Barry Bram, Principal, CCIMPh: 415.268.2231 / Fax: 415.367.2556

bbram@tricommercial.com / BRE: 00639738

PRESENTING FOR SALESheldon Hotel62 SRO Units & 3 Retail StoresUnion Square West

629 Post Street, San Francisco, CA 94109

TRI Commercial Real Estate Services, Inc. 100 Pine Street, Suite 1000, San Francisco, CA 94111

The information in this document was obtained from sources we deem reliable; however, no warranty or representation, expressed or implied, is made as to the accuracy of the information contained herein.

629 Post Street, San Francisco, CA

Located on Post Street Between Taylor and Mason

PROPERTY PROFILE

PROPERTY SUMMARY:

Address: 629 Post Street, San Francisco, CA 94109 Including Retail Stores 625-627-633 Post Street

Price: $17,000,000

Cap Rate: 4.70% (based on pro forma)

Price Per Unit: $252,000 (after deduction for value of retail spaces)

APN: 0305-032

Total Lot Area: ±3,123 square feet, accessible from both Post Street and Isadora Duncan Lane (aka: Adelaide Place)

Total Existing Building Area: ±18,056 square feet

Historic Status: A-Historic Resource Present (See San Francisco Preservation Bulletin No. 16)

Zoning District: RC-4, Residential - Commercial High Density

Special Use District: North of Market, Residential 1 Fringe Financial Service R&D

Height Limit: 80-T-130-T

Year Built: 1926-Brick and steel frame construction. Not on San Francisco city UMB list.

629 Post Street is a 62 unit single room occupancy prop-erty with 3 commercial units - it presents an opportunity to purchase for the first time on the market in several decades, a classic mixed use property located just two blocks from Union Square, between Jones and Taylor, near shopping, theatres and restaurants as well as many art, language and other vocational schools.

The property was constructed in 1925 and is brick and steel frame; It was sprinklered in 2002. The building uses radi-ant heating and has a master meter for PGE and a 350 gal-lon general use hot water storage tank. The roof received new bituthene layering in 2014. There is on-site laundry for general housekeeping, only.

The property includes 62 single resident occupancy units (SROs) all with full bathrooms (2/3 of which have bath tubs and showers, the other 1/3 with stall showers) and 3 retail stores along Post Street. In the rear of the property, there are two garage entrances along Isadora Duncan Lane (aka Adelaide Place) providing several car parking spaces in each. The residential units range in size from small, me-dium and large, with four of each sized units on each of the upper 5 floors and an additional two medium sized units a few steps above the ground floor. There is a small common kitchen and an office on the same level.

On the entry level, there is a gracious lobby, reception desk, elevator and curving open stairway leading to the upper floors. Facing Post Street are three retail stores, each with their own entry; La Post-Dry Cleaning, Infinite- Clothing Boutique, and Asaka-Antiques.

There are no tourist or single night rental licenses; the hotel currently offers weekly and monthly rentals with free inter-net, TV, mini-fridge and weekly housekeeping services.

TRI Commercial Real Estate Services, Inc. 100 Pine Street, Suite 1000, San Francisco, CA 94111

The information in this document was obtained from sources we deem reliable; however, no warranty or representation, expressed or implied, is made as to the accuracy of the information contained herein.

629 Post Street, San Francisco, CA

PROPERTY HIGHLIGHTS:

• Close to Union Square

• Near shopping & restaurants

• 62 units Single Room Occupancy

• Three retail stores

• Parking garages on Isadora Duncan Lane

• All units with full bathroom

• Vacancies allow for new owner flexibility

• All rooms furnished, TV, mini-fridge

PROPERTY FEATURES:

• Building Size: ±18,056 Square Feet (S. F. Prop. Info)

• Lot Size: ±3,123 Square Feet

• Zoning: RC-4; Residential – Commercial; High Density

• Parcel Number: 0305-032

• Year Built: 1925

• Construction: Brick and Steel Frame-not on UMB list

• Roof: Torch-down Bituthene (2014)

• Stories: 6 Stories

TRI Commercial Real Estate Services, Inc. 100 Pine Street, Suite 1000, San Francisco, CA 94111

The information in this document was obtained from sources we deem reliable; however, no warranty or representation, expressed or implied, is made as to the accuracy of the information contained herein.

