Luxury revival in San Francisco

Not so long ago, reports from San Francisco, California, detailed the flight of retailers from the downtown area. Today, previously vacant stores are being occupied by brands that cater to the ultra-wealthy, transforming Union Square into a premier destination where shopping by appointment and prime European retailers are the norm, according to a February 2025 report from real estate data company CoStar.

It’s not just high-end retailers that have their sights on the city. An April 2025 report from Bloomberg, among others, shows growing interest and purchases of commercial properties from a range of big names, including Golden State Warriors star Stephen Curry, Google’s Sergey Brin, and well-capitalized investment groups. On the residential side, agents are seeing growing demand for ultra-high-end properties.

“There is renewed confidence and momentum in San Francisco, particularly at the top end of the market,” says Neill Bassi, global real estate advisor, at Sotheby’s International Realty - San Francisco Brokerage. “One of the things that defines San Francisco real estate is that it’s a momentum market, energized by the belief that tomorrow is going to be better than yesterday. There was a little bit of a lull for a short time, but if you ask anyone who’s buying today, their confidence is ultra-high.”

Bassi specializes in single-family homes within the city proper, where US$7 million to US$8 million is the threshold for luxury and the ultra-high market starts at or above US$20 million. “In 2024, we had more sales over US$20 million recorded in a single calendar year than ever before,” he says. A transaction led by Bassi, a US$30 million estate in Sea Cliff, has already set a record this year, as of April 2025. “If you look at the sales north of US$20 million last year, you’ll see some that are on double lots, fully renovated within the last 10 years or sooner, with big views. Then you’ll see others that are long-term, multi-year renovation projects in a once-in-a-generation location.”