Swift Recapitalizes Concord Buildings for $146MM

DivcoWest, GEM Real Estate, Partners Group, Swift Plaza, Concord, San Francisco, Swift Real Estate Partners Wells Fargo

By Jon Peterson

San Francisco-based Swift Real Estate Partners has recapitalized two office buildings and a garage in Concord in the Swift Plaza office complex with Partners Group, a Baar, Switzerland-based private equity firm. The value of this transaction was a little more than $146 million, according to public documents filed with the county on the transaction.

This deal is not a sale of the three buildings, and Swift is planning to remain a partial owner in the properties. It is not clear at this time, however, how much of an ownership stake Swift will retain. The previous equity partner on the assets was GEM Real Estate based in Chicago.

Swift did not respond to several phone calls seeking comment on the story at this time.

The two office buildings involved in the recap were the 292,896 square foot building located at 1655 Grant Avenue and the 184,606 square foot asset at 1755 Grant Avenue. The deal also included interest in a parking garage located at 1575 Grant Avenue. A major tenant in the two office buildings is Wells Fargo Bank. This lending institutional had signed a lease for 285,000 square feet in 2016.

Swift has owned the two properties in Concord since 2011. The properties and two additional office buildings were acquired for $88 million. Since then, Swift sold the other two buildings, 2000 and 2001 Clayton Road, to San Francisco-based DivcoWest for $94 million in 2012.

Partners Group AG is a private equity firm with $75 billion in assets under management in private equity, private infrastructure, private real estate and private debt, according to the company’s Wikipedia page. The firm manages a broad range of funds, structured products and customized portfolios for an international clientele of institutional investors, private banks and other financial institutions. Partners Group AG is in the private equity industry, having completed more than 200 private equity investments in portfolio companies.