City Celebrating Largest Office Space Lease of 2012 at 350 Mission

City Celebrating Largest Office Space Lease of 2012 at 350 Mission


City Celebrating Largest Office Space Lease of 2012 at 350 Mission

16

The Transbay transformation of 2013 has already begun: 350 Mission Street, the city’s first new high-rise office tower in five years—as yet inbuilt—already has a tenant.Salesforce has agreed to rent the entire 27-floor, 400,000 square foot building, which will rise to the sky directly across the street from the future Transbay Tower.

Developer Kilroy Realty Corp. plans to begin construction early in 2013 on this $250 million dollar project. Now with Salesforce signed on to occupy the space,says the San Francisco Business Times, “Kilroy will seek entitlements to add another three stories to the 27-floor tower, which would bring the total Salesforce lease to 444,000 square feet. The three additional floors would also add $25 million to the project cost."

Salesforce has become the city’s biggest tenant when it comes to office space, spreading its business to locations such as One Market and One California St. The company decided against building a potential 2 millions square foot campus at Mission Bay in March, opting instead for downtown locations. Employees who work in the impending 350 Mission Street tower will enjoy amenities such as “floor-to-ceiling windows….. high-ceiling layouts….. electric vehicle charging stations, a fitness center with showers and lockers, and a first-class bicycle and storage center."

The Salesforce deal is a 14-year lease, secured only eight weeks after the date Kilroy purchased the property itself for $52 million. Like other large scale office building projects, the developer had planned to build with or without a tenant, but now won’t have to worry about securing rental income for over a decade. Major Ed Lee touted the deal in a Dec.18 press release as the largest lease in San Francisco this year, adding: “This will bring thousands of new jobs and anchor the City’s Transbay District as a leading destination for innovative companies."