Clarion Sells Bay Area Office Complex to PSAI Realty for $162M
The deal is the largest multitenant office sale on the West Coast since 2022
By Brian Pascus October 23, 2024 4:51 pm
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The largest multitenant office sale on the West Coast in two years has just been finalized.
Clarion Partners sold The Plaza at Walnut Creek, a 362,399-square-foot office complex 30 minutes outside San Francisco, to PSAI Realty Partners for $162 million.
Newmark (NMRK)’s Steven Golubchik, Edmund Najera, Darren Hollak and Francesca Zappula represented Clarion Partners, while Newmark’s Breck Lutz, Alex Grell and Danny Bartz advised PSAI Realty Partners on the transaction.
Located at 1331 and 1333 North California Boulevard in the East Bay region of California’s Contra Costa County — about 28 miles east of Downtown San Francisco — The Plaza at Walnut Creek features a pair of two glass-encased, seven-story office buildings. The building opened in 1985 and includes 70 parking spaces in an underground garage.
The building boasted occupancy of 93 percent at the time of the deal and reported occupancy of 91 percent over the last five years, according to Newmark.
Golubchik said in a statement that the asset has “bucked the trend” of broader office occupancy troubles and lower rental rates. He added that the building recorded both rental gains and strong occupancy over the last five years.
“This property presented investors with a once-in-a-generation opportunity to acquire a top-performing asset in the region,” said Golubchik.
The $162 million sales price represents the largest multitenant office sale on the West Coast since 2022, according to Newmark.
Clarion Partners and PSAI Realty Partners did not respond to requests for comment.
Brian Pascus can be reached at bpascus@commercialobserver.com
