Long Market Property Partners has come a long way, and few investors are now daring to buy a downtown San Francisco office building.
The San Francisco-based real estate firm bought a 48,500-square-foot building for $17.6 million 40 Jessie Street, in the Financial District, San Francisco Business Times reports. Seller is Golden Gate University.
Offices are priced at $362 per square foot.
The building, located in a lane behind the University’s Mission Street campus, was once the location of the Student Services Centre. It went on sale last fall.
Long Market describes the recently renovated and fully leased property as “an R&D office building in the heart of San Francisco’s Transbay neighborhood.”
“We are excited to invest in a building that offers this unique combination of lab and office space in a prime downtown San Francisco location,” Long Market principal Justin Shapiro said in a statement.
Its improvements are “a perfect fit for San Francisco’s current climate, where old office inventory is being re-imagined for more modern tenants,” Shapiro said. “We believe this building is unique in downtown San Francisco and will serve as a model for others to follow in years to come as the old office asset is repurposed.”
Golden Gate University listed the building in September Along with a 210,000-square-foot campus at 536 Mission StreetIt has owned the company since 1964, The Business Times reported. Both buildings are within one block of the Salesforce Tower.
Eastdil Secured is processing the University property listing. It’s unclear the status of the second sale.
Golden Gate president David Fike told The Business Times that it is selling its university campus buildings due to the shift to hybrid and distance learning. The 170-year-old private university will remain in San Francisco, he said.
university that traces its history Rooted in evening lectures at the San Francisco YMCA during the California Gold Rush of the 1850sOffers undergraduate and postgraduate degrees for careers in accounting, taxation, law and business.
In the age of remote work and technology layoffs, one third office Now vacant in the city – there is a subletting glut flooding the office market. San Francisco faces a wave of office defaults this year due to soaring vacancy rates, rising interest rates and falling values of older buildings, experts say.
— Dana Bartholomew