TMG Partners has acquired 300 Lakeside, a more than 1 million-square-foot office tower in downtown Oakland, Calif. The Swig Co. and Rockpoint Group sold the asset but will retain an ownership interest in the property. The Swig Co. originally purchased the asset in 2005 and later formed a joint venture with Rockpoint Group in 2016 to recapitalize the building.
Alongside the sale, the new owner signed a long-term lease with PG&E. The energy and gas company will relocate its headquarters after 115 years in San Francisco. The leasing contract also includes a purchasing option for the tenant.
Located at 300 Lakeside Drive, the 29-story building is within one block of the 19th St./Oakland station. The property also overlooks Lake Merritt and includes more than 1,400 parking spots. Completed in 1960 as the headquarters of Kaiser Industries, the sellers implemented renovation programs to the lobby and common areas. The partnership modernized the elevators, built a conference facility, as well as expanded tenant amenities such as shower and lockers, a café and a food truck zone. The sellers also boosted the property’s sustainable features and achieved LEED Platinum certification.
Despite previous upgrades, the new owner intends to bring significant improvements to the property. These will include a voluntary seismic upgrade, façade cleaning, as well as upgrades to the mechanical plant and the building’s fire and life safety systems. Gensler will be the project architect, MKA the structural engineer and Plant Construction as the general contractor. TMG will oversee the design, engineering, and construction teams tasked to produce the new headquarters building and workspace to PG&E standards.
Eastdil Secured worked on behalf of the seller and arranged the financing for the buyers. At the beginning of September, TMG Partners lost Pinterest as tenant at it’s 1 million-square-foot 88 Bluxome St. in San Francisco.