PRP has sold 350 Rhode Island Street, a 127,100 square-foot-office building in San Francisco's SoMa District for $182.5 million. The land and improvements sold in two separate transactions. Safehold Inc. purchased the fee simple interest position for $64.5 million, and a joint venture between Lincoln Property Company and Korea Asset Investment Management for $118 million.

Structuring the deal as two separate transactions helped to maximize value for PRP, which purchased the property in 2019 for $134.25 million. According to Paul Dougherty, president of PRP, this was a pioneering strategy. "We are not aware of another owner that has successfully undertaken such a complicated effort at the sale of an asset," he said in a statement.

While Dougherty didn't disclose the motivation for the disposition of the asset, PRP announced plans in August last year to allocate $2 billion to acquire credit tenant-leased logistic assets and data center land and buildings across primary and secondary markets as part of its push to diversify its net lease portfolio. At the time, the company also sold a handful of net lease office properties with a transaction value of $1.04 billion.