TMG Partners has closed on $220 million in a separate account to invest in value-add commercial real estate in the Bay Area. The capital was sourced from a single institutional investor and represents TMG’s second venture with this investor, which invested $165 million four year ago with TMG.
The venture will seek to acquire approximately $625 million of value-add and opportunistic investments in the San Francisco Bay Area. Product types will include office, R&D, residential and mixed-use.
Investments in the first separate account included two office buildings and a development site in Oakland, Calif., and an office property in San Jose. The first Oakland investment and the San Jose property were sold over the past year, following completion of renovations and signing long-term leases with a number of tenants, including Google, Oracle, Arup, Clovis Oncology and Santa Clara County.
“The Bay Area remains the country’s most competitive real estate investment