629 Post Street, San Francisco, CA

OLYMPIC CLUB

Marke

t St

Maso

n S

t

Taylo

r St

Post St

Bush St

Pow

ell S

t

Turk St

629 POST STREET

Geary St

Sutter St

Pine St

Eddy St

TRI Commercial Real Estate Services, Inc. 100 Pine Street, Suite 1000, San Francisco, CA 94111

The information in this document was obtained from sources we deem reliable; however, no warranty or representation, expressed or implied, is made as to the accuracy of the information contained herein.

629 Post Street, San Francisco, CA

INCOME & EXPENSES PROFORMA

62

INCOME & EXPENSES PRO-FORMA MARKETScheduled Annual Gross Income (See Proforma Rent Roll)Rental Occupancy $1,339,524Retail Spaces $86,640Garage Spaces $28,800Scheduled Annual Gross Income $1,454,964

Less Vacancy (Estimated@ 12% of Scheduled Annual Gross Income) 10% -$145,496Adjusted Scheduled Annual Gross Income $1,309,468

ESTIMATED ANNUAL EXPENSES MARKETProperty Taxes (Estimated@ 1.1792% of $17m Sales Price) $200,464 17,000,000 0.011792Special Tax Assessments $22,338 200464Insurance 1.5% $20,093Gas & Electric $55,000Water & Sewage $45,000Garbage $24,000Telephone $1,850Resident Manager - Salary, Taxes, Rent Credit, & Benefits $42,000Pest Control $3,500Property Management (Estimated @ 5% of Adjusted Gross Income) 5% $65,473Repairs & Maintenance (Estimated@ $500 per unit) $500 $31,000Estimated Annual Operating Expenses 39.00% $510,718

Estimated Net Operating Income $798,749 4.6985%

629 Post Street, San Francisco, CA64 Unit SRO + Retail

629 Post Street, San Francisco, CA

LOCATION

TYPE UNIT (ALL WITH FULL

BATHROOMS) DESCRIPTION NO. OF UNITS PROFORMA

MONTHLY PER UNIT PROFORMA

MONTHLY TOTAL PROFORMA

ANNUAL Ground 1BR manager / MEDIUM 1 $2,000 $2,000 $24,000Ground 1BR storage $2,000 $2,000 $24,000Ground 1BR Office $2,000 $2,000 $24,000Ground 1BR VACANT / MEDIUM 1 $2,000 $2,000 $24,000

FL 2 1BR SMALL UNIT Perm* 2 $500 $1,000 $12,000FL 2 1BR MEDIUM UNIT Perm* 2 $600 $1,200 $14,400FL 2 1BR LARGE UNIT Perm* 2 $700 $1,400 $16,800FL 2 1BR SMALL UNIT 2 $1,800 $3,600 $43,200FL 2 1BR MEDIUM UNIT 2 $2,000 $4,000 $48,000FL 2 1BR LARGE UNIT 2 $2,200 $4,400 $52,800FL2 1BR SMALL UNIT/ L. GAMACHE 1 $587 $587 $7,044FL 3 1BR SMALL UNIT/ P. GARRARD 1 $588 $588 $7,056FL 3 1BR SMALL UNIT 2 $1,800 $3,600 $43,200FL 3 1BR MEDIUM UNIT 4 $2,000 $8,000 $96,000FL 3 1BR LARGE UNIT 4 $2,200 $8,800 $105,600FL 4 1BR SMALL UNIT 4 $1,800 $7,200 $86,400FL4 1BR MEDIUM/ D. MCGEE 1 $675 $675 $8,100FL 4 1BR MEDIUM UNIT 3 $2,000 $6,000 $72,000FL4 1BR LARGE/ B. STAFFORD 1 $972 $972 $11,664FL 4 1BR LARGE UNIT 3 $2,200 $6,600 $79,200FL 5 1BR SMALL UNIT 4 $1,800 $7,200 $86,400FL 5 1BR MEDIUM UNIT 4 $2,000 $8,000 $96,000FL5 1BR LARGE/ R. WALKER 1 $648 $648 $7,776FL 5 1BR LARGE UNIT 3 $2,200 $6,600 $79,200FL 6 1BR SMALL/ H.M. LIU 1 $1,650 $1,650 $19,800FL 6 1BR SMALL UNIT 3 $1,800 $5,400 $64,800FL6 1BR MEDIUM/ R. MORENO 1 $2,032 $2,032 $24,384FL6 1BR MEDIUM/ S. KRUGER 1 $675 $675 $8,100FL6 2BR MEDIUM/ C. WU 1 $2,000 $2,000 $24,000FL 6 2BR MEDIUM UNIT 1 $2,000 $2,000 $24,000FL 6 1BR LARGE UNIT 4 $2,200 $8,800 $105,600

