Paramount Group invests $900m in San Francisco offices
Paramount Group has completed the acquisition of a 44 percent joint venture interest in 55 Second St. in San Francisco. The 25-story property, also known as the KPMG Building, was valued at approximately $402.0 million, or $1,039 per square foot.
In a separate transaction, Paramount has agreed to acquire Market Center, a two-building class A office complex comprising 753,000 square feet located in San Francisco’s South Financial District. The complex consists of 555 Market St. and 575 Market St., which provide office space of 280,000 square feet and 473,000 square feet, respectively. The purchase price is approximately $722.0 million, or $959 per square foot.
“We continue to opportunistically redeploy capital in one of the most desirable markets in the country at an attractive basis,” stated Albert Behler, chairman, CEO and president of Paramount. “We plan to aggressively manage future rollover at the property, where in-place rents sit well below market in a ci