South of Market now SF’s most valuable neighborhood

For the first time in San Francisco history, South of Market has the distinction of being the city’s highest-valued neighborhood, according to data released Thursday by the San Francisco assessor-recorder’s office, which establishes values for all taxable properties.

The construction of Salesforce Tower, the new Transbay Transit Center and a number of apartment towers helped push SoMa’s assessed value to around $17 billion, Assessor-Recorder Carmen Chu said.

Historically, San Francisco’s Financial District, with its tall office buildings and commercial properties, held the title of the city’s highest-valued neighborhood.

The aggregate value for all of San Francisco’s taxable value this year stands at $223 billion, a 10.8 percent increase over last year. Elsewhere across the Bay Area, growth rates averaged between 5 and 7 percent.

In San Francisco, the biggest contributing factor to this year’s growth spurt in valuation — 59 percent — came from real estate sales. Under state law, values are reassessed once a property is sold. When real estate prices are high, counties profit as properties change hands.

credit: sf chronicle