News
Investors make big profit after $40 million S.F. office flip
June 2, 2015 • Source: http://www.bizjournals.com/sanfrancisco/morning_call/2015/06/sf-office-building-sale-flip-cre-investors.html • Posted in: Market News
In another sign of San Francisco's sizzling office sales market, an investor has flipped two office properties for a combined $40 million, netting a $15 million profit after two years.
Miami-based Market Street Real Estate Partners sold 143 Second St. for $16.1 million to a private investor based in the Peninsula and 580 Market St. for $24.1 million to a San Diego-based fund, according to a source familiar with the two separate transactions.
The deals highlight a growing segment of office landlords who hold on to properties for a short period and sell them for a big profit just a couple years later, as the office sector hits a historic peak with Class A rents upwards of $60 per square foot.