Thinking about converting your 2 unit building into condominiums but not sure where to start? You are not alone. San Francisco’s process can feel complex, and the stakes are high when tenants, timelines, and construction are involved. In this guide, you will learn the key eligibility questions, what a 2‑unit owner‑occupant lottery bypass could look like, how to build your team, and the steps, documents, costs, and timelines to plan for. Let’s dive in.
What condo conversion means in San Francisco
Condo conversion is the city’s formal process for transforming a small multi‑unit building into individually owned units with a homeowners association. In San Francisco, the Expedited Conversion Program governs much of this work for 2 unit properties. The Planning Department manages conversion approvals, the Department of Building Inspection reviews permits and code compliance, the Rent Board oversees tenant protections, and the Assessor‑Recorder handles recording the subdivision map and new deeds.
The program balances owner rights with tenant protections. That means eligibility rules, tenant notice requirements, and clear steps for mapping and recording. Policies and fees change, so you should confirm the latest procedures directly with San Francisco agencies before spending on design or construction.
Eligibility basics to confirm first
Before you collect bids or draft documents, check these fundamentals. Getting clarity early helps you set a realistic plan and budget.
- Building type and size. Your property should be a qualifying 2 unit residential building. If there are commercial spaces, confirm whether they are allowed within the program.
- Owner occupancy. If you live in one unit, document how long you have continuously occupied it. Many programs require continuous occupancy for a specific period before application.
- Clear title and vesting. Unresolved liens or title issues can block recordation later, so review a preliminary title report now.
- Compliance with rent control and tenant protections. Conversion is not a path to avoid rent control. Existing tenant rights and protections will guide your plan and timeline.
- Open code violations or permits. Unresolved Department of Building Inspection cases can stall your application until corrected.
Your prep checklist
Condo conversion projects succeed when you handle due diligence, tenant communication, permits, and mapping in a thoughtful order. Use this step‑by‑step outline as your working roadmap.
Early due diligence
- Order a preliminary title report and review the legal description.
- Confirm the current parcel configuration with the Assessor‑Recorder.
- Compile leases, the rent roll, security deposits, and tenant contact information.
- Review any easements, covenants, or historic status that could affect exterior work.
- Pull Department of Building Inspection history and resolve or plan for any open violations.
- Verify sewer lateral and utility compliance requirements that may apply when transferring units.
- Locate any prior subdivision or condominium maps that affect your site.
Build your professional team
- Land use attorney to interpret local rules and draft conversion documents.
- Architect or land surveyor to prepare the condominium map and define unit boundaries and common areas.
- Structural engineer to evaluate seismic or soft‑story needs and prepare plans if required.
- Condominium mapper or land surveyor to finalize legal descriptions.
- Title and escrow professionals with San Francisco condo conversion experience.
Consider adding a general contractor for pricing clarity and an accountant or tax advisor to assess tax implications and property tax basis changes.
Planning and application
- Schedule a pre‑application meeting with San Francisco Planning to confirm the latest program rules and your eligibility.
- Prepare your application packet with proof of occupancy, ownership records, rent roll, and any required tenant notices.
- Follow the city’s tenant notice steps and timelines. Keep records of all notices delivered.
- If a lottery applies, follow the city’s procedure. If you qualify for a 2‑unit owner‑occupant exemption, provide the documentation that supports it.
Building permits and physical compliance
- Resolve life‑safety concerns, including smoke and carbon monoxide detectors and egress.
- Address any habitability or accessibility issues flagged by DBI.
- Assess seismic and soft‑story needs with a structural engineer and complete required work.
- Pull permits, schedule inspections, and close out final approvals.
Mapping, CC&Rs, and recordation
- Prepare the condominium plan and legal descriptions that define units and shared spaces.
- Draft CC&Rs and bylaws for the homeowners association.
- Work with title and escrow to clear any conditions before recordation, such as liens or notices.
- Record the condominium plan and CC&Rs with the Assessor‑Recorder and obtain new parcel numbers or unit identifiers.
Closing and post‑recordation tasks
- Form the HOA, set up banking, and plan for reserves.
- Deliver required disclosures to buyers and tenants at transfer.
- Update tax and utility accounts and file any final documentation with the city.
- If tenant relocation payments are required, calculate and pay them according to Rent Board rules.
Documents to gather now
Getting organized early helps you accelerate your application and avoid costly delays. Start a secure digital folder and add:
- Grant deed and chain of title documents.
- Preliminary title report.
- Any recorded surveys, plot plans, and prior subdivision or condo maps.
- Current floor plans and any available architectural drawings.
- DBI permit history and records of open cases.
- All current leases and the trailing 12‑month rent roll.
