Rockefeller Group Investment Management Corp. (RGIM), on behalf of a joint venture of Rockefeller Group U.S. Premier Office Fund LP (POF) and Mitsubishi Estate New York (MENY), has sold 50 Beale St. in the heart of San Francisco’s South Financial District for approximately $395 million, or $596 per square foot. The buyer was Paramount Group, Inc. RGIM was advised by Eastdil Secured.
The property was acquired by RGIM on behalf of the joint venture in September 2012. Designed by Skidmore Owings & Merrill LLP, 50 Beale St. was built as the headquarters for the Bechtel Corporation, which remains a major tenant in the building. The 23-story building is located at the intersection of Beale and Mission Streets two blocks from the Transbay Transit Center and adjacent to 350 Mission St., a new tower under construction that has been fully leased by Saleforce.com.
Completed in 1968, 50 Beale St. totals 662,060 square feet. The building has undergone extensive renovations as recently as 2012 and was recently certified LEED Gold by the U.S. Green Building Council. It is approximately 90 percent occupied.
According to Dennis Irvin, President and CEO of RGIM, a subsidiary of The Rockefeller Group, “This is a great building with solid tenants in an outstanding area of San Francisco. For us and our investors, the sale presented an opportunity to realize gains ahead of plan driven by the strength of the recovery in San Francisco and the solid performance of both 50 Beale Street and the whole South of Market submarket.”