ArtHaus Partners and Belay Investment Group Acquire 117-Unit Multifamily Property in San Francisco's Nob Hill for $25M

SAN FRANCISCO (June 3, 2026) — ArtHaus Partners and Belay Investment Group have completed the acquisition of The Terraces, a 117-unit multifamily property located at 1300–1330 Bush Street in San Francisco's Lower Nob Hill neighborhood, for $25 million. The transaction values the asset at $212,000 per unit and $270 per gross square foot, according to an announcement from the firms.

The deal marks ArtHaus Partners' return to the San Francisco market and the first San Francisco acquisition under the ArtHaus brand. Belay Investment Group served as the institutional capital partner in the joint venture.

Transaction Details and Asset Profile

The Terraces is a 13-story apartment building constructed in 1975. The property is located one block off the Polk Street retail corridor in Lower Nob Hill. The rent-controlled building includes approximately 17,000 square feet of vacant ground-floor retail space, 30 dedicated parking spaces for the retail portion, and 55 additional spaces serving the residential portion.

The seller, Equity Residential, had acquired the asset in 2011 for $30.4 million. The 2026 purchase price of $25 million represents a discount of roughly 18% to that prior trade. Belay Investment Group cited the asset's "attractive entry basis at a discount to replacement cost" as a key factor in the investment thesis.

ArtHaus Partners noted it had been tracking the opportunity since early 2024 and developed a structural retrofit solution ahead of the formal marketing process that followed Equity Residential's divestment decision. The joint venture was ultimately awarded the asset through that process.

Value-Add Business Plan

ArtHaus Partners plans to execute a multi-pronged repositioning of the property. The business plan includes a structural retrofit to enhance life safety for residents, exterior aesthetic improvements, in-unit renovations, common area cosmetic improvements, and implementation of the ArtHaus brand. The firm described its retrofit approach as cost-effective, leveraging both in-house and third-party expertise.

The approximately 17,000 square feet of vacant ground-floor retail space represents a current drag on income. The firms did not disclose a specific plan for the retail space in the announcement.

Belay Investment Group also cited "favorable in-place occupancy" and "strong embedded value-add potential" as factors supporting the acquisition, though a specific occupancy figure was not disclosed.

Strategic Context

Both firms framed the deal as a bet on San Francisco's ongoing urban recovery. ArtHaus Partners cited "accelerating rent growth, leasing velocity, and city-wide economic resurgence" as strengthening fundamentals underpinning the investment thesis.

For ArtHaus Partners, formerly known as Riaz Capital, the transaction carries additional significance. The firm previously operated in San Francisco more than a decade ago before shifting its focus to East Bay markets, where the ArtHaus brand has been active for approximately the past year and a half.

Executive Commentary

"With the acquisition of The Terraces, we're proud to bring the ArtHaus brand to San Francisco, following its strong rollout across our East Bay properties over the last year and a half," said Riaz Taplin, CEO of ArtHaus Partners. "This milestone holds personal significance for me as a San Francisco native. We thank our partners at Belay Investment Group for their confidence in our vision to elevate workforce housing across the Bay Area."

"Belay is pleased to announce this acquisition through its partnership with a true market and sector specialist like ArtHaus, and we believe the opportunity represents a compelling fit within our attainable multifamily program given its attractive entry basis at a discount to replacement cost, favorable in-place occupancy, and strong embedded value-add potential," said Eliza Bailey, Co-Founder, CEO & CIO of Belay Investment Group. "The asset's location in a highly desirable infill submarket further reinforces our conviction, and we look forward to working alongside the ArtHaus team in the execution of our business plan."

About the Firms

ArtHaus Partners is a Bay Area-based vertically integrated multifamily developer and operator focused on entry-level housing. The firm reports approximately $1 billion in assets under management across roughly 4,000 units in California.

Belay Investment Group is an institutional real estate investment management firm that pursues equity and debt opportunities across property types and geographies through programmatic partnerships with locally specialized operators.