While Oakland office renovations abound, new construction remains stalled

In one sense, downtown Oakland’s office market is a busy place: Developers are eagerly snapping up old, historic buildings and renovating them into creative space. Rents continue to rise sharply, and an influx of tenants, many from San Francisco, have driven vacancy rates down to a microscopic 3.2 percent. In another sense, there’s very little happening at all. No developer sitting on a site for a ground-up office project is ready to pull the trigger on a new building — and none expect to be ready anytime soon. (more…)

TH Real Estate to Buy 400 Montgomery in San Francisco for $50MM

New York City-based TH Real Estate, a division of TIAA Global Asset Management is planning on acquiring the 85,011 square foot 400 Montgomery office building in San Francisco for approximately $50 million, according to sources familiar with the transaction. The property is under contract to the buyer with a closing projected to happen very soon. TH declined to comment when contacted for this story. The real estate investor will make the investment on behalf of its general account. There is a local firm that will be involved in the asset going forward. This is Emeryville-based Harvest Properties. (more…)

Peek inside WeWork’s new San Jose co-working space, opening next week

It’s Wednesday afternoon and the sixth floor at 75 East Santa Clara St. in downtown San Jose is bustling with workers of every trade: People are installing furniture, finishing up electrical systems, painting walls, installing floors. This is WeWork’s first location in Silicon Valley and the construction workers and WeWork’s crew has a mission: Get it all picture perfect in time for a grand opening ceremony in just six days. (more…)

San Jose downtown office tower sells again

When LaSalle Investment Properties and Harvest Properties snapped up 60 S. Market St. at the end of 2013, the 14-story tower was 63 percent leased and downtown’s office vacancy rate was still well over 20 percent. Fast forward to today. The 232,500-square-foot tower is sitting at 90 percent full, and downtown’s vacancy is hovering around 15 percent, according to Cushman & Wakefield research.

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Harvest, New York Life plan $5M capital injection after Burlingame building buy

Burlingame, traditionally a sleepy office destination, is getting more attention as office owners and developers bet that tenants will add the Peninsula city to their shopping list as other submarkets fill up.  That’s part of the investment thesis behind New York Life Real Estate Investors and Harvest Properties’ acquisition this week of One Bay Plaza, a 195,739-square-foot office building on the edge of the San Francisco Bay.

Exclusive: Huge global investor to buy one of Oakland’s biggest office towers

Principal Financial Group, a global investment firm with over $547 billion assets under management, is in contract to buy one of Oakland’s largest office buildings, becoming the latest institutional investor to make a splash in the city.  Des Moines, Iowa-based Principal Financial (NYSE: PFG) is buying 555 12th St., a 490,000-square-foot tower, from Harvest Properties and equity partner Prudential Real Estate Investors.