San Francisco Approves $1.48 Million Annual Lease for Adante Hotel Non-Congregate Shelter

San Francisco has retroactively approved a significant real property lease with ROSHAN INVESTMENTS LLC for the continued use of the Adante Hotel at 610 Geary Street as a non-congregate temporary shelter. The resolution, enacted on May 2, 2025, secures 93 units for the city's homeless population with an initial annual base rent of $1,484,280. This agreement underscores the city's ongoing commitment to providing individual shelter solutions.

The lease, which commenced retroactively on April 1, 2025, is set for an initial term of one year, with an option for the city to extend it for an additional year. Should the option be exercised, the annual base rent will see a 3% increase. Additionally, the agreement includes a provision for a maximum final payment of up to $100,000 to ROSHAN INVESTMENTS LLC upon the surrender of the property, a payment intended to compensate the landlord for short-term use and incidental exit expenses.

The Adante Hotel has served as a non-congregate shelter since September 2023, transitioning from its previous role as a Shelter in Place (SIP) site during the COVID-19 pandemic. Non-congregate shelters offer private rooms and bathrooms, aiming to provide a more stable and dignified environment for unhoused individuals. Five Keys Schools and Programs manages the facility, providing essential services such as case management, meals, and wellness checks.

This lease is part of San Francisco's broader strategy to address homelessness, which includes various shelter models and supportive services. The Department of Public Health is also expanding programs like RESTORE at the Adante Hotel, integrating opioid addiction treatment with shelter beds. While these initiatives represent a substantial financial investment, they also face scrutiny regarding their cost-effectiveness and impact on surrounding neighborhoods.

Critics, such as Randy Shaw of Beyond Chron, have highlighted the significant expenditures on converting hotels to shelters, noting that the city has spent over $50 million on such conversions across multiple properties, including the Adante. Shaw has called for a re-evaluation of these programs, suggesting that some leases, including the Adante's, should revert to their original tourist hotel use. Despite these debates, the city continues to prioritize non-congregate shelter options as a key component of its homelessness response.