The approval
The San Francisco Planning Department granted final approval for a 23-story tower at 1965 Market Street. SF YIMBY reported the decision on 6 July 2026. The San Francisco Chronicle carried the story on 9 July 2026.
The site covers about 0.4 acre at the southwest corner of Market Street and Duboce Avenue. SF YIMBY puts the yield at about 237,650 square feet, with 206,060 square feet of housing, 2,450 square feet of retail and 16,500 square feet for an underground garage. Parking covers 62 cars and 138 bicycles. The approved total is 201 homes across 10 studios, 100 one-bedrooms, 81 two-bedrooms and 10 three-bedrooms.
No construction has started at the address. SF YIMBY records the estimated cost and timeline for construction as not yet established.
The corner holds two sites
Across Duboce Avenue, construction is set to start on a 15-story affordable project at 1939 Market Street with 187 units. Mercy Housing and Openhouse co-develop it. Paulett Taggart Architects leads the design with Y.A. Studio, and Swinerton and Rubecon will form the general contracting joint venture. SF YIMBY reported in December 2025 that the project is expected to cost at least $117 million and finish as early as 2029.
Riyad Ghannam of RG Architecture told the Chronicle the two projects will remake the block into a node on Market Street.
The sale a buyer would price
Keller Grover Properties owns the site and holds the approval. The law firm Keller Grover LLP occupies the existing three-story building. Chris Foley, a broker and developer who worked with the owner through the approval, told the Chronicle there are zero land comps for a project approved under the new state laws.
Foley told the Chronicle the project is designed to get built. Ghannam told the Chronicle the owners funded structural and mechanical engineering before any listing, and the renderings can be delivered. Financing is the remaining piece.
The Chronicle reports brokers expect a signed sale to set a value for land approved for dense development.
The entitlement a buyer inherits
The application used Senate Bill 330, Senate Bill 423 and the State Density Bonus law. SF YIMBY records residential capacity close to 89 percent above base zoning, with entitlements closed in under two years. The waivers cover rear yard, usable open space, dwelling-unit exposure, ground-floor commercial use, parking sizes and retail concessions.
The approval fixes a residential programme. A change of use carries its own entitlement review, and no published source states a hospitality use, a conversion plan, an operator or a hotel brand for the site.
The building at the base
The city planning department dates the existing three-story structure to 1926 and lists a mortuary and two apartments for the Gartner Brothers. SF YIMBY's April 2024 report dates the Mission Revival complex to 1924, names Walter C. Falch as its designer, records the Gantner Brothers' Funeral Home through the 1970s and cites a 2016 city historic review for the Atlas Saving and Loan Association at the address from 1981 to 1985.
The Chronicle lists the later occupants: a Kinko's, a FedEx outpost and the law offices of Keller Grover, and it records the building's place as the first LGBTQ+-owned bank in the United States.
Ghannam told the Chronicle the two-story main entrance becomes the lobby entrance to the condo tower, and the roof of the historic building becomes part of the tower's roof deck.
The spend that carries into a start
The approval adds 201 homes to the city's pipeline. Construction at the address waits on a buyer and a construction lender.