SUBTOTAL 62 $111,627 $1,339,524Ground kitchen shared kitchen 1 $0 $0 $0625 Post Retail La Post Cleaners (exp 06/30/20) 1 $4,000 $4,000 $48,000627 Post Retail Inifinite SF (exp 09/31/17) 1 $1,800 $1,800 $21,600633 Post Retail Asaka Fine Arts (mo/mo) 1 $1,420 $1,420 $17,040

4 STALLS EACH SIDE @ $300 ea. 8 $2,400 $2,400 $28,800$9,620 $115,440

$121,247 $1,454,964

Proforma rental amounts reflect asking rents from the website

629 POST, SAN FRANCISCO, CA. SHELDON HOTEL; RENT ROLL / PRO FORMA RENTS

GARAGESUBTOTAL COMM'L

TOTAL

SHELDON HOTEL - RENT ROLL / PROFORMA

TRI Commercial Real Estate Services, Inc. 100 Pine Street, Suite 1000, San Francisco, CA 94111

The information in this document was obtained from sources we deem reliable; however, no warranty or representation, expressed or implied, is made as to the accuracy of the information contained herein.

629 Post Street, San Francisco, CA

RETAIL STORE 1Asaka Fine Arts633 Post StSan Francisco, CA 94109

Asaka Fine Arts is a privately held company in San

Francisco and is a single location business.

Categorized under Art Galleries and Dealers,

Asaka was established in 1990 and incorporated

in California.

TRI Commercial Real Estate Services, Inc. 100 Pine Street, Suite 1000, San Francisco, CA 94111

The information in this document was obtained from sources we deem reliable; however, no warranty or representation, expressed or implied, is made as to the accuracy of the information contained herein.

629 Post Street, San Francisco, CA

RETAIL STORE 2 La Post Cleaners625 Post StreetSan Francisco, California 94109

(No dry cleaning on site)

TRI Commercial Real Estate Services, Inc. 100 Pine Street, Suite 1000, San Francisco, CA 94111

The information in this document was obtained from sources we deem reliable; however, no warranty or representation, expressed or implied, is made as to the accuracy of the information contained herein.

629 Post Street, San Francisco, CARETAIL STORE 3 Infinite SF627 Post StreetSan Francisco, California 94109http://infinitesf.com/ Infinite SF opened in downtown San Francisco in 2010. As a lifestyle boutique, Infinite SF has a focus on quality menswear with selection of graph-ic t-shirts, cut & sew pieces, fleece, outerwear and more. A one of a kind store, our brands and exclusive gear is available online.

Infinite SF represents the street culture and works with a community of artists and creatives. Collab-orations happen year-round, with art shows and pop-up events, creating exclusive product.

TRI Commercial Real Estate Services, Inc. 100 Pine Street, Suite 1000, San Francisco, CA 94111

The information in this document was obtained from sources we deem reliable; however, no warranty or representation, expressed or implied, is made as to the accuracy of the information contained herein.

According to an article by Tomikka Anderson in the San Fran-cisco Chronicle in October of 2016, “

The Tenderloin may soon be the shopping destination for San Franciscans and tourists alike under the new name: “Union Square West.”

According to KPIX, a commercial real estate firm which stud-ies the changing market, has reported that major retailers such as West Elm, Ralph Lauren, Topshop and The Container Store have all expressed interest in leaving their current Union Square location for cheaper rent. The prime area of choice for moving their business is the Tenderloin.

Although this may appear to be good news for an area that has long been neglected, it is troubling for some business own-ers and residents who currently live there.

