SAN FRANCISCO--(BUSINESS WIRE)--HFF announces $145 million in construction financing for 633 Folsom, a seven-story, 171,632-square-foot office building in the SOMA submarket of San Francisco, California.
The HFF team worked on behalf of the borrower, The Swig Company LLC, to secure the construction loan through a domestic bank. Loan proceeds will be used to complete a full building renovation and expansion, which will add five floors and transform the property into a 12-story, 266,053-square-foot, Class A office building.
Originally built in 1967 by The Swig Company, 633 Folsom has been fully leased for the past 20 years, most recently to California Pacific Medical Center. The renovation and expansion project is scheduled to commence in the Summer of 2018 and construction of the new five-story addition will increase the rentable area by over 94,000 square feet and raise the height of the building from 92 feet to approximately 165 feet.
The HFF debt placement team representing the borrower consisted of senior managing director Bruce Ganong and analyst Bercut Smith.
“The planned repositioning and expansion of 633 Folsom coincides with a shift in leasing patterns from traditional tenants seeking 5,000 to 10,000 square feet to large users establishing new headquarters or satellite campus locations in the San Francisco CBD,” said Ganong. “It will be exciting to watch The Swig Company execute its plan to transform 633 Folsom into a Class A building.”
Holliday GP Corp. ("HFF") is a real estate broker licensed with the California Department of Real Estate, License Number 01385740.
About The Swig Company
The Swig Company, LLC is a privately-owned, San Francisco-based real estate operator with an 80 year history of investment, development, partnership and management of commercial real estate properties in major US markets. Founded by Benjamin H. Swig in 1936, The Swig Company is guided by a long-term investment perspective that has proven adept at stewarding investors safely through multiple market cycles. The company’s vertically-integrated operational platform, which includes investment, asset and property management, and leasing expertise, uses flexibility, generational thinking and sensitivity to sustainable practices to stay at the forefront of emerging trends in the commercial real estate industry. For more information, visit: www.swigco.com.
HFF and its affiliates operate out of 26 offices and are a leading provider of commercial real estate and capital markets services to the global commercial real estate industry. HFF, together with its affiliates, offers clients a fully integrated capital markets platform, including debt placement, investment advisory, equity placement, funds marketing, M&A and corporate advisory, loan sales and loan servicing. HFF, HFF Real Estate Limited, HFF Securities L.P. and HFF Securities Limited are owned by HFF, Inc. (NYSE: HF). For more information please visit hfflp.com or follow HFF on Twitter @HFF.