Home services

San Francisco skyscraper part-owned by Trump is available on the market, however not promoting

A San Francisco skyscraper owned by President Donald Trump launched in June but has still not sold and may cost less than expected, according to a report in the San Francisco Business Times.

Perhaps best known as the former Bank of America Center, the 52-story tower at 555 California St. is the fourth tallest building in the city at 779 feet. In the spring, the value was estimated at $ 1 billion.

Vornado Realty Trust has a 70% interest in the building and manages the property. Trump has a 30% stake in a limited partnership.

The San Francisco Business Times reported that Steven Roth, CEO of Vornado Realty Trust, addressed the sluggish sale during a profit call on Wednesday.

“Investor interest and widespread appreciation for the quality of these assets are active. However, given the caution shown by investors, it does not look like we will hit our original top tick price target,” said Roth. “Nonetheless, we are still actively pursuing a transaction in these assets that may take the form of a sale, partial sale, joint venture, or refinancing.”

In the call, Roth also referred to another property in Manhattan owned by Trump, 1290 Avenue of the Americas in New York City, which is also on the market.

RELATED: Top Tech Company Defies Trend, Adding 42,000 Square Feet to SF’s Office Space

San Francisco Chronicle columnist Kathleen Pender pointed out in a 2015 story that Trump got his stake in the building through a passive real estate investment.

“In 2007, Vornado acquired its 70 percent stake in the two buildings owned by US companies controlled by a Hong Kong investment group for $ 1.8 billion,” Pender wrote. “Trump was a limited partner in the investment group and, according to Forbes, had argued with it. The deal gave Trump a 30 percent stake in the two buildings.”

Many SF locals did not realize that Trump owned a portion of 555 California, but when the real estate mogul politician first campaigned and became president in 2016, the news spread and small groups of protesters regularly took the financial district’s address on .

Last month, teachers, nurses and parents gathered in the building to support Proposition 15, which aims to increase business tax to help fund education in the state. A study by 48hills calculated that Vornado Realty Trust and Trump currently pay $ 11.7 million less in local property taxes than if the building’s property tax was calculated based on its current market value.

When it was built in 1969, the building at 555 California Street was the tallest on the West Coast. The Salesforce Tower at 1,070 feet is now SF’s height gainer. The Transamerica pyramid is the second tallest and 181 Fremont the third.

Related Articles

Leave a Reply

Your email address will not be published. Required fields are marked *

Back to top button