Spear St. (former Matson Navigation building) in 2023 for $41 million and spent over $41 million on renovations, bringing total costs to about $100 million.
- Presidio Bay's tenants at 60 Spear St. include Arsicault Bakery, Please Management, co-working firm Canopy, and anchor tenant Norwest Venture Partners.
- Presidio Bay nearly purchased the San Francisco Centre Mall and took over the former Federal Reserve building at 301 Battery St.
- Market Center has signed 160,000 square feet of new leases, and Brick & Timber has leased over half of its Jackson Square building, mostly to venture capital tenants.
- Investors cited the AI boom, returning conventions, and local leadership under Mayor Daniel Lurie as key catalysts for San Francisco's commercial real estate recovery.
Who's Mentioned
OrganizationArsicault Bakery“Tenant at the Presidio Bay development.”PersonGreg Flynn“Developer and fast food magnate, founder of Flynn Properties.”OrganizationPlease Management“Operator of a rooftop restaurant at the Spear.”PersonDaniel Lurie“San Francisco mayor credited by investors with aiding the recovery of the city's”OrganizationPresidio Bay“Real estate firm that purchased 60 Spear St., the former Matson Navigation build”OrganizationCanopy“Co-working firm leasing space at Presidio Bay's property.”PersonCyrus Sanandaji“Representative of Presidio Bay.”OrganizationNorwest Venture Partners“Anchor tenant at the Spear office resort.”PersonGlenn Gilmore“Founder of developer Brick & Timber Collective.”OrganizationBrick & Timber Collective“Developer that raised a fund in 2023 to buy office buildings in San Francisco.”OrganizationFlynn Properties“Real estate firm that purchased 222 Kearny, 180 Sutter, the Huntington Hotel, 63”locationSan Francisco“City where the commercial real estate transactions and economic recovery took pl”