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Reserve a picnic area in Golden Gate park and throw an outdoor party and bbq. Otherwise, if weather is not permitting or does not go well with the season, you'll have to come up with something else. Is it just going to be family or do you need to include a bunch of other kids? I have a two and four year old so have been through this drill. Giorgio's Pizza on Clement does good job of hosting kids birthday parties during the daytimes - I've never been but seen the pictures.
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