Big Tech Boosts East Bay/Oakland Office Activity in Q4 2018 – Bright Outlook for 2019

Demand Expected to Pace with 2019 Deliveries Variety of New Deals Supporting Growth, Rents Continue Climbing OAKLAND, Calif., February 1, 2019 – The East Bay/Oakland office market received a big boost from “big tech” in the fourth quarter of 2018, according to Cushman & Wakefield’s recent Q4 2018 market report. Mobile payment company Square’s lease for 355,762 sf at Uptown Station, currently under renovation, in Oakland’s CBD Lake Merritt submarket, helped propel leasing activity in the year’s final period. Meanwhile, vacancy returned to single digits to close 2018 at 9.7%. Molly Herrick, Cushman & Wakefield’s Market Director for the East Bay, said, “Leasing activity ramped up in the fourth quarter driven by Square, one of the largest office deals ever in Oakland’s history. The East Bay/Oakland office market achieved more than 1 msf of gross absorption during the quarter which made up 40% of the market’s total 2.5 msf of [...]

SF Bay Area Life Sciences Vacancy Tight, Rent Growth Strong, with Remarkable Pre-Leasing Activity – Conversion Trend on the Rise to Support Demand

BURLINGAME/OAKLAND, Calif., January 31, 2019 – Increased investment and employment in the life sciences sector has driven life sciences related real estate to new heights, according to Cushman & Wakefield’s new report, Life Science: Great Promise & Rapid Growth. The research provides a big-picture overview of the life sciences sector and its impact on commercial real estate as well as more granular insights into 13 top life sciences markets in the U.S. and Canada. Thanks to an influx of venture capital as well as billions of dollars in funding from the National Institute of Health, the life sciences sector has grown nearly five times as fast as the economy since 2000, adding 85,000 jobs, with roughly 70% of that job growth (61,000) in the past eight years. This is primarily a response to an aging population with increased longevity. By 2030, there will be 73 million Americans aged 65 or [...]

Cushman & Wakefield Announces Sale of Self Storage Facility in Northern California’s East Bay Area

CASTRO VALLEY, Calif., January 16, 2019 – Cushman & Wakefield announced the firm has completed the sale of Lockaway Storage in Castro Valley, California, a primarily residential community in the eastern region of the San Francisco Bay Area, or East Bay. Located at 8555 Dublin Canyon Rd., the project contains 26,000 rentable square feet of storage area as well as 135 outdoor RV/boat parking spaces. The seller was a private individual based in Northern California and the buyer was Ramser Development Company based in Southern California (Orange County). Greg Wells, Senior Director of Cushman & Wakefield’s Self Storage Practice Group, represented the seller and also procured the buyer in the transaction. “Lockaway Storage – Castro Valley is a best-in-class asset located adjacent to Interstate 580 midway between Hayward and the Dublin/Pleasanton communities,” said Wells. “This strategic location has ensured the project maintains high occupancy (95%+) and will provide the buyer [...]

Burlingame Point Finalizes Lease with Facebook for 803,000 SF Campus

Photo Credit: Doug and Wolf BURLINGAME, Calif., January 15, 2019 – Cushman & Wakefield announced today that Burlingame Point, a brand new approximately 803,000-square-foot (sf) office campus currently under construction in Burlingame, California, has finalized an agreement with Facebook to lease the entire project. Situated on 18.13 acres on the edge of the San Francisco Bay, Burlingame Point is a best in class office development by Kylli, a wholly-owned subsidiary of China-based Genzon Investment Group Co., Ltd. Facebook first publicly announced the lease was in negotiations to the City of Burlingame Planning Commission in August and the lease was fully executed shortly thereafter in the fourth quarter of 2018. Mike Moran and Clarke Funkhouser of Cushman & Wakefield represented Kylli in the transaction. JLL represented the tenant. Moran said, “We couldn’t be more excited that one of the world’s leading technology firms has selected Burlingame Point to expand [...]

2018 a Record-Setting Year to Remember for San Francisco Office Market

Year Ends with More Large Tech Deals, Positive Trends, but Supply Could Impact Growth Ahead SAN FRANCISCO, Calif. – January 10, 2019 – 2018 was a year for the San Francisco history books, according to Cushman & Wakefield’s year-end office market report. The firm’s quarterly publication revealed San Francisco produced a number of records this past year in the dominant office sector, including record high rents and new construction deliveries. In addition, vacancy reached a three-year low, while tenant requirements (demand) held strong. Also favorable to the market’s economic stamina, the most recent San Francisco metropolitan division (San Francisco and San Mateo counties) unemployment rate was a minimal 2.2%, dropping even further below the year ago figure of 2.6%. Year-over-year (YOY) total private sector jobs increased by 2.0% to 1,023,600 while office using positions increased 2.5% to 397,400. Overall San Francisco office market vacancy closed 2018 at just 6.4%, with [...]

