Presidio Bay Ventures is back in buying mode in San Francisco, picking up 333 Valencia St. in the city’s Mission District.

The local investor purchased the 56K SF office building for $27.5M from a joint venture including Prado Group, Murray Hill Partners and Angelo Gordon, the San Francisco Business Times reported. That group previously invested $20M in improving the building. The joint venture tried to sell it in 2021 for around $60M, according to The Registry.

Presidio Bay has been investing in Bay Area real estate since the pandemic. The company bought 60 Spear St. for $41M in 2023 and submitted plans last year to redevelop the 11-story building. It also purchased an 18-acre property in Menlo Park with plans for a mixed-use neighborhood.

The San Francisco Department of Public Health is a long-term tenant at 333 Valencia St., taking 80% of the building with 10 years left on the lease. The purchase price of $500 per SF places the deal on the high end for property sales in the city since the pandemic, the Business Times reported.

San Francisco’s office market began its rebound last year after pandemic-era remote work trends upended the previously white-hot sector. The city’s office vacancy rate was still elevated at 32.8% in the fourth quarter, according to CBRE, but it fell by 3.7% over the course of 2025, the largest annual decrease since 2011.

Improved leasing activity, led by artificial intelligence companies, along with better price discovery and a generally improving capital markets environment have boosted San Francisco’s office sales.

Investors poured $2.6B into office properties in the city in 2025, buying 6.9M SF, according to CBRE. That sales figure marks the highest dollar volume spent on offices in the market since 2021 and the largest total of square feet traded since 2019.