SAN FRANCISCO-Highridge Partners of Los Angeles has expanded its San Francisco portfolio with the $37.7 million acquisition of 550 Kearny St., a 196,000-square-foot, 10-story office building that includes 9,700 square feet of ground-floor retail. Highridge and San Francisco-based Montgomery Capital Partners acquired the property via a bidding competition managed by the CB Richard Ellis National Loan Sale Advisory Group's local office, led by Kurt Altvater.

The 550 Kearny building is located in the city’s financial district, three blocks from 255 California, which Highridge and Montgomery acquired in July 2010. The building previously sold for $58 million when Broadreach Capital Partners bought it in 2007, according to a GlobeSt.com report at the time.

Jack Mahoney, executive vice president of Highridge Partners, describes 550 Kearny as "a little jewel located in one of the strongest office submarkets in Downtown San Francisco." The building is the third acquisition for Highridge via a $500 million office investment program that is led by Mahoney, founder John Long and their long-time office strategic partner, Jim Clifford of Montgomery Capital. Privately held Highridge, which Long founded in 1978, provides capital and strategic guidance to the venture. Clifford, through his company Montgomery Capital Partners, assembled a team of consultants and professionals to fully underwrite and submit the winning offer for 550 Kearny.