Why not just move somewhere else? To me, the best part of an internet company is that you can work from anywhere. Also, the money you make is usually made online, meaning it doesn't scale to your cost of living. If you make $1000/mo in ad revenue from your website, it doesn't matter if you live in SF or Portland. It's not like a wage, which changes drastically on your location.
Why not move to an awesome, affordable city, live the lifestyle you want, and still make the same product? With the money you save, you could fly monthly to SF to have whatever important meetings are critical to do in SF. Is living in SF that critical? Maybe it is, I honestly don't know.