Bently Enterprises has placed on the market for sale the 185,851 square foot Old Federal Reserve office building, now known as Bently Reserve, located at 301 Battery Street in San Francisco. The potential sales price on the property could reach $150 million, according to sources that are familiar with the property.
The listing agent on the sale is the CBRE office in San Francisco. The people working on the sale include Michael Taquino, Kyle Kovac, Russell Ingrum and Mandy Lee. CBRE declined to comment when contacted for this story.
This property is viewed as a core plus kind of opportunity for the next owner, and there will likely be a strong marked to market play for the asset in the future. The building is 94 percent leased with an average weighted remaining lease term of 6.8 years. The in-place rents in the property are now around 35 percent below market rents.
Part of the property is a 33,509 square foot lobby space that has been used to host a variety of events, such as weddings and corporate outings. The new owner of the property will have a decision to make whether to keep this for events or maybe convert it to some type of office space in the future.
301 Battery is considered to be a Class A property. It was built in 1924, and it was originally used as the home for the Federal Reserve Bank in San Francisco. One of the existing tenants in the property now is the SmithGroup, an architecture firm.
The property has gone through some significant renovations since 2005. The amount of capital spent on the improvements has been more than $35 million. The work done on the property included restoring the building to its original grandeur while upgrading it to exceed contemporary and environmental standards.