Hearst To Acquire Class A Office Building at 450 Sansome Street in San Francisco

Hearst announced it is in contract to purchase 450 Sansome Street, a prominent Class A office building located in San Francisco’s North Financial District near Jackson Square. This strategic investment underscores Hearst’s continued long-term commitment to San Francisco and the positive outlook of the downtown area.

Originally completed in 1967 and extensively renovated in recent years, 450 Sansome Street is a Class A office building with Bay and City views in a prime location just steps from key businesses, restaurants, public transportation and near the culturally vibrant Jackson Square neighborhood. The 16-story LEED Gold building spans approximately 143,000 square feet and is currently home to a diverse roster of tenants including Delah Coffee and Umpqua Bank in addition to office tenants across the technology, finance and professional services industries.

“We are thrilled to add 450 Sansome Street to Hearst’s San Francisco real estate portfolio,” said Steve Hearst, vice president and general manager of Hearst’s Western Properties Real Estate Division. “Hearst’s history goes back to the 1850s and we believe San Francisco remains a vital market for innovation and commerce, and this acquisition reflects our belief in the city’s long-term resilience and appeal as a destination for world-class businesses.”

The addition of 450 Sansome Street to the Hearst real estate portfolio also provides Hearst flexibility for moving the final phase of the 5M Project forward. The last remaining phase of the fully entitled 5M Project is the 400-unit residential tower at the corner of 5th and Natoma Streets. Hearst is currently engaged in discussions with the City and consultants to move forward with the preparation of the site for future development. The preparation of the site includes demolishing part of the existing Examiner Building, which is connected to the Chronicle Building and will require tenants to be relocated during construction. The pending purchase will provide Hearst with flexibility to move their Hearst businesses into 450 Sansome Street for the future preparation and development of the residential tower site.

Century Urban assisted with the off-market transaction through Mike Taquino and Kyle Kovac at CBRE.

About Hearst
Hearst is one of the nation’s largest global, diversified information, services and media companies. Hearst has been innovating for more than a century, leading with purpose, integrity and a culture of care, with a mission to inform audiences and improve lives. The company’s diverse portfolio includes global financial services leader Fitch Group; Hearst Health, a group of medical information and services businesses; Hearst Transportation, which includes CAMP Systems International, a major provider of software-as-a-service solutions for managing maintenance of jets and helicopters; ownership in cable television networks such as A&E, HISTORY, Lifetime and ESPN; 35 television stations; 24 daily and 52 weekly newspapers; digital services businesses; and more than 200 magazine editions around the world.