The view from the double bed would be worthy of a five-star hotel: the serene green of Fort Mason sloping toward the Marina, the Golden Gate Bridge stretched out like a welcome mat, the rock of Alcatraz Island studding San Francisco Bay.
San Francisco, CA
Airbnb Might Be Struggling, but SF Hostels Are Thriving—Sort of
But it’s not a five-star hotel, or even a hotel at all. It’s Hostelling International’s Fisherman’s Wharf hostel, perched on a gorgeous bluff above Aquatic Cove, where private room No. 23 sets back guests as little as $100 a night. Visitors won’t have their own bathroom, but they can enjoy a cozy common area with a crackling fireplace, an in-house theater, an expansive shared kitchen and free breakfast.
The hostel—housed in a historic 1863 building that once billeted Civil War soldiers—is one of nine such affordable accommodations scattered around the city. While San Francisco hostels have long attracted young and crunchy international travelers on a budget, the city’s bargain beds are now giving Airbnbs a run for their money by offering more than just affordability.
Hostels’ increased privacy and perks are attracting a wider range of ages and demographics. The Music City hostel in Lower Nob Hill—which recently underwent a major overhaul—has rooms equipped with guitars and amps for practicing. The hotel-like Samesun on Lombard Street includes free parking and private rooms. The funky Green Tortoise Hostel in North Beach features zany carpeting, a boho common area and a free dry sauna.
“We’re very bullish about where San Francisco is going to be in two to three years,” said Russ Hedge, president and CEO of Hostelling International USA, the largest hostelling network in the world. The company also operates a location in Union Square and a pair of famed lighthouse lodgings down the coast in Montara and Pigeon Point, where you can fall asleep to crashing surf for as little as $45 a night. While Hostelling International closed one of its Downtown hostels during the pandemic, the company is now actively scouting a new location in the city.
All of this is conspiring to make the hostelling scene something it hasn’t been in at least a generation: broadly desirable. Across the country, elaborate amenities like rooftop pools and steam rooms have led some to speculate that hostels are poised to overtake Airbnbs as accommodations of choice.
“Guests want the social vibe that comes with staying at the hostel,” Hedge said. “But they also want a level of privacy that probably didn’t exist 20 to 30 years ago.”
That has led to changes like more private rooms, more single-stall bathrooms and private changing areas in shower rooms, amenities that didn’t exist in hostels a decade or two ago.
Even though hotel bargains are hard to come by in high-cost San Francisco, you can score a hostel bed for as little as $28 in the heart of the city with amenities galore—so why are so many of them only half full?
Perception Is Everything
With their prime locations, array of amenities and basement prices, hostels could be a stiff competitor to Airbnb, which witnessed a rise in vacancy rates last year. But both forms of accommodations appear to be suffering from the same problem: the negative narrative surrounding San Francisco.
“The doom loop narrative is keeping people away,” said Ruben Ortiz. The general manager of Hostelling International’s Fisherman’s Wharf hostel cited a recent school group—50 kids from the United Kingdom—that canceled their reservation because of what they were seeing on the news.
Overnights in San Francisco hostels were down 15% in 2023 as compared with 2019—whereas that rate is only 8% in the rest of the country, Hedge said. The Hostelling International president attributes the San Francisco drop to the lack of a rebound in travel from China and the Asian rim. But it’s not only that.
“Our travelers are quite well-informed,” he said. “So if there is media coverage that raises questions about a city or a neighborhood, they’ll take that into account in terms of their travel plans.”
At the European Hostel on SoMa’s Minna Street, that kind of news was happening in real time during a visit by The Standard. “Tourists are very scared to come to this street right now,” said receptionist Nikunj Upadhyay on the phone, while registering a guest’s complaint about people doing drugs outside his front door. “There are kids staying here.”
The capacity at Green Tortoise is currently under 50%, lower than is typical for the slow winter season, when occupancy rates usually hover above 60%. The Fisherman’s Wharf and Samesun hostels are also below 50% occupancy.
Yet despite all the negativity in the ether, hostel guests interviewed by The Standard only had positive things to say about the city, highlighting its beauty and the friendliness of the residents.
“It’s a great city,” said Samesun guest Renata Paulo, who traveled from Washington, D.C., to celebrate New Year’s Eve. “I can’t wait to come back.”
The Hostelling International president, for his part, remains optimistic about the future of San Francisco—and about what hostels can provide for it. “Our guests have felt so welcomed by the people of San Francisco,” he said. “There’s an attitude that distinguishes it from other cities, a graciousness.”
What’s more, hostels can host group sizes not possible in Airbnbs, like touring cyclists or large Girl Scout troops, like the one that overtakes the Fisherman’s Wharf hostel every year.
“The whole place fills up with little girls,” Ortiz said. “And the chaperone moms sipping on their chardonnay, saying, ‘We have to drink to get through this.’”
SAN FRANCISCO (KRON) — San Francisco Supervisor Jackie Fielder hosted her first community listening session Thursday night since returning from a three-month medical leave.
