In a transaction that adds more than 400,000 square feet of Class A office space to its fast-expanding portfolio in the San Francisco Bay Area, Sterling American Property, Inc., in a joint venture with Hines, announced today the acquisition of the 120 Montgomery Street building in San Francisco for $67.5 million. This marks the 36th acquisition for Sterling American Property Fund IV. The seller was Equity Office Properties Trust ("EOP").
Richard Wilpon, Michael Katz and Thomas Osterman, Managing Directors of the Sterling American Funds, made the announcement, together with Hines Executive Vice President Jim Buie and Senior Vice President Paul Paradis. In June 2005, the companies formed a joint venture to purchase a portfolio of properties from EOP in the San Francisco area. Those properties included: 301 Howard Street and Foundry Square II in San Francisco; Parkside Towers in Foster City; and San Rafael Corporate Center in San Rafael.
The 25-story, 420,310-square-foot building includes an excellent roster of tenants such as the US General Services Administration (GSA), Wells Fargo Bank and the Segal Company.
Paul Paradis said, "120 Montgomery is an excellent location and a building with great potential. Together with Sterling, we are looking forward to improving and leasing the building in the coming years."