This study aims to investigate the influence of shear‐axial force interaction on the seismic performance of a piloti‐type building subjected to the Pohang earthquake. For this purpose, a four‐story piloti‐type building in Pohang, Korea whose columns were brutally damaged by the 2017 Pohang earthquake, one of this country's strongest earthquakes in modern history, was chosen as the object of the study. Columns of this piloti‐type building were designed with insufficient transverse reinforcement, resulting in an increased potential for shear‐axial failure. The piloti‐type building was simulated using Zeus‐NL, an efficient analysis and simulation platform developed for earthquake engineering applications to perform nonlinear time history analysis. A hysteretic shear model in Zeus‐NL capable of accounting for the variation in column axial force was adopted to capture the effect of the shear‐axial force interaction, caused by a combination of horizontal and vertical ground motions. The shear model was validated by comparing the simulated and experimental results. The seismic performance of the piloti‐type building under the effect of the shear‐axial force interaction was compared with that under the shear effect only. Results have indicated that shear effect and shear‐axial force interaction effect significantly reduce column maximum shear force and increase column drift demand. The influence is more intense considering shear‐axial interaction. The seismic response in terms of hysteretic behavior, energy dissipation, and stiffness degradation is presented and discussed.