“I think there’s been a long history of the Tenderloin being a welcome area for people that don’t fit into society’s main stream,” Katie Conry of the Tenderloin Museum told KPIX.With plans in the works for Union Square West, many fear they will be forced out due to rent increases and the neighbor-hood will eventually lose its identity.

The new 16 square-block shopping district would be located between Mason, Sutter, Jones, and Market Street. (Map of this area to follow).

“A new area is taking shape, bridging the gap between the newest trade area in San Francisco, Mid-Market, with the grit-ty, up-and-coming Tenderloin, and it has potential to be one of the hottest retail locations in San Francisco,” according to the commercial real estate report.

629 Post Street, San Francisco, CA

Neighborhood...Could be re-named ‘Union Square West’

TRI Commercial Real Estate Services, Inc. 100 Pine Street, Suite 1000, San Francisco, CA 94111

The information in this document was obtained from sources we deem reliable; however, no warranty or representation, expressed or implied, is made as to the accuracy of the information contained herein.

629 Post Street, San Francisco, CA

OLYMPIC CLUB

MARKET

STRE

ET

MASO

N S

TREET

TAYLO

R S

TREET

POST STREET

BUSH STREET

POW

ELL STR

EET

TURK STREET

629 POST STREET

TRI Commercial Real Estate Services, Inc. 100 Pine Street, Suite 1000, San Francisco, CA 94111

The information in this document was obtained from sources we deem reliable; however, no warranty or representation, expressed or implied, is made as to the accuracy of the information contained herein.

629 Post Street, San Francisco, CA

TRI Commercial Real Estate Services, Inc. 100 Pine Street, Suite 1000, San Francisco, CA 94111

The information in this document was obtained from sources we deem reliable; however, no warranty or representation, expressed or implied, is made as to the accuracy of the information contained herein.

629 Post Street, San Francisco, CA

TRI Commercial Real Estate Services, Inc. 100 Pine Street, Suite 1000, San Francisco, CA 94111

The information in this document was obtained from sources we deem reliable; however, no warranty or representation, expressed or implied, is made as to the accuracy of the information contained herein.

629 Post Street, San Francisco, CA

TRI Commercial Real Estate Services, Inc. 100 Pine Street, Suite 1000, San Francisco, CA 94111

The information in this document was obtained from sources we deem reliable; however, no warranty or representation, expressed or implied, is made as to the accuracy of the information contained herein.

629 Post Street, San Francisco, CA

TRI Commercial Real Estate Services, Inc. 100 Pine Street, Suite 1000, San Francisco, CA 94111

The information in this document was obtained from sources we deem reliable; however, no warranty or representation, expressed or implied, is made as to the accuracy of the information contained herein.

629 Post Street, San Francisco, CA

TRI Commercial Real Estate Services, Inc. 100 Pine Street, Suite 1000, San Francisco, CA 94111

The information in this document was obtained from sources we deem reliable; however, no warranty or representation, expressed or implied, is made as to the accuracy of the information contained herein.

629 Post Street, San Francisco, CA

PARCEL MAP

TRI Commercial Real Estate Services, Inc. 100 Pine Street, Suite 1000, San Francisco, CA 94111

The information in this document was obtained from sources we deem reliable; however, no warranty or representation, expressed or implied, is made as to the accuracy of the information contained herein.

629 Post Street, San Francisco, CA

DEMOGRAPHICS REPORT

1 MILE 3 MILE 5 MILEPopulationEstimated Population (2016) 154,660 446,876 721,622

Estimated Households (2016) 86,688 228,486 327,484

IncomeEstimated Average Household Income (2016) $162,601 $163,003 $141,475

Estimated Median Household Income (2016) $127,750 $125,492 $106,384

Estimated Per capita Income (2016) $95,670 $93,255 $77,636

AgeMedian Age 19 Years or Less 9.7% 10% 10.2%

Median Age 20 to 64 Years 75.8% 74% 70.6%

Median Age 65 Years or Older 18.21% 13.93% 14.92%

Marital Status (2016)Marital Status (2016) Married 17,381 52,723 95,207

Marital Status (2016) Married No Children 12,927 35,739 60,692

Marital Status (2016) Married w/Children 4,454 16,984 34,515

Educational Attainment (2016) College Degree or Higher 15.22% 22.44% 20.71%

Household Income Distribution (2016)HH Income $200,000 or More 10.60% 17.73% 17.25%

