Swift Real Estate Grabs $110M SF Office Tower
- May 23, 2018
Continuing its buying binge, Swift Real Estate Partners has acquired a subdivided condominium interest in the 219,700-square-foot office asset at 1390 Market St. in San Francisco. The real estate investment company purchased the $109.8 million condo interest from Broadreach Capital, which had owned the asset since picking it up for $42.7 million in 2007.
Completed in 1967 and most recently renovated in 2007, 1390 Market features approximately 1,000 square feet of ground-level retail space and a location within close proximity to a BART/Muni station in the city’s Mid-Market area. The tower is home to such notable tenants as Twitter and the City of San Francisco, which renewed a 69,400-square-foot lease for the City Attorney’s office during the second quarter of 2017.
“We believe 1390 Market has the potential to be Mid-Market’s premiere multi-tenant destination appealing to a wide array of tenants, including those in government and tech,” Tommy Christman, a director with Swift Real Estate Partners, said in a prepared statement. Swift financed the purchase with a $103.6 million, floating-rate acquisition loan arranged through Brookfield by commercial real estate and capital markets services firm HFF, which also marketed the property on behalf of the seller.
Swift’s transaction at 1390 Market, however, excluded the multi-floor Fox Plaza Apartments residential segment that tops the 29-story, LEED Gold-certified building.
Buy some, sell some
Swift has been quite acquisitive over the last 12 months, procuring properties in key markets across the West Coast. The real estate company added 2175-2185 N. California Blvd., a 325,000-square-foot Silicon Valley office property in Walnut Creek, Calif., to its portfolio in a $117 million transaction. Farther down the coast, in San Diego, Swift purchased the 233,000-square-foot office tower at 530 B St. for $57.7 million.
In addition to augmenting its portfolio, Swift has sold a number of assets over the last year, including the 20,800-square-foot creative office building at 2485 McCabe Way in Irvine, Calif., for $7 million. The company also pocketed $28.5 million on the disposition of Sixth at Yamill, a 109,725-square-foot creative office property in Portland.
Image courtesy of HFF