By Jon Peterson
San Francisco-based Swift Real Estate Partners has sold the 82,963 square foot office/R&D property located at 928 and 930 East Arques Avenue in Sunnyvale for $31.15 million, or just over $375 per square foot, according to sources that were aware that the transaction had closed. Swift had owned the property since June of 2016, when it bought it for $25.7, or $310 per square foot.
Swift has sold the property to an un-named buyer. It declined to comment when contacted for this story.
The real estate manager had hired the San Francisco office of Newmark Grubb Knight Frank as the listing agent on the sale. One of the people involved in the sale was Steve Golubchik, vice chairman. He did not respond to phone calls seeking comment for this story.
Swift had owned the property for two and ½ years. It had acquired the property as part of an $83 million portfolio transaction that the company closed on in July 2014. The other assets in the portfolio were 2400, 2424, 2630 and 2710 Walsh Avenue and 2855 Bowers Avenue in Santa Clara.
The assets in Sunnyvale are now 100 percent leased. The tenants are Apple at 928 East Arques and Cambrios Technologies Corporation at 930 East Argues. Swift was able to add value to these buildings since they were acquired. At the time the company acquired the buildings, the rents were 20 percent below market.
Swift had acquired all of the properties for its commingled fund, Swift Real Estate Partners Fund I. The real estate manager had raised $330 million of equity for this commingled fund. It’s now out in the market investing capital for its second commingled fund. The company had concluded its $410 million capital raise for the commingled fund in June of this year. It’s mostly looking to buy value-add office buildings in the San Francisco Bay Area, Southern California, Seattle and Portland markets.