San Francisco office buildings

Real Estate Alert, Feb 4, 2004

Zapolski & Rudd paid $20.3 million, or $350/sf, for 407-445 Jackson Street, a collection of historic buildings off Jackson Square in San Francisco. The price indicates an initial yield of roughly 14% for the Durham, N.C., firm. The 58,000-sf property is fully occupied, with 30,000 sf leased to advertising giant Leo Burnett through 2007.

The property was sold by turnaround specialist Monahan Pacific, which acquired the buildings for $8.5 million in 1999 from a Colony Advisors partnership. Grubb & Ellis brokered the sale.