The San Francisco Planning Commission has approved Empire record label’s plans to renovate the historic First National Bank building at 1 Montgomery Street, according to the San Francisco Chronicle. The move will bring more than 100 Empire employees to the Financial District.
Empire, a local record label, distribution, and publishing company led by Ghazi Shami, purchased the property from Affinius Capital earlier this year for $24.5 million. The company intends to invest an additional $40 million into renovations.
The approval process faced challenges due to concerns over privately owned public rooftop space. Initially, Empire proposed closing the rooftop for security reasons and offered three public concerts annually as compensation. This proposal did not convince the commission and resulted in a 3-3 deadlock during the first vote.
A majority of commissioners shifted their stance after Empire increased its commitment to four annual public concerts and removed an option that would have allowed it to opt out of hosting concerts by paying a fee.
“I believe this project, when finished, will go a long way to not just reactivate but revitalize downtown as we know it,” Commissioner Sean McGarry said following the approval.
The First National Bank building has had a difficult recent past. Redco Development and AEW Capital Management acquired the 100,000-square-foot property in 2019 for $84 million but defaulted on their $65 million loan in March 2023. The vacant building was then returned to lender Square Mile Capital, now known as Affinius Capital.
Empire plans to use office space on both the basement and second floor of the building. Additionally, there are plans for a restaurant in one banking hall; the other hall will be used mainly for private events.
