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Hudson Pacific Properties<\/a> sold a two-building campus totaling 284K SF in San Francisco\u2019s SoMa neighborhood to raise cash.<\/p>\n Seven Equity Group of New York City paid $65.5M, or $234 per SF, for the buildings, The Real Deal reported<\/a>. HPP acquired the buildings in 2007 from the Reliant Group for $46M, or $160 per SF.<\/p>\n The 188K SF, six-story office building at 875 Howard St. was approximately 36% occupied at closing, with the primary tenant\u2019s lease due to expire next year, HPP said in a press release<\/a>. The other property, a 96K SF retail building at 899 Howard St., was completely vacant. HPP secured entitlements that will allow a future owner to develop two floors of the building for office use.<\/p>\n \u201cThe sale of 875 and 899 Howard reflects our disciplined approach to recycling capital out of non-core assets,\u201d HPP Chairman and CEO Victor Coleman said in the release. \u201cOur team’s deep understanding of San Francisco’s growing office demand<\/a> guided the repositioning of 899 Howard, and the sale eliminates significant capital and re-leasing risk while enhancing our financial flexibility.\u201d<\/p>\n Combined with the sale of 2001 Gateway Place, a seven-story, Class-A office building totaling 161K SF in north San Jose, HPP has sold three Bay Area assets for $90.5M in the third quarter of 2026.<\/p>\n \u201cWe will continue executing our disposition program and driving lease-up across our portfolio,\u201d Coleman said.<\/p>\n The company has struggled<\/a> after purchasing Quixote Studios in 2022. The filmmaking business slumped around the same time and has continued to operate at a below-average pace, leaving studio space across Southern California empty. With both the studio and office markets resetting, HPP has dealt with low occupancy and faces maturing loans<\/a>.<\/p>\n In April, HPP announced that it would close<\/a> its operations in New Mexico and Georgia, shedding leases it took on in the Quixote acquisition.<\/p>\n Seven Equity, meanwhile, continues an extended buying spree across San Francisco. In early September, it purchased a five-story, 1907-built building at 818 Mission St., as well as an adjacent six-story property at 814 Mission that formerly housed the San Francisco Evening Bulletin. The office and ground-floor retail buildings span 101K SF and were purchased for $15.5M. Former San Francisco Centre owner Westfield acquired the assets nearly two decades ago for $42M.\u00a0<\/p>\n In July, Seven Equity Group acquired the former WeWork office building at 25 Taylor St. out of receivership for $6.75M, the San Francisco Business Times reported<\/a>.\u00a0<\/p>\n