Thank you for sharing!

Your article was successfully shared with the contacts you provided.

SAN RAFAEL, CA-Broadreach Capital Partners of Palo Alto has acquired a 93,296-sf office property here for $25.5 million, or slightly less than a 7% cap rate based on in-place rents, according to local sources. Located along Highway 101 in the 3900 block of Civic Center Drive, the property is comprised of two identical three-story buildings originally developed in 1989. The seller was a group of local investors.

Since completion, the buildings have been 100% occupied by Autodesk Inc., a Fortune 1000 software designer known for its computer-assisted design software. Local industry sources tell GlobeSt.com the lease for one of the buildings expires in a year, and the lease for the other expires in five years.

Autodesk Inc. reportedly has exercised its renewal option for the near-term lease expiration but the lease rate and concession package is still being negotiated. The acquisition is “as an opportunity to take advantage of an off-market deal with renewal opportunity in the near term,” a source at Broadreach tells GlobeSt.com.

The lease renewal is an opportunity because demand for space in the greater Bay Area has increased meaningfully over the past 12 to 18 months which, when combined with Marin County’s significant supply-constraints, “points to upward pressure on rental rates in this submarket in the near term,” according to Broadreach senior director Trevor Wilson. Wilson heads the real estate private equity firm’s investment activity in the San Francisco and North Bay markets.

Meridian Commercial Inc. of Larkspur brokered the transaction and has won the leasing assignment. Trevor Buck represented Broadreach while Steven Leonard and Michael Lieberman represented the seller. Colliers International has been retained to provide property management services.

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM digital member, you’ll receive:

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 1 free article* every 30 days across the ALM subscription network
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?



Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2021 ALM Media Properties, LLC. All Rights Reserved.