Tishman Speyer and Mitsui Fudosan America today announced the acquisition of a 126,000 square foot, last mile warehouse and distribution facility at 2225 Jerrold Avenue in San Francisco’s India Basin submarket.
The acquisition is the second for Tishman Speyer’s recently launched industrial platform and the first through the Tishman Speyer-Mitsui Fudosan America Logistics Venture. The joint venture is seeded by an initial $500 million commitment from an affiliate of MFA along with co-investment capital from Tishman Speyer.
Tishman Speyer purchased 2225 Jerrold, a 2.88-acre urban infill industrial warehouse located just three miles from downtown San Francisco, for $32.75 million in an off-market transaction.
“We see 2225 Jerrold as a rare opportunity to reposition one of San Francisco’s largest and highest quality infill industrial properties,” said Tishman Speyer Managing Director and Head of Industrial Andy Burke. “This is an exciting moment in our partnership with Mitsui Fudosan America as we pursue this and a number of other intriguing opportunities in prime urban locations.”
Constructed in 1982, the facility was purpose-built by its original owner to serve as a last mile distribution facility. Tishman Speyer and MFA will undertake a series of capital improvements to create a more modern, flexible and efficient facility that will appeal to a wide range of last-mile users, including upgrading the facility’s office spaces, sprinklers, doors, HVAC and mechanical systems and roof.
Formed in late 2022, Tishman Speyer’s joint venture partnership with MFA was created to pursue ground-up development projects and the major repositioning or redevelopment of existing value-add industrial acquisitions. The partnership focuses on opportunities in major urban centers with dynamic workforces, growing populations and high barriers to entry such as Los Angeles, the New York Metro region, the Puget Sound region, San Francisco Bay Area, Austin, San Diego, Washington D.C., Boston and Chicago.
About Tishman Speyer (tishmanspeyer.com)
Tishman Speyer is a leading owner, developer, operator and investment manager of first-class real estate in 36 key markets across the United States, Europe, Asia and Latin America. Our portfolio spans market rate and affordable residential communities, premier office properties and retail spaces, industrial facilities, and mixed-use campuses. We create state-of-the-art life science centers through our Breakthrough Properties joint venture, and foster innovation through our strategic proptech investments. With global vision, on-the-ground expertise and a personalized approach, we are unparalleled in our ability to foster innovation, quickly adapt to global and local trends and proactively anticipate our customers’ evolving needs. By focusing on health and wellness, enlightened placemaking and customer-focused initiatives such as our tenant amenities platform, ZO, and our flexible space and co-working brand, Studio, we tend not just to our physical buildings, but to the people who inhabit them on a daily basis. Since our inception in 1978, Tishman Speyer has acquired, developed, and operated 533 properties, totaling 223 million square feet, with a combined value of over $129 billion (U.S.). Our current portfolio includes such iconic assets as Rockefeller Center in New York City, The Springs in Shanghai, TaunusTurm in Frankfurt and the Mission Rock neighborhood currently being realized in San Francisco.
About Mitsui Fudosan America (mfamerica.com)
Mitsui Fudosan America, Inc. (MFA) is the US subsidiary of Japan’s largest real estate company, Mitsui Fudosan Co., Ltd., a publicly-traded company with approximately $66 billion of assets. MFA is responsible for Mitsui Fudosan’s real estate investment and development activities in North America, and is headquartered in New York, with branch offices in San Francisco, Los Angeles and Honolulu. MFA has been active in the United States since the 1970s, and currently owns assets in the following metropolitan areas: New York, Boston, Washington, Nashville, Atlanta, South Florida, Dallas, Houston, Denver, Phoenix, Seattle, San Francisco, Los Angeles, San Diego, and Honolulu. MFA’s US portfolio includes 9.0 million square feet of commercial space, 3.6 million square feet of commercial space under development, 4,000 residential apartments, 6,700 additional residential units under development, 260 condominiums and townhomes under development, and 753 hotel rooms.