Strada Investment Group closed on a deal to purchase wireless networking company Samsara’s headquarters in San Francisco’s Showplace Square. The San Francisco Business Times reported that the $103-million acquisition, which equates to roughly $771 per square foot, helps set a baseline for stabilized office building values in the post-pandemic era. The 133,427-square-foot building at 1 De Haro was developed by SKS Partners and is fully leased to Samsara.
A source familiar with the deal told the Business Times that Strada worked with an institutional pension fund capital partner for the deal. The building is one of a small number of stabilized office properties in San Francisco that have come to market and transacted in recent years. The asset category — fully leased buildings generating revenue as expected — had not seen established pricing guidance until now.
“It was a confluence of factors,” said Jesse Blout, founding partner of Strada. ”An amazing building priced well below replacement cost, located in a dynamic neighborhood, anchored by a fabulous tenant in Samsara.” Eastdil Secured marketed the property on behalf of SKS.
