The viral $488,000 San Francisco home has a buyer — and the deal exposes a dramatic backstory

The headlines were buzzing: a three-bedroom home in San Francisco's Russian Hill was listed for an unbelievable $488,000. The catch? A tenant was paying just $417 a month under a lease that lasted until 2053. Despite this unusual setup, the house got several offers, some even higher than the asking price. Surprisingly, the accepted offer came from Cheryl Lee, who lives there with her mom, Sandra. This property has sparked a family feud, reminiscent of past high-profile inheritance disputes in the area.

The home, located at 30 North View Court, was built in 1924 and bought by Florence and Kenneth Goo in 1968. They placed it into a family trust in 1991. After Florence passed away, the trust split into two. The current owners are the Kenneth Goo Family Trust-B and the Koon K. Goo Revocable Trust. Trusts are common in estate planning since they let assets transfer directly to heirs, bypassing probate. Todd Lee, appointed as trustee by his grandfather Kenneth in 2020, chose Cheryl's offer despite higher bids because of family ties and responsibilities.

A big part of this story is the long-term lease signed by Kenneth Goo before he died in 2022. Originally signed in 2019, the lease required the tenant to cover property taxes and insurance, ensuring Cheryl and possibly Sandra had a place to live. In 2021, the lease was amended to cap payments at $5,000 annually and extend the term to 2053. This lease also allowed subleasing, benefiting Cheryl financially. Legal experts confirmed the lease’s validity, making eviction or a more profitable sale tricky.

The sale has revealed deep family issues, with allegations of mismanagement. Sandra Lee opposed the sale, accusing her son Todd and her brother Cedric of mishandling the trust and legal fees. Todd denies these claims, saying he’s just trying to do his job as trustee amidst financial strain. The trust’s funds were depleted after Kenneth's death, putting more pressure on the family. A property reassessment also raised taxes significantly, adding to their financial burden.

Figuring out the sale of the house depends on settling these family disputes and financial issues. Selling the house without tenants could get around $1.8 million, but the current situation lowers its value. If Sandra and Cheryl’s bid is accepted, they’d own a potentially valuable asset, while Cedric's share would be much less. This ongoing family drama highlights the complicated and emotional nature of handling inherited properties.

For more information see Kathleen Pender "The viral $488,000 San Francisco home has a buyer — and the deal exposes a dramatic backstory" San Fransisco Chronicle, June 29, 2024. 

Special thanks to John O’Grady (Attorney, San Fransisco, California) for bringing this article to my attention.