Kilroy Realty Corporation (NYSE: KRC) today said it has signed a long-term lease with cloud-computing giant salesforce.com for 100% of the real estate investment trust’s 27-story, LEED-platinum-designed office tower now under construction at 350 Mission Street in the heart of San Francisco’s South of Market financial district. Salesforce.com has agreed to lease up to approximately 445,000 square feet which includes approximately 50,000 square feet of must-take space that is subject to KRC obtaining entitlements to add three stories to the building.
KRC acquired the 350 Mission Street land site in October and saw tremendous interest in the property from multiple companies in a variety of technology and non-technology-related industries. Upon completion of the building, the company will own 2.6 million square feet of office space in SOMA that is currently 94% leased or committed.
KRC’s ground-breaking design for the new building adapts its signature open-plan workspace concepts to a high-rise office development, producing work environments on each floor that feature open floorplates, high-ceilings and abundant natural light. The building’s design also incorporates state-of-the-art sustainability practices and energy-efficiency standards that are expected to earn it LEED Platinum certification—the first ground-up commercial development property in San Francisco to do so.
Salesforce.com, the global leader in enterprise cloud computing, will occupy a unique location in downtown San Francisco’s highly desirable SOMA district as it takes delivery of the building in phases throughout 2015. Situated at the corner of Mission and Fremont Streets, the new epicenter of the City’s business district and immediately across the street from the Transbay Transit Center, 350 Mission offers convenience, urban amenities and high visibility. The prominent location will be heightened with a 50-foot, open air entry lobby featuring a 40-foot by 75-foot electronic media display—the first of its kind in San Francisco.
“This is a remarkable outcome for a remarkable development in what is unquestionably one of our nation’s most important centers of innovation,” said John Kilroy, Jr., president and chief executive officer of KRC. “Salesforce.com understood immediately what we were creating at 350 Mission Street and they didn’t waste any time securing the property for their dynamic workforce. We’re delighted to be partnering with them.”