Uber to Sell Oakland Building to CIM Group for $220MM
Uber is planning to sell its 380,000 square foot office building in Oakland to Los Angeles-based CIM Group for approximately $220 million, according to multiple sources familiar with the transaction. The deal has not closed at this point, however, CIM has placed a major non-refundable deposit to acquire the property. This would bring the pricing of the 380,000 square foot property to nearly $579 per square foot.
Uber had hired the San Francisco office of Newmark Knight Frank to sell the property. Newmark declined to comment when contacted for this story. Part of the acquisition costs of the property covers the building itself, and there is also capital that will be used to complete the base building work on the structure.
The asset that Uber is selling is located at 1954 Telegraph Avenue. It was known in the past as the Sears Building. The seller had acquired the property in 2015 for $123.5 million, or roughly $325 per square foot, according to public documents. Just a year earlier, Menlo Park-based Lane Partners and their partner, Chicago-based Walton Street Capital purchased the building for $24.2 million, or just over $63 per square foot, before turning it around to Uber.
The ride-sharing company is planning to lease back a portion of the building, as stated by sources that are familiar with the sale process of the building.
Read more: http://news.theregistrysf.com/uber-sell-oakland-building-cim-group-220mm/
