Flynn Properties is in talks to acquire a $416.5-million loan backed by Paramount Group’s Market Center, opening the door for what would be the single largest office transaction in post-pandemic San Francisco, reported the San Francisco Business Times. Flynn is looking at a price in the neighborhood of $230 per square foot, according to sources familiar with the discussions That would put the price tag for Chevron’s former downtown headquarters in the $170-million to $180-million range.
The Business Times reported that acquiring the debt would put locally based Flynn in a position to take ownership of Market Center. This could happen either through foreclosure or by working with Manhattan-based Paramount Group, which defaulted on the $416.5-million loan this past summer, on a deed-in-lieu transaction.
Paramount’s lenders, led by Amsterdam ING, began exploring a sale of the debt at the end of last year, engaging Eastdil Secured to assist with the process.
Read More: Flynn Properties in Talks for $416M Debt on San Francisco’s Market Center
