San Francisco Building Due Diligence

For those transacting or financing real estate in San Francisco, there are several things to consider about the condition of your asset that are unique to the City by the Bay.  These items should be identified and addressed with a thorough Seismic Risk Assessment/Probable Maximum Loss and Property Condition Assessment. 

Seismic Risk Assessments/PMLs in San Francisco

As with most earthquake prone areas, buildings in San Francisco should undergo a Seismic Risk Assessment or “Probable Maximum Loss” report to rate the building for seismic risk.  It’s no secret that San Francisco is synonymous with earthquakes as the area is home to many known seismic fault lines.  To make matters worse, much of the city sits on soil with a high liquefaction coefficient and when it starts shaking, the soil basically becomes like liquid and the buildings can actually sink or tilt.  You will see steps from the sidewalk go down to the building entry door where the door was once at street level.

After the devastating damaged caused by the earthquakes of 1906 and 1989, the city has adopted some strict guidelines with respect to structural design of new buildings as well as strengthening older buildings, more specifically, unreinforced masonry buildings.  Most brick buildings built prior to the early 1930s have no reinforcing steel.  These are among the first to topple during an earthquake.  The city now requires all unreinforced masonry buildings be retrofitted.