Shorenstein buys US Bank Tower skyscraper in Sacramento

Shorenstein Properties has acquired the US Bank Tower office building in Sacramento, California for $161m (€133m), according to sources familiar with the deal.

The property was sold by joint venture partners David S Taylor Interests and Britannia Pacific Enterprises.

San Francisco-based Shorenstein declined to comment.

The 366,000sqft building is the only office asset that Shorenstein owns in Sacramento, according to its website.

Shorenstein acquired the 25-storey building for its fund, Shorenstein Realty Investors Eleven, a value-add fund formed in 2014.

Shorenstein raised $1.22bn of equity for the fund, including a $75m co-investment from the manager.

This fund has bought a total of nine office buildings and mixed-use assets around the country.

Built in 2008, US Bank Tower is more than 90% let.

Rental rate growth in the Sacramento office market has increased by around 15% over the past two to three years, according to sources familiar with the market.

Have your say

You must sign in to make a comment

IPE QUEST

Your first step in manager selection...

IPE Quest is a manager search facility that connects institutional investors and asset managers.

  • QN-2398

    Asset class: Real Estate.
    Asset region: The client will consider: Europe ex. UK, Europe incl. UK and UK Only Funds.
    Size: EUR 60 - 100 million per investment.
    Closing date: 2018-01-31.

  • QN-2401

    Asset class: All/large Cap Equities.
    Asset region: Global Developed Markets.
    Size: $100m.
    Closing date: 2018-02-02.

Begin Your Search Now