Logistic company Prologis purchased a rare, large lot in South San Francisco which those familiar with the site celebrated due to its sweeping nature.
The San Francisco real estate investment firm specializing in logistics investment purchased from Urban Properties the Shaw Business Center, which spans 8.2 acres at 200 Shaw Road and surrounding addresses in the southeastern corner of South San Francisco.
The price of the deal was not disclosed, but those affiliated with the purchase Thursday, Jan. 7, expressed their excitement over the rare chance to acquire such a large site with proximity to San Francisco International Airport, Highway 101, Interstate 280 and surrounding amenities.
“This was an extremely rare opportunity to acquire a site of this size in South San Francisco. … The property is prime for redevelopment and could become the only state-of-the-art industrial campus serving San Francisco and the north Peninsula,” according to a prepared statement from Rebecca Perlmutter, executive vice president with real estate investment company Coldwell Banker Richard Ellis, which brokered the deal.
Alex Greenwood, South San Francisco’s Economic and Development director, agreed that the property is a rare asset. To that end, he said the land drew some of the most investment interest he can recall locally in recent years.
The site is additionally attractive because it can accommodate industrial uses, said Greenwood, who noted that vacancy in the industrial market is extremely restricted.
Part of the reason industrial vacancy rates are so low in South San Francisco because the city’s biotech companies have purchased and converted much of the land. Perlmutter nodded to the trend in the prepared statement.
“The north San Mateo County industrial market continues to tighten with a declining industrial base and increasing tenant demand,” she said.