Kilroy Realty Revised Flower Mart Project Plans

The developer introduced a flexible design for the 6.5-acre site to better adapt to shifting urban market demands.

Updated on Oct. 5, 2026 in Remote Work

Isometric editorial illustration of a generic 6.5-acre urban city grid with blocks and small park squares.
Kilroy Realty Corp has submitted a revised development proposal for the Flower Mart site in San Francisco, allowing for more flexible use of the land. AI Illustration. Upload story photo >

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Kilroy Realty Corp has presented a revised development proposal for the Flower Mart site in San Francisco to the Planning Commission. The new design shifts away from a previous office-focused plan, allowing for a mix of residential, commercial, or institutional uses.

Why it matters

The developer is pursuing design flexibility because current market conditions and high construction costs have made the original office-complex plan for Central SoMa unfeasible. This proposal allows the project to pivot between housing and workspace as demand evolves.

The proposal for the 6.5-acre site introduces seven buildings, with residential structures capped at 600 feet and commercial buildings at 350 feet. This replaces a prior three-building office complex plan.

The players

Kilroy Realty Corp

This real estate investment trust specializes in the development, acquisition, and management of office and life science properties.

San Francisco Planning Commission

This local government body is responsible for reviewing and approving land-use projects and development proposals within the city.

The details

The new design replaces a previously approved office-campus layout with a more integrated approach, featuring smaller pocket parks and a grid of streets and alleys. This framework provides the developer with the option to build up to 3,500 residential units or 2.66 million square feet of commercial space.

Timeline

  1. The Central Subway opened in January 2023.

  2. The new San Francisco Flower Market opened at 901 16th St in January 2025.

  3. The Planning Commission extended the approval for 725 Harrison in September 2026.

  4. Kilroy Realty presented the revised Flower Mart proposal in late September 2026.

Market Landscape

This pivot reflects a broader industry shift as developers abandon office-only projects in favor of mixed-use flexibility to combat stagnant demand. It highlights the growing difficulty of executing massive office-centric master plans in the post-pandemic urban landscape.

Residents may see a change in the development trajectory of the neighborhood as the project moves toward a potential mix of high-density housing rather than strictly office space. This shift could impact local housing inventory and street-level commercial accessibility in the future.

The takeaway

The move underscores how developers are increasingly prioritizing adaptability to navigate economic uncertainty. By designing for multiple uses, companies are better positioned to meet the shifting needs of city residents and businesses.

Further reading

Learn more about local real estate trends in our Remote Work section.

Source note: This article includes information reported by San Francisco Chronicle.

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Should city development projects prioritize flexible zoning over fixed plans to better adapt to market changes?