Cushman & Wakefield recently facilitated a 99-year ground lease for a commercial site and adjacent parking lot in the Bankers Hill neighborhood of uptown San Diego. The lessee, Raintree Partners, has plans to transform the existing office property into a new multifamily community.
The property assemblage consists of four parcels, including an office building spanning 14,911 square feet that was previously occupied by a financial services company. The neighboring parking lot is also included in the lease agreement. At the time of execution, 4th & Ivy Creative House North LLC and 4th and Ivy Creative House South LLC were lessors; however, they have since sold their ownership to new parties. Cushman & Wakefield’s Kevin Nolen, Tim Winslow and Jason Kimmel represented these lessors.
Nolen stated that securing peak market pricing for this ground lease is quite an accomplishment given current challenges facing multifamily development projects. He also noted that while developing new properties can be risky at times like these, Bankers Hill has proven successful with high rental rates compared to other areas in San Diego County.
