San Francisco – September 10, 2015 – CBRE has finalized the sale of a development site located in the heart of San Francisco’s Mission District at Folsom and 23rd Street. The site sold for $18 million after a competitive bid process amidst a controversially proposed moratorium on market rate housing development. Michael Thomas and Toby Costello of the CBRE San Francisco Multifamily team, in conjunction with Dave Noravian of Beckett Capital, represented the seller, John Dutro, an individual owner.
The buyer, 2675 Folsom Owner, LLC, purchased the 35,000-square-foot site with a warehouse and parking lot. The buyer previously submitted a preliminary project assessment to the planning department in 2014 to build a 115-unit apartment building with onsite affordable units, bike and car parking, a roof desk and balconies.
“We began the marketing process in the fall of 2014 and were hung up due to an issue on title,” said Michael Thomas, Vice President of CBRE. “When the moratorium was proposed midstream, our odds of getting to the finish line got squeezed, but the buyer remained committed.”
Though the Mission District has been the subject of debate around housing development, this sale is a strong indication that housing developers are still active in the neighborhood.
About CBRE Group, Inc.
CBRE Group, Inc. (NYSE:CBG), a Fortune 500 and S&P 500 company headquartered in Los Angeles, is the world’s largest commercial real estate services and investment firm (in terms of 2014 revenue). The Company has more than 70,000 employees (excluding affiliates), and serves real estate owners, investors and occupiers through more than 400 offices (excluding affiliates) worldwide. CBRE offers strategic advice and execution for property sales and leasing; corporate services; property, facilities and project management; mortgage banking; appraisal and valuation; development services; investment management; and research and consulting. Please visit our website at www.cbre.com.