The right-lateral San Gregorio and San Andreas faults meet west of the Golden Gate near San Francisco. Coincident seismic reflection and refraction profiling across the San Gregorio and San Andreas faults south of their junction shows the crust between them to have formed shallow extensional basins that are dissected by parallel strike-slip faults. We employ a regional finite element model to investigate the long-term consequences of the fault geometry. Over the course of 2--3 m.y. of slip on the San Andreas-San Gregorio fault system, elongated extensional basins are predicted to form between the two faults. An additional consequence of the fault geometry is that the San Andreas fault is expected to have migrated eastward relative to the San Gregorio fault. We thus propose a model of eastward stepping right-lateral fault formation to explain the observed multiple fault strands and depositional basins. The current manifestation of this process might be the observed transfer of slip from the San Andreas fault east to the Golden Gate fault.