Company president Zaya Younan tells GlobeSt.com that the buyer--officially 2000 Sierra Point Ltd.--is an overseas high-net-worth family he advises, and that he will continue to be involved in the property, selecting a property manager and making sure it is managed correctly. "Naturally, our intention was not to flip the asset," says Younan. "But when you have so much demand you have a fiduciary responsibility to consider it."
Younan says he did not outbid its competitors in acquiring the building in the first place. Rather, he says, "We proved to Hitachi two things: that we can deliver and execute based on the terms, and that they can trust that we will not re-trade the property," says Younan. "While some people will say Zaya flipped the building and is finished with it, that is not he case. The people that own it now, we have a close relationship that goes beyond just a fee; it is a partnership."
As for the future success of the property, Younan says the company's largest acquisition to date will be a solid long-term investment for the new owner. "San Francisco and the Silicon Valley have been beaten, but we feel the justification and momentum behind it is not that bad," he says. "We feel these markets have bottomed out and will start turning around late in the first or second quarter of next year."
© Touchpoint Markets, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to asset-and-logo-licensing@alm.com. For more inforrmation visit Asset & Logo Licensing.