This article is from the Australian Property Journal archive
The Tishman Speyer Office Fund has turned around its Bayside Towers in San Francisco.
TSO bought Bayside Towers in July 2005 and at the time the 260,400 sq ft property was 40% vacant and with another 46,924 sq ft scheduled to expire at the end of December 2006.
TSO has since extended the Legacy Partners lease over 46,924 sq ft through December 31, 2011.
More recently, TSO executed three new leases including Right90 for 7,323 sq ft for a 63 month term, Philips Electronics for 54,429 sq ft for a 62 month term and Arena Solutions for 24,108 sq ft for a 64 month term.
Following the new leases, Bayside Towers is now 92% leased with 20,000 sq ft of space remaining to be leased.
The fund is already is discussions to renew two leases with 2007 expiries, in Aplera and Activision covering 107,000 sq ft and continuing preliminary design and construction cost planning for the 88,000 sq ft development site.
Bayside Towers is located in Foster City about 25 minutes down Highway 101 from the San Francisco Financial District and is located in the San Francisco peninsula office market.
“It is knowing not only where to buy, but how to buy, and what to do with an asset to create value once the property is secured.
“This approach to adding value began with selecting the appropriate investment market, moved to identifying and securing the right to buy the asset, then underwriting and financing,” the fund said in a statement.
By Adam Parsons
