This Week's San Francisco Deal Sheet
The weekly compilation of the San Francisco Bay Area metro’s biggest leases, sales, financing deals, construction updates and personnel moves. Have news you’d like to submit? Email [email protected].
USA Properties Fund began construction on Adega II, the second phase of a multifamily community at 541 Carlson Ave. in Rohnert Park, California. The project will add 74 units to the community, seven of which will be targeted at potential residents earning 110% or less of the area median income for Sonoma County.
“The City of Rohnert Park takes the housing needs of our community seriously,” Mayor Jackie Elward said in a press release.
“We want everyone in our community to have a safe and affordable place to call home. For that reason, the city requires that developers set aside housing affordable to lower-income households in the larger market-rate developments.”
DEVELOPMENT
Related California will develop a multifamily project at Bishop Ranch, a 600-acre master-planned community in San Ramon. The project at 6131 Bollinger Canyon Road is the first multifamily community in the development, Bishop Ranch developer Sunset Development announced last week.
“[Related's] uncompromising commitment to deliver the highest standard of living for every market sector makes them an ideal partner for us," Sunset Development CEO Alex Mehran Jr. said in a press release. "Without a doubt, they will enhance our San Ramon community and fulfill some of the much-needed East Bay housing demand.”
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Eli Lilly revealed its expansion to its Gateway Labs by Lilly last week, adding a second site in South San Francisco. With this expansion, the available laboratory space in the facility grew to more than 130K SF.
Elsewhere, the company is planning to open its Lilly Institute for Genetic Medicine at the Boston Seaport sometime in 2024.
FINANCING
A Bay Area investor purchased a 42-unit multifamily property in San Francisco’s Russian Hill district last week for $33M. The property at 2222-2254 Polk St. is on a 17.5K SF lot and contains five ground-floor retail spaces.
Coldwell Banker Commercial Realty facilitated the transaction for the undisclosed buyer and seller. The property contains 38 one-bedroom and four studio apartments, along with an eight-car garage.
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The Martin Group, Sansome Pacific Properties and Stars REI obtained a floating-rate construction loan through Principal Real Estate to finance the Centro Callan mixed-use complex in San Leandro.
JLL arranged the $69M financing agreement on behalf of the borrowers, led by JLL’s capital markets team, including Brandon Roth, Spencer Bergthold and Elijah Lax.
Centro Callan will include 146 residential units and a ground-floor grocery store. Amenities in the facility will include 20K SF of open space, along with a dog park, a clubhouse, outdoor work pods and an outdoor game area.
PEOPLE
Transwestern Real Estate Services tapped Peter Conte to direct the company’s national laboratory and life sciences advisory group. Conte joined Transwestern in 2015 and is senior vice president in the company’s San Francisco office.
“Peter’s distinctive background, combining experience in commercial real estate, biotechnology and banking, uniquely suit him to lead our efforts in this burgeoning sector,” Transwestern President Tom Lawyer said in a press release. “His unsurpassed knowledge of the space, combined with his hands-on, consultative approach, has earned him the trust and long-term partnership of established life sciences companies and startups, as well as building owners and investors.”
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San Francisco-based Prime Data Centers appointed Steve Benson its vice president of critical operations last week. He will lead the company’s global data center portfolio. He previously served with QTS Data Centers, where he managed technical infrastructure, among other duties.
“As data centers increasingly become the backbone of critical operations for many organizations, it is more important than ever to ensure they are highly efficient facilities consistently delivering 99.999% uptime,” Benson said in a press release. “I am excited to have the opportunity to position Prime Data Centers to be able to meet the demands of today's landscape.
THIS AND THAT
Forge Development Partners and Bridge Investment Group opened TL Residences last week, a 240-unit studio apartment community in San Francisco’s Tenderloin District. Thirty-one of the units will be available below market rate for qualifying annual incomes of $32K.
“TL Residences is a visionary model for integrating pioneering sustainability principles, pioneering technology, and high-quality living environments to create an eco-friendly lifestyle for the middle market,” Forge Development Partners founder and CEO Richard Hannum said in a press release. “We believe the ultimate success of this innovative partnership and scaled-unit community will inspire other cities to build similar workforce housing.”
CORRECTION, OCT. 28, 3:50 P.M. PT: A previous version of this story misidentified Richard Hannum as "Robert". This story has been updated.