- Proof of owner occupancy if relevant, such as utility bills, tax records, or a driver’s license with the property address.
- Tenant correspondence and any previous notices.
- Certificate of occupancy if available.
- Records of capital improvements and maintenance work.
- Historic resource or landmark documentation, if any.
Cost categories to plan for
Every building is different, and Glen Park properties often vary by age, slope, and seismic needs. Use this list to shape a working budget, then secure local bids.
- Professional fees for your attorney, architect, structural engineer, land surveyor or mapper, title, and escrow.
- Application and permit fees charged by San Francisco agencies.
- Construction and remediation, including code upgrades, plumbing, electrical, roofing, seismic or soft‑story work, and common‑area improvements.
- Surveying and mapping for the condominium plan and legal descriptions.
- HOA formation and document drafting, plus initial reserve funding.
- Tenant‑related costs, including relocation payments per Rent Board rules and temporary relocation during construction if required.
- Recording fees and any transfer taxes based on how sales are structured.
- Contingency of 10 to 25 percent of your construction budget to cover unknowns in older buildings.
How long the process can take
Your timeline depends on eligibility, tenant complexity, permits, and construction scope. Here are typical ranges from start to recordation once you begin due diligence.
- Early due diligence: 2 to 6 weeks
- Pre‑application and team assembly: 2 to 6 weeks, often overlapping
- Planning review and tenant notice phases: 4 to 16 weeks
- Plan check and permit issuance: 4 to 24 weeks, based on project complexity and DBI workload
- Construction and retrofit work: 4 to 26 weeks or more, depending on scope
- Final mapping, CC&Rs, title clearance, and recordation: 4 to 12 weeks after approvals
Two common scenarios can help you set expectations:
- Streamlined path. An owner‑occupied 2‑unit property that qualifies for an exemption, has no major structural work, and delivers clean documentation could record in roughly 3 to 6 months.
- Complex path. A building with a tenant lottery, significant seismic work, and extended permitting can take 9 to 18 months or longer.
Watch‑outs to verify early
San Francisco’s building stock spans older wood‑frame homes and small apartment buildings on hilly lots. That creates practical issues you should evaluate:
- Soft‑story and seismic. Many small multi‑unit buildings need structural evaluation. Seismic work can affect cost, timing, and permit sequencing.
- Sloped sites. Hillside lots can complicate foundation and drainage work and may require additional engineering.
- Code history. Older properties sometimes have layered, incomplete, or outdated permits. Clearing open DBI cases early keeps your recordation on track.
- Title and access. Shared drives, staircases, and rear yard access easements are common. Your mapper and title officer will need time to resolve these in the condo plan and CC&Rs.
- Tenant planning. Underestimating relocation payments or missing notice timelines can cause delays. Align your notices and construction plan with Rent Board requirements before you start work.
Recommended next steps
- Contact San Francisco Planning to confirm current Expedited Conversion Program rules, your eligibility, and any 2‑unit owner‑occupant exemption criteria.
- Pull a preliminary title report and request Department of Building Inspection history for your property.
- Gather high‑priority documents, including deeds, leases, rent rolls, and proof of occupancy.
- Engage a local land use attorney to build a project plan and prepare tenant notice language and timing.
- Request early budget and scope input from an architect, structural engineer, and general contractor.
- Confirm current tenant relocation payment amounts and procedures with the San Francisco Rent Board.
When you have a clear plan, you can decide whether to proceed to recordation and individual unit sales, or to hold and manage with a newly formed HOA.
Ready to map out your conversion timeline, team, and budget in Glen Park? Reach out to Unknown Company for a practical, step‑by‑step plan tailored to your building and your goals.
FAQs
What is San Francisco’s Expedited Conversion Program?
- It is the city’s process for converting small multi‑unit buildings, typically 2–4 units, into condominiums with required reviews by Planning, Building Inspection, the Rent Board, and the Assessor‑Recorder.
How do I know if my 2‑unit building qualifies to convert?
- Confirm building type, owner‑occupancy history, title status, rent‑control compliance, and code standing with the city, then verify current program rules with San Francisco Planning.
What tenant costs should I budget for during conversion?
- Plan for relocation payments, and possible temporary relocation during construction if required, and confirm amounts and procedures with the San Francisco Rent Board before serving notices.
Do I need seismic or soft‑story work before recordation?
- Many buildings require safety and seismic upgrades to meet code, so have a structural engineer evaluate the property and follow DBI permit and inspection requirements before you record the map.
How long until I can sell individual units after conversion?
- After you complete approvals, mapping, and recordation, and close out permits and inspections, you can transfer units, but the timeline depends on your specific approvals, tenant notices, and construction scope.
