Synapse Development completes $33 million acquisition; The Union Labor Life Insurance Co. provides $21.7 million loan

San Francisco, CA Synapse Development Group has completed the $33 million acquisition of 944 Market St., an eight-story mixed-used building located in the Mid-Market neighborhood. The Union Labor Life Insurance Co.  (ULLICO) provided a $21.7 million senior mortgage loan for the off-market acquisition.

Originally constructed in 1907, 944 Market St. includes 43,000 s/f of office space and ground-floor retail, plus a basement level. The interiors include efficient 5,300 s/f floor plates with high, open ceilings and exposed brick. The property is currently 100% leased.

The partnership plans to reposition the property and complete façade restoration work, an elevator modernization and improvements to the common areas and building systems.

“The acquisition of 944 Market St. marks another major milestone for the Synapse/AQARAT partnership as we continue to expand our real estate portfolio in urban market,” said Justin Palmer, CEO of Synapse Development Group. “We are proud to have worked with the ULLICO team on this acquisition. This is our second project in the Mid-Market neighborhood, and our team remains focused on investing in this corridor of San Francisco.

944 Market St. is located Downtown in the Civic Center neighborhood, near the corner of 5^th and Market St. The building is located across the street from Westfield Mall, Nordstrom Rack, Sacks Off 5th Ave., as well as the Market Street Place development. It’s also situated in a transit-oriented area with easy access to public transportation, and is located adjacent to the Powell St.BART Station.

“This ideal location positions us for future growth on this burgeoning corner of Market Street, and it’s amazing to envision what this area will look like in a few years,” said Andrew Warman, director of acquisitions at Synapse.

“The Union Labor Life Insurance Company, on behalf of Separate Account J, is very pleased to participate in the acquisition of this property,” added Herb Kolben, Senior Vice President of ULLICO.  “San Francisco is a flourishing city with an attractive real-estate market.”

Synapse Development Group and AQARAT are currently working on a several other development projects including YOTEL San Francisco, located on the corner of Market and 7th Street in the Mid-Market neighborhood, and a recently completed land assemblage located just off of the Lorimer Street L-train stop in Williamsburg, Brooklyn.