September 1, 2016
Norwegian-based Norges Bank Real Estate Management reportedly paid $452.9 million for a 44% stake in a Kilroy Realty Corp. entity that owns a pair of San Francisco assets. The properties include 100 First Street and 303 Second Street, which Kilroy acquired in 2010 for $196 million and $233 million, respectively.
The two SoMa properties were valued at $1.155 billion. Kilroy Realty, which previously owned 100% of the assets, is retaining a 56% common equity share in the joint ventures, and will continue to manage the two properties.
100 First Street is a 27-story, Class A, 466,000-square-foot office building built in 1988. 303 Second Street is a twin-tower, 9- and 10-story asset encompassing 747,000 square feet of space that was also built in 1988.
HFF’s Michael Leggett and Gerry Rohm handled the investment transaction.
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