The Sterling-Hines JV acquired the San Rafael Corporate Centeras part of an unstable five-building, 1.7-million-sf portfolio fromEquity Office Properties in 2005 for approximately $397 million.The other properties were 405 Howard St., 301 Howard and 120Montgomery, all in San Francisco, and Parkside Towers in FosterCity.

The Sterling-Hines JV is now re-trading the properties followinga two-year effort to add value to the assets. Lastweek, it sold 405 Howard St. to a joint venture of AshforthPacific Properties and GE Asset Management for $247 million or $490per sf. It sold 301 Howard to Archon in March for $129 million,leaving Parkside, which has been leasingup quickly as of late, and 120 Montgomery, which itacquired several months after the other properties. Both propertiesare expected to come back to market in the near term. EastdilSecured has been getting the disposition assignments.

As for San Rafael Corporate Center, Sterling American's VP ofacquisitions Tarak Patolia tells GlobeSt.com the property wasapproximately 50% occupied and had some physical issues when theyacquired it for about $48 million. Since that time, the physicalissues have been corrected and 15 new tenants totaling 95,000 sfhave been added to the building, increasing occupancy toapproximately 80%. Tenants include Smith Barney, First SecurityLoan, Countrywide Financial, Keller Williams and Citigroup.