HH Income $150,000 to $199,999 6.58% 9.42% 9.66%

HH Income $125,000 to $149,999 5.61% 8.01% 8.13%

HH Income $100,000 to $124,999 8.40% 10.03% 10.36%

Daytime Demographics (2016)Professionals 180,559 585,276 911,154

TRI Commercial Real Estate Services, Inc. 100 Pine Street, Suite 1000, San Francisco, CA 94111

The information in this document was obtained from sources we deem reliable; however, no warranty or representation, expressed or implied, is made as to the accuracy of the information contained herein.

DISCLAIMER AND CONFIDENTIALITY

The Confidential Material and Information in this Offering Memorandum (collectively “Information”) have been obtained from sources deemed reliable. This Information is for your use only in determining your interest in pur-suing negotiations to potentially acquire 629 Post Street, San Francisco, CA 94109 (“Property”) and owned by Seller (“Seller”). It contains selected summary information pertaining to the Property, and has been prepared by the Seller and Seller’s authorized consultant. TRI Commercial Real Estate Services, Inc. (“Exclusive Listing Broker”) has not made any investigation and does not warrant or represent the accuracy of such information. Although the information contained herein has been carefully compiled, the Seller makes no guarantee, representation or war-ranty of the accuracy or completeness of any information. Buyer shall only rely on its own independent estimates of construction costs and proforma income and expenses before any decision is made to invest in the Property.

This Confidential Material is for informational use only and under no circumstances whatsoever is deemed to be a contract, memorandum, or any other form of binding commitment.

The Seller is selling the Property in “AS IS” and “WHERE IS” condition with “All FAULTS” in the broadest sense of that term, without any representations or warranties. Buyer, or Buyer’s agent, shall be given a reasonable oppor-tunity to inspect and investigate the Property and its improvements. Receipt of this Information by Buyer does not entitle Buyer to rely on the Seller or its employees, contractors or agents, for any purpose, including, without limitations (1) The adequacy and physical condition of the Property; (2) the suitability of the Property for any par-ticular purpose; (3) the condition of soils, geology and hydrology; (4) the existence or adequacy of utilities serving the Property; (5) the zoning or legal status of the Property; (6) the compliance of the Property with any environ-mental protection, pollution or land-use laws, rules, regulations, orders or requirements; and (7) the condition of title and the nature and status of any condition, covenant, encumbrance, license, lease, lien, restriction, reserva-tion, right of redemption, right-of-way and any other matter affecting title.

The Seller reserves the right to withdraw the offering of the Property without notice, to reject all offers, and to accept any offer without regard to the relative price and terms of any other offer. Neither the prospective Buyer nor Seller shall be bound until full execution of the contract of purchase and sale, which contract shall supersede prior discussions and constitute the sole agreement of the parties. Prospective Buyers shall be responsible for their costs and expenses of investigating the Property without reimbursement.

Buyer shall submit any expressions of interest and/or offers to purchase the Property to the Seller, only through Seller’s exclusive listing broker, TRI Commercial Real Estate Services, Inc.

By acknowledgment of your receipt of this Information, you agree that the information and its contents are con-fidential; that you will hold and treat it in the strictest of confidence; that you will not directly disclose or permit anyone to disclose this presentation or its contents to any other person, firm or entity without prior written authorization of the Seller; and that you will not use or permit to be used this Information or its contents in any manner detrimental to the interest of Seller. Photocopying or duplication is strictly prohibited. If you do not wish to pursue negotiations leading to this acquisition, kindly return this Information to Seller’s exclusive listing broker, TRI Commercial Real Estate Services, Inc.

629 Post Street, San Francisco, CA

Contact:

Barry BramPrincipal, CCIMPh: 415.268.2231Fax: 415.367.2556bbram@tricommercial.comBRE: 00639738

TRI Commercial Real Estate Services100 Pine Street, Suite 1000San Francisco, CA 94111

629 Post Street, San Francisco, CA 94109