Two Major San Francisco Office Deals Show Snapshot of Market, and Another Major Oakland Apartment House Goes Back to Lender

45 Fremont Street, San Francisco, a 620,000 square foot Class A office property owned by Shorenstein and Blackstone, goes back to market at direction of  lender Bank of America. With a loan value of $347 million this puts the debt at $560/SF, which pre-covid would make sense but in today’s office sale market with Class A buildings routinely going for $250-350/rsf there may be a haircut coming. In the same SF Business Times, Wells Fargo is selling its 409,000 SF 420 Montgomery Street property for $135/SF to Forge Development Partners who intend to convert the property into residential. Meanwhile across the Bay in Oakland, The Orion Apartments at Brooklyn Basin, developed by Signature Development Group, with 241 units ,is going back to its lender UBS Realty Investors.