Dozens of District 9 residents packed the Bernal Heights Neighborhood Center to welcome back Fielder and voice concerns about issues affecting their communities.
“We are thankful that you took time for yourself to equip yourself to be sitting here today,” one attendee told Fielder. “So I thank you and commend you for returning.”
Fielder returned to City Hall last month after taking a three-month medical leave.
“I’m just grateful for the outpouring of support that I had and glad to be back on the job,” Fielder said. “Mental health is really prevalent, and I’m not going to shy away from the fact that I had a mental health crisis. This is a challenging job, and I’m very privileged to be here.”
Fielder said she is hosting a series of town hall-style meetings to give residents an opportunity to voice their concerns.
“To me, the biggest issue locally is the homeless issue, and it’s citywide,” San Francisco resident Maggie Weis said.
Fielder was joined by members of the San Francisco Municipal Transportation Agency and San Francisco Police Department to answer questions about pedestrian safety, city budget cuts and other issues.
The supervisor said one of her priorities moving forward is expanding access to clean, well-maintained public restrooms.
“[We’re] still seeing a lot of feces around the district and city,” Fielder said. “Would love to see our city have more public bathrooms and be able to maintain them as well.”
The next listening session is scheduled for July 23 at 6 p.m. at La Fénix in the Mission.
Watch the full report from KRON4’s Sara Stinson in the video player at the top of the story.
(KRON) — A 32-year-old man has been missing in San Francisco for two days, police said. Gabriel Carreon was last seen at noon on July 7, when he left his home in the Castro neighborhood to go see a movie, the San Francisco Police Department said.
The following morning, a 911 caller told dispatchers that Carreon was missing.
Police described the missing man as Asian, 5’8’’ tall, and weighing 170 pounds. He has black hair dyed pink, and brown eyes.
Anyone who locates Carreon should call 911 and report his current location, police said. Anyone with information on his possible whereabouts should call the SFPD Missing Persons Unit Tip Line at 415-734-3070.
Sick of the TSA lines? Tired of playing musical chairs at the gate? Rather sit as far from your fellow airplane passengers for as long as possible, in the comfort of your own private, luxury airport terminal?
Soon you may get your wish. And San Francisco international airport wants to be your genie – for a fee.
The airport is hoping to build a brand-new terminal exclusively for passengers who pay a premium, gaining access to a luxurious airport experience complete with private security lines and valet service from terminal to tarmac. It will service commercial flights, not business or corporate jets, and the terminal will have its own Transportation Security Administration (TSA) lines as well as Customs and Border Protection (CBP) lines for international travel.
SFO is seeking bidders to take on the development, construction and operation of the private terminal, which is planned for a 75,000-sq-ft site located across the runway from all current public terminals. The airport will accept proposals between late September and early October, and is looking to award a contract by early December with hopes of opening the terminal in late 2028.
SFO’s interest in a luxury development comes from what airport spokesperson Doug Yakel called a “high level of demand” for “premium experiences” in travel, citing the popularity of existing credit card and premium lounges. A private terminal is essentially the next step up in exclusivity from those lounges – and the best chance at avoiding airport crowds entirely.
“Somebody that uses this product really wouldn’t see the other passengers they’re traveling with until they’re taken up the stairs of the jet bridge and onto the aircraft,” Yakel said.
Spending on “pay-to-play” luxury experiences at large is on the rise, according to a new report by Bain & Company and Altagamma. The airline industry has bought in, revamping lounge and onboard experiences with chef-designed menus and expanded premium seating for the highest-paying passengers.
Many see a market in San Francisco, where an AI-driven wealth boom is already agitating the local housing market, with homes sold at the fastest pace in five years and the single-family median home price clocking in at $2.2m.
Yakel said SFO felt now was the right time to enter the market of luxury travel.
“We see the level of interest that’s being invested onboard aircraft, inside terminals, around airports, and clearly this is something that other airports are rolling out,” Yakel said.
The price to pay for a private airport experience will be decided by whoever wins the bid for operations, and will be offered on a membership or per-use basis. The traffic experienced at public terminals likely won’t change, Yakel said.
Private terminals have become popular worldwide. London Heathrow and Paris-Charles de Gaulle airports in Europe have long operated luxury terminals, and São Paulo/Guarulhos international airport recently opened the first private terminal in Latin America.
If SFO is successful, it would become the next major American airport to open a luxury terminal. Los Angeles, Dallas Fort Worth, Miami and Hartsfield-Jackson Atlanta international airports all offer a private terminal through PS (formerly known as the Private Suite), a company owned by security firm Gavin de Becker and Associates. Multiple representatives from PS and Gavin de Becker and Associates attended a June conference hosted by SFO about the private terminal, and PS has said it hopes to open a private terminal at every major US airport by 2030.
Access to existing PS private terminals can cost passengers $1,295 for a one-time experience, or up to $4,850 for a yearly membership. Heathrow’s private terminal costs thousands of pounds per person.
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