Ballast Buys Multifamily Building For $35M: The San Francisco Deal Sheet
Ballast acquired the 80-unit Grosvenor Atrium apartments at 1690 Broadway St. in San Francisco for $35.5M as it strengthens its multifamily holdings in the city’s Pacific Heights neighborhood.
Grosvenor Atrium was 97% occupied at closing, Ballast said in a press release. It was the first time the building, constructed in 1975, had been offered for sale.
The seller had completed a slew of capital improvements, such as installing new fire alarm and fire suppression systems, dual-pane windows and high-efficiency water heaters.
“It’s exceptionally uncommon to see a property of this scale and quality become available in Pacific Heights, especially one that has been held and cared for over such a long period of time,” said Mari Yamato, Ballast vice president of acquisitions.
Stephen Pugh, Andrew Black and Michael Johnston of Pacific West Group listed the property for the seller, an affiliate of Flynn Investments.
Two weeks earlier, Ballast acquired three six-story multifamily buildings totaling 110 doors in Pacific Heights for $48.5M. The buildings on Van Ness Avenue, known as Three Sisters, were 97% occupied.
PEOPLE
Newmark hired industry veteran Drew Petersen to lead its San Francisco office. Petersen will expand the office’s advisory business and work with Newmark’s local and regional offices with Northwest market leader Jon Mackay.
Petersen comes to Newmark after a stint at JLL’s Sacramento office. Prior to that, he worked in acquisitions for Strada Investment Group.
Newmark also announced the hiring of Shivu Srinivasan as multifamily investment sales adviser. Srinivasan has more than a decade of multifamily acquisition and disposition experience in multiple Northern California markets.
SALES
Rubicon Point Partners and Canyon Partners Real Estate acquired a four-building, 201K SF research and development campus in Santa Clara for $87.2M. The building at 5403 Betsy Ross Drive is occupied by medical-device maker Shockwave Medical.
“This is the beginning of a billion-dollar investment strategy that we plan to deploy over the coming few years throughout the region,” Rubicon Point Partners co-founder and Managing Partner Ani Vartanian said in a statement.
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Sagard Real Estate acquired a fully leased industrial outdoor storage facility at 2851 Alvarado St. in San Leandro. The 2-acre site included a 15K SF warehouse. Terms of the deal weren’t disclosed.
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Affiliates of The Roxborough Group and Paceline Investors acquired a 102K SF R&D facility in north San Jose for $29.2M.
The building at 2581 Junction Ave. sits on 5.4 acres. The facility is wholly leased to Norwegian microbattery manufacturer Ensurge Micropower. The building’s specialized infrastructure includes 8,500 amps of power, a rare feature that helped spur the investment, Paceline Investors founder and Managing Partner Jay Atkinson said.
The asset was Roxborough’s first R&D acquisition from a $518M discretionary fund dedicated to value-add and opportunities investments.
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Newmark arranged the sale of Atrium Labs, a 129K SF advanced manufacturing facility on 65th Street in Emeryville. Steven Golubchik, Edmund Najera, Darren Hollak and Brendan Raney represented the buyer and seller in the transaction.
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Atlas Hospitality Group sold the 112-room Hyatt Place Silicon Valley in Newark for $19.1M. The hotel on John Muir Drive was constructed in 2023 and was purchased out of foreclosure by a private investment group based in Santa Clara. It will retain the Hyatt flag.
FINANCING
Cushman & Wakefield arranged $74.1M in financing for Silicon Valley Initiative Partnership to convert a 13-story office tower in San Jose into 109 multifamily housing units. The Bank of Italy building at 12 S. First St. was constructed in 1926 and spans 126K SF.
Dave Karson, Chris Moyer, Alex Lapidus and Chris Meloni of Cushman & Wakefield’s equity, debt and structured finance team arranged the financing for the borrowers.
CONSTRUCTION AND DEVELOPMENT
The Sobrato Organization completed its adaptive reuse project at 340 Portage Ave. in Palo Alto. The property was formerly home to Bayside Cannery Co. and was repositioned into a 74K SF Class-A office building.
LEASES
Avison Young negotiated a 91-month lease for a 19,300 SF office space for Larkin Street Youth Services at 1155 Market St. Larkin Street Youth Services is relocating from 711 Van Ness Ave.
Mark McGranahan and Melinda Ta represented Larkin Street Youth Services in lease negotiations.
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Cannae Partners leased the entirety of its repositioned R&D facility at 490 Lakeside Drive in Sunnyvale to an undisclosed artificial intelligence company.
Cannae Partners and Realm LP purchased the vacant 25K SF asset in 2025 and renovated it. Gregory Davies of JLL and Kelly Yoder and Steve Horton of Cushman & Wakefield represented Cannae Partners. Sushma Malhotra of S5 Advisory represented the tenant.
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Womble Bond Dickinson relocated its offices to 20K SF of newly renovated space at 50 California St. The law firm previously occupied 10K SF in the same building.
THIS AND THAT
Workspace provider The Malin launched a 13,500 SF coworking location at 110 Sansome St. The Malin San Francisco has 11 private offices, 12 dedicated desks and five meeting rooms, along with community spaces.
