Here’s what happened in the SF Residential and Commercial Real Estate Market since 3/1.
Morgan Stanley who purchased the 263,640-square-foot former Macy’s Men’s store at 120 Stockton for $250M is converting the retail space (floors 1-3) into 6 new retail spaces and will add two floors of office space (about 50,000 sq. ft.) and a restaurant.
Macy’s in the meantime will do exactly that with its 170 O’Farrell St, which will be smaller retail space facing the street and perhaps other additions mirroring the Morgan Stanley approach.
Central Soma update. Will the plan be approved? Probably yes but there may be tweaks: Prop M restricts the development of new office projects under current law which means that it may take projects developers up to 10 years to break ground. Condo owners groups including owners at Blu are asking for smaller up zoning of 130-200 instead of 350 feet in an area covering Folsom Street from by 2nd street.
Interesting stat from Essex Property Trust:
Close to 45 percent of renter households in SF earn more than $100,000 per year compared to about 15 percent nationwide. San Jose is closer to 42 percent and Oakland is around 27 percent.
The 164,405 sq. ft. building at 235 Pine Street in SF could fetch $125 M or in the high $700 per sq. ft. What makes the property attractive is also the four story on site garage.
144 condos or rentals is planned for 430 Main/429 Beale near Baycrest.
The hotel going into the parking lot between 600 Harrison and Blu will break ground at the end of the year. The project will be 130 foot high.
The upcoming 750,000 sq. ft. Park Tower office skyscraper in SF at 250 Howard may land Amazon, Facebook or Google or all of them. There are very few large plates left. The only other such building is the Oceanwide center at 50 1st street which will not be ready until 2021 but with 1.1M sq. ft. of space. Prop M caps the amount of office projects approval every year, which explains why there are no other large plates buildings.
Image Courtesy of Park Tower
Whole Foods 365 is going into the former Lombardi space on Polk.
1390 Market (Fox Plaza)can office building is in play for $110 M. It consists of 13 floors of office space and 16 floors of residential rentals.
Kilroy will purchase the 120,000 sq. ft. office building at 345 Brannan for about $1300 per sq. ft. The highest priced recorded in SF was $1250 per sq. ft., which Tishman paid for 222 2nd.
Angus McCarthy and Crakstart Foundation purchased the 150,000 sq. ft Lion Building in the Mission at 2525 16th street for $67,250,000 or $448 per sq. ft.
The 40,000 sq. ft. 660 Market is in play and could fetch $45M+
Avery at 420-488 Folsom is selling 118 condos which start on the 33 floor of a mixed use project. More to come.
The 54,414 square-foot office and parking space property at 55 Green Street in San Francisco for $29 million, or approximately $533 per sq. ft.
A good buy was the $114.5 million or about $300 per square foot purchase of the, 383,000-square-foot building at 2001-2051 Junipero Serra Blvd. by Daly City Bart.