**Deed-in-Lieu Deal Transfers Ownership of 101 Mission Street in San Francisco**
Elliott Investment Management, in partnership with Probis Strategic Solutions and Callahan Capital Partners, has acquired the 210,000-square-foot office property at 101 Mission Street in San Francisco. The acquisition was finalized through a deed-in-lieu of foreclosure transaction that valued the asset at approximately $82 million, according to the San Francisco Business Times.
The investment group had previously acquired distressed debt tied to the property from lender ING. Following that, they negotiated an agreement with another lender involved in the financing of 101 Mission and the former owner, Vanbarton Group, which paved the way for the deed-in-lieu arrangement.
Vanbarton originally purchased the property in 2018 for $163.25 million. However, the group defaulted on the debt when the building’s performance triggered unspecified loan covenant violations.
Probis and Callahan Capital Partners plan to invest further capital into the property to transform it into a premier office destination that aligns with the modern needs of today’s tenants. Details regarding the scale of the investment or the specific improvements planned have not yet been disclosed.
*Image courtesy of JLL.*
