One of San Francisco’s most prized office towers is on the market.
The 48-story building at 101 California Street near the Embarcadero is for sale, the San Francisco Chronicle reported. The 1.2-million-square-foot skyscraper is home to tenants like Goldman Sachs, Morgan Stanley and Chime.
The asking price for the building is about $900 per square foot, or more than $1 billion. Before the pandemic, its value was upwards of $1,000 per square foot.
Eastdil Secured has been marketing the property for sale on behalf of its ownership. Hines developed 101 California and manages the building, while owning a minority interest in the property of less than 10 percent. GIC Private Limited, Singapore’s sovereign wealth fund, is the majority owner, and the Hong Kong Monetary Authority also has a stake in the tower.
The trophy tower underwent a $75 million ground-floor renovation completed in 2023 that upgraded the outdoor plaza and lobbies while adding some hospitality-style amenities.
The listing could mark a turning point in San Francisco’s office market, which has been slowly clawing its way back from the pandemic doldrums of high office vacancy rates and diminished sale prices. The structure is among the city’s marquee buildings along with the Ferry Building, One Maritime Plaza and the Transamerica Pyramid. New York-based investor bought the Transamerica Pyramid in 2020, the last time one of these properties was on the market.
Still, 101 California’s availability comes at a curious time considering the ongoing recovery.
“We’re all kind of scratching our heads — why would you sell now, when there’s all these positive anecdotes coming out about the market?” one unnamed market participant told the outlet. “At the same time, it’s a really rich price. It’s a billion-dollar price point, with a $750 million loan.”
Another anonymous source said it’s a sign of confidence in the market.
Ultimately, the possible sale of 101 California represents a test for the local market.
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