BH Properties acquired Anchorage Square, a 322K SF mixed-use development in the heart of Fisherman’s Wharf, for a reported $65M. The property encompasses 2.6 acres in one of the most popular tourist areas of San Francisco.

PropertyShark reported in May that there was approximately 37K SF of vacant retail space at the property, but BH Properties expressed confidence that the return of tourists and foot traffic will help make the area viable once again.

“We see positive signs of tourism in Fisherman’s Wharf returning to its pre-Covid levels and the property’s location between Pier 39 and Ghirardelli Square will be a key demand driver,” BH Properties President Jim Brooks said in a statement Monday.

The site has a 128-room Courtyard by Marriott, 28K SF of offices and 63K SF of retail, as well as a large parking garage. BH Properties said the retail anchor for the property is San Francisco's only In-N-Out Burger.

The purchase price, which amounts to $325 per SF, came at a discount compared to when it sold in 2004 for $85M, or $425 per SF.

Los Angeles-based BH Properties also bought the 60-acre Holy Names University property in the East Bay this year and indicated it will look to further augment its presence in the Bay Area.

“We see this as an opportunity to add a marquee asset to our growing Bay Area portfolio,” Brooks said in the statement.

The seller was Anchorage Holdings, an affiliate of the Abu Dhabi Investment Authority. Eastdil Secured brokered the deal.