Seven Equity Plans to Demolish SF Centre; $98.7M Loan Sought
Seven Equity is reportedly in contract at $132.5M for San Francisco Centre; CBRE is shopping a loan of up to $98.7M for a teardown. Proposals are due Nov. 20.
- Source Briefing
- Read original source · San Francisco Standard
Seven Equity Group, the New York firm reported as winning bidder for the lender-owned San Francisco Centre, is in contract at $132.5 million and intends to tear down the Union Square mall for mixed-use construction, the San Francisco Standard reported November 5. CBRE is seeking lenders for up to $98.7 million, with proposals due November 20. CBRE declined to comment, and Seven Equity did not respond to the Standard.
Why it matters
Our October 29 story covered the buyer emerging at roughly $130 million. What is new is the intent: a ground-up teardown rather than the retail-preserving deal that Presidio Bay and Prado Group walked away from, per the Standard. For San Francisco downtown, the plan, if carried out, would turn a vacant mall into a land play with a long clock.
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The numbers
The Standard’s account of the CBRE solicitation describes a two-year floating-rate loan of up to $98.7 million, with $69.2 million funded at the start and $29.5 million held back until entitlements arrive. Takeout routes listed are a refinancing, construction debt, or selling the entitled land. The Standard reports the site at six acres, zoned to 400 feet, with potential for up to 2.4 million square feet of office, residential and hotel space. It puts the vacant building at 1.18 million square feet, below the roughly 1.51 million square feet described in the servicer filing we cited on October 29, a gap we could not reconcile from the filing.
What’s next
The Standard reports an estimated two-year entitlement period, with a fallback of leasing space as-is if approvals slip. The Standard says the pitch acknowledges that some of the building stands on school district ground leased through 2082, but omits a city requirement to keep the historic Emporium facade and dome. Both are open constraints on a teardown. We have not verified the pitch itself, the contract or the Planning requirement against a primary record. Watch the November 20 deadline and any county deed record.
Quick answers
- What is the latest on Seven Equity Group in San Francisco Bay Area?
- Seven Equity is reportedly in contract at $132.5M for San Francisco Centre; CBRE is shopping a loan of up to $98.7M for a teardown. Proposals are due Nov. 20.
- What are the key numbers for Seven Equity Group?
- Contract price: $132.5M; Loan sought: $98.7M; Proposals due: Nov. 20.
- Where does the information on Seven Equity Group come from?
- The story cites San Francisco Standard.
On the record
Our October 29 story put the reported price near $130 million and the servicer-described property at about 1.51 million square feet; the November 5 reporting puts the contract at $132.5 million and the building at 1.18 million square feet.
Our coverage · Read our earlier story
Also reported by
- San Francisco StandardSeven Equity's San Francisco Centre redevelopment plan and CBRE loan solicitation