San Francisco's Hotel Deals and Robotaxis Signal Economic Rebound

San Francisco's economic resurgence is gaining momentum as major investments in hospitality and technology signal a shift in the city's fortunes. A landmark deal involving two iconic hotels-Hilton San Francisco Union Square and Parc 55-was finalized this week, with Newbond Holdings and Conversant Capital acquiring the properties for $408 million, a 75% discount from their 2016 appraised value according to Bloomberg. The sale, one of the largest in the city's recent history, underscores renewed investor confidence amid a gradual recovery in hotel revenue and convention activity. "San Francisco is coming back," Mayor Daniel Lurie stated, noting that the city's hotel inventory is attracting global attention as conventions rise from 25 in 2024 to 36 in 2026 according to Bloomberg.

The transaction follows a broader trend of institutional investors re-entering the San Francisco market. Blackstone Inc. and Sixth Street have also acquired hotel assets in recent months, reflecting optimism about the city's rebound from pandemic-era declines. The new owners plan an extensive capital improvement program for the hotels, which are strategically located in Union Square and anchored by Hilton's brand according to Bloomberg. Despite these gains, the sector remains below pre-pandemic levels: October 2025 hotel revenue was $242 million, still down 10% from October 2019 according to Bloomberg.

Meanwhile, the city is becoming a testing ground for cutting-edge technology. Amazon's self-driving unit, Zoox, has launched a free robotaxi pilot in San Francisco, offering point-to-point rides in neighborhoods like South of Market and the Mission District according to USA Today. The service, part of the Zoox Explorers program, aims to refine autonomous vehicle technology before scaling up. Competitors like Waymo and Tesla are also expanding their presence, with Waymo recently introducing freeways into its San Francisco operations according to Economic Times. Zoox's purpose-built vehicles-lacking traditional controls and resembling "toaster ovens on wheels"-highlight the company's distinct approach to autonomous transport according to Economic Times.

In financial markets, Deutsche Bank AG is navigating a complex landscape of capital-raising and strategic exits. The bank announced plans to issue a new Additional Tier 1 (AT1) bond, priced at 7.125%, to bolster its capital base amid strong investor demand for junior bank debt according to Bloomberg. Separately, Deutsche Bank is in talks to sell its retail and wealth management business in India, engaging with potential buyers like Emirates NBD and Kotak Mahindra Bank according to Bloomberg. This move aligns with the European bank's strategy to exit crowded consumer markets in favor of higher-margin opportunities.

The institution is also pivoting toward ESG-focused initiatives, revising its sustainable finance targets to include "transition finance" for high-carbon sectors according to Business Times. Deutsche Bank now aims to mobilize 900 billion euros in ESG-related financing through 2030, up from a previous goal of 500 billion euros. The framework includes loans for projects like retrofitting gas-fired power plants to use hydrogen, reflecting a broader industry trend toward decarbonization according to Business Times.

As San Francisco's economy and tech ecosystem evolve, these developments highlight a city at a crossroads-balancing its historical challenges with newfound optimism.