(EDITOR’S NOTE: The property sold for about $542 per square foot.)
SAN FRANCISCO – Dec. 8, 2021 – CBRE announced the $21,975,000 sale of Parker Innovation Hub in Berkeley, Calif., to City Center Realty Partners. CBRE’s Scott Prosser, Jack DePuy, Mark Kol, Mike Raffetto and Joe Moriarty represented the seller, Lift Partners. Mike Walker and Brad Zampa, with CBRE Capital Markets’ Debt & Structured Finance and Life Science specialties group, are in the process of closing accretive acquisition financing from a balance sheet bank on behalf of the buyer.
Parker Innovation Hub is a three-building office, R&D and life sciences campus totaling 40,580 sq. ft. The buildings are located at 918 Parker St., 2607 7th St. and 2612 8th St. in southwest Berkeley. The buildings were originally constructed between 1906 and 1940 and have all been renovated. The most recent round of improvements occurred in the past two years, which included adding a brand-new lab suite to 2607 7th St. The buildings are 88 percent leased to a mix of 10 tenants.
“Parker Innovation Hub has flexible layouts that are conducive to a variety of uses, including biology, medical device, office, R&D, chemistry and specialized laboratory. This positions the property to capitalize on the growing demand in the East Bay for R&D and life sciences space,” said Mr. Prosser, executive vice president, CBRE.
Tenant demand for the 880 corridor and Berkeley area has grown substantially over the last decade. As of this spring, tenants were seeking 2.4 million sq. ft. of space, compared to 1.5 million sq. ft. in 2010. Life sciences and R&D tenants fuel most of the demand, accounting for 35 percent of the total demand square footage.
Parker Innovation Hub is across the street from Bayer’s East Bay campus, which is currently pursuing an expansion to 1.7 million sq. ft.
About CBRE Group, Inc.
CBRE Group, Inc. (NYSE: CBRE), a Fortune 500 and S&P 500 company headquartered in Dallas, is the world’s largest commercial real estate services and investment firm (based on 2020 revenue). The company has more than 100,000 employees serving clients in more than 100 countries. CBRE serves a diverse range of clients with an integrated suite of 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.