Merced HeightsA small, hillside community located just below Ingleside Terrace, Merced Heights runs east/west from Ashton Avenue to Junipero Serra Boulevard, and north/south from Holloway Avenue to Shields Avenue. Home designs in this area are comparable to what you?d see in the Outer Sunset, plus given its proximity to San Francisco State University (its neighbor to the south), it is a neighborhood frequented by students. Like many neighborhoods in western San Francisco, Merced Height is prone to fog and overcast skies?but on a clear day, it also offers terrific views of the southern and western regions of the City.