June 3, 2016
Des Moines, Iowa-based Principal Financial Group is set to acquire 555 12th St., one of Oakland’s largest office buildings. The global institutional investor is reportedly under contract to purchase the 490,000-square-foot tower for more than $200 million from Harvest Properties and equity partner Prudential Real Estate Investors.
Harvest and Prudential acquired the 21-story asset in 2013 for $133.1 million from CBRE Investors. If the Principal Financial deal goes through at more than $400 per square foot, it would represent roughly a 50% return in just three years.
The 90% leased asset is part of the City Center complex, and lists such companies as Ask.com and CRE firms Cushman & Wakefield and CBRE Group Inc. on its tenant roster.
Cushman & Wakefield’s Dane Hooks and John Dolby handle leasing at the LEED Gold Certified building.