101 California Street Hits the Market: San Francisco’s $1B Commercial Real Estate Test
San Francisco’s commercial real estate market just received a major spotlight: 101 California Street, one of the city’s most iconic office towers, has officially been listed for sale with an asking price of over $1 billion.
A Landmark Property
The 48-story, 1.2-million-square-foot skyscraper sits near the Embarcadero and is home to major tenants such as Goldman Sachs, Morgan Stanley, and Chime. Known for its cylindrical design and prime location in the Financial District, 101 California has long been considered a “trophy tower” in San Francisco’s skyline.
A $75 Million Transformation
In 2023, ownership invested $75 million in renovations, upgrading the outdoor plaza, lobby, and adding hospitality-inspired amenities to enhance the tenant experience. These improvements were designed to keep the property competitive as San Francisco’s office market faces increased vacancy rates and shifting workplace trends.
Market Timing Raises Questions
The property is being marketed by Eastdil Secured on behalf of its ownership group, which includes Hines, Singapore’s GIC Private Limited, and the Hong Kong Monetary Authority. While the timing of the sale has raised eyebrows, with some asking “Why sell now?”, others see it as a bold show of confidence in San Francisco’s recovery.
Before the pandemic, prime office towers like 101 California commanded upwards of $1,000 per square foot. Today, the building is priced closer to $900 per square foot—still a hefty valuation that will test investor appetite.
A Turning Point for San Francisco?
This listing could represent a turning point for the city’s office market, which has been slowly rebounding from the pandemic-driven slowdown. The sale will be closely watched as an indicator of investor confidence, not only in San Francisco’s commercial market but in the city’s long-term economic outlook.
For comparison, the last time a marquee San Francisco tower of this scale changed hands was the Transamerica Pyramid in 2020, when a New York-based investor stepped in.
What This Means for Investors and the Market
The possible sale of 101 California represents more than just a real estate transaction—it’s a test of San Francisco’s resilience. A successful sale at or near asking price would send a strong message to global investors: confidence in the Bay Area remains alive.
For tenants, residents, and investors alike, the deal’s outcome will help shape the next chapter in San Francisco’s ongoing recovery story.
