This Week's Bay Area Deal Sheet
The Downtown San Francisco Partnership tapped Gensler to design the first entertainment zone in California, a block of prime real estate on Front Street between California and Sacramento streets. Gensler proposes adding streetscape improvements, public art installations and greenery to the zone.
In June, the city greenlighted the creation of entertainment zones, urban districts where it is legal to consume alcohol in outdoor common areas. The city hopes the Front Street zone will attract businesses to vacant properties and draw visitors downtown when it opens next month during Oktoberfest.
“Downtown needs help. The formation of an entertainment district is a critical first step in bringing life back to San Francisco, but policy isn't enough,” Andrew Chun, managing partner of Schroeder’s German restaurant, said in a statement. “The streets need to be transformed through both programming and design.”
LEASES
A former Veritas executive plans to open a third Redmint spa in San Francisco at 150 Post St. in Union Square, according to the San Francisco Business Times. Redmint founder and CEO Helina Fan intends to open the 4,500 SF shop by December.
Fan is a former vice president at Veritas, one of San Francisco’s biggest multifamily owners and operators, and is married to the firm's CEO and founder, Yat-Pang Au.
SALES
Federal Realty Investment Trust expanded its holdings in the East Bay. The Maryland-based REIT acquired Pinole Vista Crossing, a 216K SF open-air, grocery-anchored shopping center at 1409 Fitzgerald Drive, for $60M.
The 19-acre property is 13 miles north of the REIT’s East Bay Bridge Shopping Center at 3838 Hollis St. in Emeryville.
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Irvine-based CIP Real Estate purchased a 143K SF industrial property in San Jose for $40M. Dollinger Properties of Redwood City sold the six-building Tully Business Center at 1310-1460 Tully Road. Colliers represented the buyer and seller.
CIP has earmarked $750K for improvements, including a project rebrand and upgrades to the vacant suites. The property is 92% occupied.
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Los Angeles-based BH Properties swooped into the Theater District to pick up an office building at 989 Market St. for $13.5M, representing an 80% decline in value since the last time it traded in 2014. New York-based ABS Real Estate Investments purchased the property for $61.3M 10 years ago, according to the San Francisco Chronicle.
Formerly Zendesk’s headquarters, the 117K SF asset includes ground-floor retail space occupied by Blick Art Materials.
PERSONNEL
Sam Caven has left Starwood Capital Group to join The Roxborough Group of San Francisco as managing director of acquisitions. In his new position, Caven, along with Matt McCormick, will lead the acquisitions team, overseeing origination, underwriting and execution of new investment opportunities.
