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SAN FRANCISCO-CB Richard Ellis Investors’ Strategic Partners U.S. IV fund has acquired 500 Terry Francois Blvd., a newly completed, 291,000-sf class-A office building overlooking Mission Bay. The seller was an investment client of Lowe Enterprises, which developed the building. The sale price, not released by those involved, was approximately $149 million, an industry source tells GlobeSt.com. The fund reportedly paid cash.

The six-story glass-and-brick skinned building includes conference rooms, a 4,000-sf fitness facility and 9,000 sf of street-level retail space. Floor plates range from 32,000 sf to 61,000 sf, a raised-floor system and ceiling heights range from 10 to 12 feet. The triple-net asking lease rate is expected to be approximately $45 per sf, one local broker tells GlobeSt.com.

“This newly constructed speculative class A office building in a major market with low vacancy rates and high barriers to entry is consistent with the office repositioning strategy of this Strategic Partners fund,” says fund principal Phil Hench in a prepared statement.

When Lowe’s investment client acquired the site in 2006 it had already been entitled for the project and the foundations already had been poured. Lowe reportedly paid $83 per entitled sf.

Mission Bay is a 303-acre master-planned development that will eventually hold 5 million sf of office and commercial space, 6,000 residential units, 750,000 sf of retail, 500 hotel rooms and the 43-acre UCSF research campus.

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