1035 Howard in San Francisco Sells for $25.3MM & Secures $34.14MM in Financing

CBRE Capital Markets, San Francisco, Embarcadero Capital Partners, Adobe, Airbnb, Pinterest, Stripe, Atlassian, SoMa, Eng-Skell Company

(EDITOR’S NOTE: According to public documents, the transaction closed on September 14, 2018 for $25,300,000. The seller was Eng-Skell Company.)

SAN FRANCISCO, CA, December 20, 2018 – CBRE Capital Markets’ Debt & Structured Finance team in San Francisco, on behalf of Embarcadero Capital Partners, has secured a $34.14 million loan for the acquisition and creative conversion of 1035 Howard Street in San Francisco, CA.

Mike Walker, Brad Zampa, Megan Woodring, and Taylor Shepard of CBRE’s San Francisco office arranged the balance sheet financing with a bank headquartered on the East Coast. The five-year, floating-rate financing was priced very competitively over 30-day LIBOR.

“We received tremendous interest in this financing not only because of the dynamic and burgeoning SoMa West location, but also because of Embarcadero Capital Partner’s top tier institutional platform and reputation,” Mike Walker, Senior Vice President, CBRE. “Lenders today are coming into our market from across the country, and around the world for that matter, looking to establish and build relationships with top sponsors and developers like Embarcadero Capital Partners.”

1035 Howard Street is a historic, three-story Art Deco manufacturing and office building with an adjacent vacant lot located in the SoMa West submarket of downtown San Francisco. The building features large floor plates, soaring ceilings, abundant natural light, and the industrial look much desired by today’s tenants. Proximate to a growing selection of retail and restaurant amenities, the property also offers convenient access to BART, Caltrain, Interstate 80 and U.S. Highway 101.

Currently 100% vacant, Embarcadero is allowed the rare opportunity to immediately rebrand, reposition and renovate the property without the encumbrance of in-place leasing.

SoMa is considered “ground-zero” for the world’s most established technology firms and exciting startup companies. In the last few years, many of the city’s largest lease transactions have occurred within five blocks of 1035 Howard, illustrating the robust demand for this location. Notable surrounding occupiers include Adobe, Airbnb, Pinterest, Stripe, Atlassian and other industry leading companies.

Mr. Walker went on to say, “San Francisco is at the top of every lenders target market list and this specific building has tremendous upside. I am extremely excited to see the building reach its full potential after Embarcadero executes their business plan. It will be a great addition to the expanding SoMa West corridor.”

About Embarcadero Capital Partners
Embarcadero Capital Partners is a private real estate investment, management, and development firm based on the San Francisco Peninsula. Embarcadero Capital Partners is focused on West Coast markets where innovation and collaboration drive demand for creative workplace environments. Please visit our website at https://embarcaderocapitalpartners.com

About CBRE Group, Inc.
CBRE Group, Inc. (NYSE:CBRE), a Fortune 500 and S&P 500 company headquartered in Los Angeles, is the world’s largest commercial real estate services and investment firm (based on 2017 revenue). The company has more than 80,000 employees (excluding affiliates), and serves real estate investors and occupiers through approximately 450 offices (excluding affiliates) worldwide. CBRE offers a broad range of integrated services, including facilities, transaction and project management; property management; investment management; appraisal and valuation; property leasing; strategic consulting; property sales; mortgage services and development services. Please visit our website at www.cbre.com.

West Coast Commercial Real Estate News