SAN FRANCISCO, CA – August 27, 2015 – DTZ, a global leader in commercial real estate services, announced today that its Property Management team in Northern California has recently grown its management portfolio in the San Francisco North Bay area to more than 1.6 million square feet. This figure reflects an explosive growth rate of nearly four times compared to approximately one year ago when the firm managed 450,000 square feet of property in the area.
During this period, DTZ was hired for assignment by multiple, respected institutional property ownerships, including Buchanan Street Partners, Ellis Partners and Equity Office Properties. The firm also had existing assignments with New York Life Real Estate Investors, Wood Island (1700 California Street Investors) and Sutter Health. Jim Arce, Senior Managing Director, oversees the DTZ NorCal property management team, and Warren Mead, Associate Vice President, oversees the DTZ North Bay team.
Mr. Arce said, “The dynamics of the North Bay have really changed over the last few years, particularly the past 12 months, resulting in a better market economy. Demand is stronger, vacancies are declining, plus transportation fundamentals are improving with the new rail system (SMART) underway that will interconnect Sonoma and Marin counties, all of which bode well toward the future outlook.”
According to DTZ statistics, as of Q2 2015, office vacancy in the North Bay was 14.5% compared to 24% in Q2 2010. The second quarter of 2015 marked the lowest level of vacancy the office market has experienced since the recession. Meanwhile, industrial vacancy has declined to 7.5% as of Q2 2015.
Mr. Arce added, “Due to these improving market conditions, we have seen a stronger push from institutional players into the North Bay, which is now viewed more as a core and core-plus market. As a full-service firm, we focused our attention on this area and were able to recognize this shift and deliver a more sophisticated and integrated platform to serve these investor clients.”
DTZ’s management assignments in the North Bay consist of several Class A office projects, a large industrial project and retail and/or mixed-use projects. The properties are located across six different cities and comprise a total of 24 buildings. Key projects include Larkspur Office Landing Park in Larkspur, CA (199,048 SF); Rowland Plaza in Novato, CA (143,444 SF); 4040 Civic Center in San Rafael, CA (126,774 SF); Drakes Landing in Greenbrae, CA (126,192 SF); Harbor Drive Executive Business Park in Sausalito, CA (113,114 SF); 100 & 101 Rowland Way in Novato (112,169 SF); Woodside Office Center in Novato (87,268 SF); Wood Island in Larkspur (82,731 SF); the Benicia Industrial Park in Benicia, CA (507,421 SF); and Bellam Marin Square in San Rafael (94,664 SF).
“Our focus is on providing high-quality, high-touch services to our clients,” said Mr. Mead. “We have a talented, hard-working team whose intimate communications with clients, high level of services to the tenants and a close collaborative relationship with our other service lines have been vital to our success in the North Bay and beyond.”
Year-to-date 2015, DTZ’s Property Management in Northern California has added a total of 2.5 million square feet in new assignments across all regions, giving the team a grand total of 16.4 million square feet of property currently under management.
DTZ is a global leader in commercial real estate services providing occupiers, tenants and investors around the world with a full spectrum of property solutions. The company’s core capabilities include agency leasing, tenant representation, corporate and global occupier services, property management, facilities management, facilities services, capital markets, investment and asset management, valuation, research, consulting, and project and development management. DTZ provides property management for 1.9 billion square feet, or 171 million square meters, and facilities management for 1.3 billion square feet, or 124 million square meters. The company completed $63 billion in transaction volume globally in 2014 on behalf of institutional, corporate, government and private clients. Headquartered in Chicago, DTZ has more than 28,000 employees who operate across more than 260 offices in 50 countries and represent the company’s culture of excellence, client advocacy, integrity and collaboration.
DTZ announced an agreement to merge with Cushman & Wakefield in a May 11 press release. The new company, which will operate under the Cushman & Wakefield brand, will have revenues over $5.5 billion, over 43,000 employees and will manage more than 4 billion square feet globally on behalf of institutional, corporate and private clients. The agreement is subject to customary closing conditions and is expected to close before the end of 2015. For further information, visit: www.dtz.com or follow us on Twitter @DTZ.