The club was founded in 1985 and was first known as El Farolito, named after the owner's chain of restaurants. 'El Faro' was a new force in the SFSFL that was rising to challenge the dominance of teams like the Greek Americans. The team gained successive promotions to the top division in the space of five years. By 1991-92, the club was SFSFL champions and had reached the final of the Amateur Cup. The following season, El Faro retained the title as 'Club Deportivo Mexico'. In 1993, San Francisco C.D. Mexico won the prestigious Lamar Hunt U.S. Open Cup which is an American soccer competition open to all United States Soccer Federation (USSF) affiliated teams, from amateur adult club teams all the way up to the top professional clubs of Major League Soccer. When the California Premier Soccer Association (CSPA) was formed CD Mexico was one of the SFSFL representatives along with Greek Americans, SF United, and Concordia. The CPSA was developed as a 'super league' composed of teams from the SFSFL, PSL (Peninsula Soccer League), and the SJVSL (San Joaquin Valley Soccer League). The team, returning to their original name, El Farolito won titles in 1995-96, 1999, and 2001 and now new league champs in 2012 winning league and defeating Olympic Club in the championship.