Cushman & Wakefield Bolsters Tenant Rep Services in Bay Area with Hiring of Matt Chatham, Aaron Wright and Hope Keaney

SAN FRANCISCO, Calif., December 3, 2018 – Cushman & Wakefield announced today the addition of three Tenant Representation specialists in Northern California. Veteran brokers Matt Chatham and Aaron Wright have joined the firm as Executive Managing Directors, and Hope Keaney has joined as an Associate Director. All three professionals will be based in the firm’s San Francisco office and will focus on servicing clients regionally across the Bay Area and nationally. Along with his brokerage role, Chatham will also serve as Cushman & Wakefield’s Tenant Representation Lead for San Francisco. “It is with distinct pleasure that we have hired these very talented services providers, each possessing deep experience, focused discipline and work ethic and strong, sustained client relationships,” said Mike Smith, Cushman & Wakefield’s Managing Principal for the Northwest Region based in San Francisco. “As top tenant representative brokers, Chatham and Wright are individually recognized for their accomplishments in negotiating complex [...]

Italian Homemade Company Now a Permanent Resident in North Beach with Acquisition of Historic Caffe Roma Property

SAN FRANCISCO, Calif., November 5, 2018 – The Italian Homemade Company has purchased the historic Caffe Roma building totaling 5,181 square feet at 526 Columbus Ave. in San Francisco’s bustling North Beach neighborhood. Cameron Baird of Cushman & Wakefield represented the buyer in the transaction. “The Italian Homemade Company is honored to announce it is now a permanent resident of North Beach,” said Mattia Cosmi, CEO of Italian Homemade Company. “Nothing could better represent the bond between our Italian heritage and the city by the bay than the purchase of this great historic building.” Italian Homemade Company’s new location at 526 Columbus will be similar to their Union Street location featuring Italian specialties including handmade pastas and flatbread sandwiches, while also offering fresh pasta to go and a nice selection of Italian dry goods. Mr. Baird said, “The company has plans to upgrade and renovate the historic building with a [...]

North Bay’s Woodside Office Center Sells to Dunhill Partners

Cushman & Wakefield Co-Reps Seller in Transaction, Retained by Buyer for Leasing and Property Management NOVATO, Calif., October 31, 2018 – Cushman & Wakefield announced the sale of Woodside Office Center, a premier, 89,457-square-foot (sf) three-story Class A suburban office property in the affluent Marin enclave of Novato. The seller was a joint venture between Artemis Real Estate Partners and Ellis Partners. The buying group was led by Mark Hutchinson and Doug Twillman of San Francisco-based Dunhill Partners West. Whitney Strotz and Steven Leonard of Cushman & Wakefield in collaboration with Michel Seifer, Rob Hielscher, Kristina Wollan and Erik Hanson of JLL represented the seller in the transaction. Cushman & Wakefield, which previously served as the leasing broker for the project, has also been retained by Dunhill to continue providing leasing services. Strotz and Leonard will continue serving in that role and Cushman and Wakefield will also continue to provide [...]

TMG Partners Leases 68,000 SQFT to WeWork at 2201 Broadway in Oakland

SAN FRANCISCO/OAKLAND (Oct. 24, 2018) – TMG Partners, one of the San Francisco Bay Area’s largest mixed-use property developers, today announced the firm leased three full floors approximately 68,000 square feet of office space to global co-working behemoth WeWork. WeWork will occupy three floors in two phases with Phase I commencing immediately and Phase II commencing in January 2020. TMG Partners completed extensive renovations to the building, which includes a façade upgrade, blade signage, fully reimagined lobby and common area, amenity upgrades, new roof, and a complete HVAC, elevator and fire life safety modernization. “The iconic Art Deco-designed Breuner Building, now fully restored and renovated, is a very attractive draw for tenants such as WeWork who want an environment that combines true architectural authenticity with modern design and technology,” said TMG Partners Director of Development David Cropper. “With large floor plates and high ceilings, the property is ideally suited for [...]

Single-Tenant Flex Building in Benicia Industrial Park Sells for $12 Million Cushman & Wakefield Represents both Parties

BENICIA, Calif., September 24, 2018 – A fully leased 63,108-square-foot flex/R&D building positioned in the Benicia Industrial Park in South Solano County, California has traded for $12 million. The single-story building located at 5500 E. 2nd St. in the city of Benicia is 100% occupied by Bio-Rad Laboratories. Sarkissian Trust acquired the property from Benicia Partners, LLC. Brooks Pedder, SIOR, Douglas Longyear, SIOR, and Tony Binswanger, SIOR of Cushman & Wakefield’s Walnut Creek and San Francisco offices represented both the buyer, with whom they’ve had a close relationship for nearly 30 years, and the seller in the transaction. Mr. Pedder, Managing Principal, Executive Managing Director in Walnut Creek, said, “This was a strong investment property leased to a longstanding, industry-leading tenant who is also one of the largest employers in the Benicia Industrial Park—the largest port-oriented industrial park in Northern California that serves home to several major companies across a [...]