Berkeley WeWork Building Changes Hands

By Mihaela Coste

2120 University Ave. in Berkeley, Calif.

Berkeley, Calif.—Soma Capital Partners recently announced the sale of 2120 University Ave. in Berkeley to Lionstone Investments. The 50,000-square-foot asset traded for $22.3 million, a record price per square foot for the local market. The transaction was completed in late-December 2016.

The Class A, seven-story office building was originally constructed in 1983 on a 0.2-acre site at the corner of Shattuck and University avenues and is situated a few blocks away from the local BART station. The property is also located near the University of California, in close proximity to the downtown area of the city, and is surrounded by many retailers and restaurants.

At the time of the sale, the property was 93 percent occupied by WeWork, which opened a co-working location in early 2015. The remaining space on the ground floor is leased to retail tenants including Blue Bottle Coffee and Ippudo Ramen Brasserie. The property last traded in 2013, when, after many years of vacancy, it was acquired by SCP from Alameda County through a public auction.

“We have been a net seller over the past year given strong demand from buyers looking for stabilized product. We are very pleased with the outcome of the transactions,” said Jordan Caspari, partner of SCP, in a prepared statement.

Image courtesy of TSAO DesignGroup