Columbia Property Trust Continues Robust Leasing Pace and Rent Rollups in San Francisco Office Portfolio

Columbia Property Trust, Inc. announced today that it has completed more than 170,000 square feet of leasing transactions year-to-date within its four-building office portfolio in San Francisco and Silicon Valley. Buoyed by a mixture of tenant renewals and new leases, this activity represents a substantial increase in leasing velocity compared to the same period in 2018, and was accompanied by average rent rollups of 51 percent. The company’s 2-million-square-foot Bay Area portfolio, which accounts for close to a third of Columbia’s real estate assets nationally, is 97 percent leased.

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Columbia Property Trust has used enhanced tenant service and upscaled amenities – like the new roof terrace at 221 Main Street shown here – to capitalize on strong demand in the San Francisco real estate market and keep its vibrant Bay Area portfolio near fully leased. Photo by Jeff Peters.

“San Francisco and Silicon Valley continue to experience very strong demand, with limited new supply coming online,” said Nelson Mills, CEO of Columbia Property Trust. “Our local team continues to capitalize on the market’s strength and our attractive portfolio positioning by successfully growing rents in what has become a fully-leased collection of highly-competitive office properties.”

At 221 Main Street, a Class-A office tower located in the city’s South Financial District, six deals were signed this year, including several new leases, plus one renewal and one expansion. In the most recent transaction, which was finalized last week, Triage Consulting Group signed a five-year lease renewal for 46,000 square feet at the building. 221 Main Street has benefitted from an ambitious upgrade program that includes a new roof terrace opened last year and other high-end upgrades to tenant amenities and common areas. The building is now 100 percent leased.

At 650 California Street – the iconic Class-A office tower in the North Financial District – three leasing transactions representing 62,000 total square feet have been signed so far this year. The most recent (and largest) deal was Credit Suisse’s renewal of 31,000 square feet on two of the building’s top floors. Earlier this fall, mortgage finance firm Real Estate Equity Exchange, Inc. signed a new lease for 15,000 square feet at the building, which is now 97 percent leased.