Frank T. Callahan, 63, a retired Navy captain and an area resident for nearly 20 years, died of emphysema Tuesday at his Annandale home.

A native of Brooklyn, N.Y., Mr. Collahan joined the Merchant Marine after graduating from high school.

In 1939, he was commissioned into the Navy. During World War II, he saw duty in the Pacific theater. After the war he spent two years in Japan as a Navy civilian employe.

Mr. Callahan was called to active duty in 1949 and was stationed in Hawaii and elsewhere in this country. About 1957, he moved to the Washington area and was assigned to the Navy's Military Sea Transportation Service here until his retirement in 1963.

He then joined the staff of the assistant secretary of the Navy and spent four years as a supervisor in the equal employment opportunity division there.

Mr. Callahan later bought and operated Burger Chef restaurants in Alexandria and West Virginia. He retired two years ago for reasons of health.

Survivors include his wife, the former Jane McDermott, of the home in Annandale; 11 children, Florence, Paul, Francis, Daniel and Andrew, all of the home, Timothy, Stephen and Peter, all of Burke, Va., Carilina Foreman, of British Columbia, Cathleen Waagner, of Richmond, and Christopher, of Concord, N.C.; his mother, Grace, a brother, Daniel, and a sister, Florence, all of Brooklyn, N.Y.; a sister, Mae Halford, of New York City, and four grandchildren.

The family suggests that expressions of sympathy be in the form of contributions to the Lung Association.