Norges Bank Buys Stake In Two S.F. Properties
The real estate investment unit of Norway’s pension fund, Norges Bank Real Estate Management, just picked up a 44% stake in two S.F. office properties.
The fund bought interests in 100 First St and 303 Second St in the city’s South of Market Street district from Kilroy Realty for $452.9M, pushing the valuation of the two properties to about $1.15B, CoStar reports. Kilroy will retain the other 56% stake and continue its management of the two properties, which were 96.4% occupied as of July 31, 2016.
100 First totals 466k SF while 303 Second is made up of 747k SF, and together the two buildings produced over $48M of rental income in 2015. [CoStar]