By IvyLee Rosario
San Francisco—Kennedy Wilson, in a joint venture with Takenaka Corp. announced the acquisition of 400 and 430 California St. in the North Financial District submarket of San Francisco. The 247,000-square-foot office tower and 27,000-square-foot bank branch sold for $135 million. Kennedy Wilson’s asset management strategy includes a full-scale repositioning of the property, including a renovation of the lobby and other interior upgrades. James Andrew International advised Takenaka Corp. in the transaction.
The property is fully occupied by MUFG Union Bank, who will leaseback the property and vacate the tower over the next two years on a staggered basis, and the bank branch after four years. The office tower provides views of the skyline with a 10,000-square-foot deck over the roof of the bank branch and three additional exterior decks. The bank branch was designated in 1968 and offers convenient access to the California Street cable car line, two BART stations and is a short walk from the Ferry Building.
Takenaka Corp. had its first design/construction project in San Francisco in the late 1960’s and has owned Hotel Nikko San Francisco since developing it in 1987. Kennedy Wilson and Takenaka’s first real estate transaction occurred in 1996 when the company successfully sold an office building on behalf of Takenaka in Los Angeles.
Image courtesy of Kennedy Wilson