TMG, Alexandria JV on Brannan Street Office Development
- May 18, 2015
With San Francisco’s office market holding its ground as one of the strongest in the country, developers are clamoring to secure as many opportunities as possible. A case in point is the TMG Partners-Alexandria Real Estate Equities joint venture to acquire an office development site in the proximity of Moscone Center, the largest convention and exhibition complex in the city.
The joint venture acquired 505 Brannan St., a fully entitled site that will accommodate as much as 135,000 square feet of space. The site comes with Prop M office allocation, which was secured back in 2014. When developed, the project is set to feature tenant-friendly characteristics such as large floor plates and a side core design, in a location that offers a host of retail and residential spots. According to TMG Partners’ chief investment officer, Matt Field, the property also has “great transit access, with the Cal Train station a block away and a new Central Subway stop less than half a block away.” The developers pointed out that their expectations for the project are high, with strong demand projected for 505 Brannan.
Alexandria Equities is adding to its Mission Bay – SoMa cluster with the development of this asset. The company’s assets are currently fully leased, while its “near-term development pipeline comprising 723,000 square feet is also 100 percent leased to high-quality disruptive technology companies,” according to Stephen Richardson, Alexandria Real Estate Equities’ COO & regional market director for San Francisco.