(EDITOR’S NOTE: Accoring to public documents, the transaction closed for just over $277 million, or nearly $646 per square foot.
The building was puchased by Equity office from Hines in October of 2012 for $165 million, or just over $384 per square foot. At the time Hines sold it for twice what it had paid for it.
The seller, Blackstone, was not aviailabe for comment, and the buyer did not provide information in addition to the release below.)
New York, NY – July 7, 2016 – Vanbarton Group LLC, together with one of its U.S. pension fund partners, has acquired 100 Montgomery Street in San Francisco, CA. The 25-story, 429,095-square-foot office building with ground floor retail is centrally located in the heart of the North Financial District.
The Property provides tenants with a premier list of nearby amenities, including some of San Francisco’s finest dining, shopping and cultural options. Located just one block from the Montgomery Street BART station and Market Street, 100 Montgomery offers outstanding access to public transportation in the San Francisco Bay Area.
Built in 1955, 100 Montgomery appeals to both traditional office users as well as technology and media companies. The Property has been, and continues to be well-positioned to benefit from the increasingly diverse tenant base resulting from tech and creative tenant relocations, while also retaining the traditional FIRE office users.
San Francisco continues to be one of the most highly sought after, supply-constrained metros in the nation with the North Financial District having been a major beneficiary of San Francisco’s technology boom. Traditionally considered the ‘gold standard’ for FIRE related companies, the North Financial District has attracted a growing cluster of technology users which now make up more than 2 million square feet of class A office space.
“Situated in an unparalleled location with immediate access to public transportation and premier amenities, the building provides the features that tenants are seeking today” said William Bond, a managing director with Vanbarton.
The building is currently well leased to a diverse roster of credit tenants, and Vanbarton will continue to maintain the Property’s market positioning by strategically deploying capital to target specific building improvements. This transaction follows the firm’s recent acquisitions of the Astor retail condominium and 31 Penn Plaza, both in New York City, as well as preferred equity interest in the office-to-residential conversion project at 20 Broad Street in New York City. Vanbarton also owns nearby 301 Howard Street, where it recently completed a major lobby renovation and retail expansion. Vanbarton, a multi-strategy real estate investment company, specializes in equity and credit investing and origination strategies. Cushman & Wakefield will handle exclusive leasing for the Property with veteran brokers Mark Anderson and David Duble managing the listing.
Vanbarton Group is a privately owned, vertically integrated real estate investment and advisory firm founded in 1992 with corporate offices in New York City and San Francisco. With its proven expertise successfully investing across the capital stack in varying ways throughout real estate cycles, Vanbarton’s investments include core plus, value-add and opportunistic equity investments, preferred equity, junior participations, bridge loans, secondary market debt acquisitions and securitized credit.