Boston Properties, Inc. (NYSE: BXP), a real estate investment trust, announced today it has completed the acquisition of 535 Mission Street, a development site, in San Francisco, CA for an aggregate purchase price of approximately $71.0 million cash, including work completed and materials purchased to date. The Company expects to commence construction of the project in mid-February 2013 and expects to complete the project by the fall of 2014 at a total budgeted cost of approximately $215 million.
535 Mission Street will be a 27-story, 378 foot tall Class A office tower with approximately 307,000 rentable square feet of office and retail space and is expected to achieve a LEED Gold designation. The site is located in the South Financial submarket of San Francisco, one of the most attractive submarkets for both traditional office and technology tenants. This office tower will have a striking glass design with column free floor plates and will have dramatic views of the city and bay featuring floor to ceiling glass.
In addition, the Company has entered into an agreement to purchase the last remaining parcel of land in the urban core of Reston Town Center for approximately $27 million. The closing is expected to occur in the first quarter of 2013 and is subject to customary closing conditions. The land parcel is commercially zoned for 250,000 square feet of office space. The Company is evaluating a potential mixed-use development plan, which could include residential uses as well as commercial uses.
Boston Properties is a fully integrated, self-administered and self-managed real estate investment trust that develops, redevelops, acquires, manages, operates and owns a diverse portfolio of Class A office space, one hotel, three residential properties and four retail properties. The Company is one of the largest owners and developers of Class A office properties in the United States, concentrated in five markets – Boston, New York, Princeton, San Francisco and Washington, DC.