A 114-year-old building in San Francisco’s Union Square leased by Giorgio Armani has sold for $26 million, $9 million less than the initial asking price.
Prado Group, a developer based in the city, bought the 11,200-square-foot storefront at 166 Grant Ave., the San Francisco Business Times reported. The seller was a private family listed as 166 Grant LLC.
The price came out to $2,321 per square foot.
That’s more than double the $10.5 million – or $938 per square foot – the previous owner paid for the commercial building in 2005. The initial asking price in April was $35 million, or $3,112 per square foot.
Giorgio Armani has occupied the building, located a block away from Union Square, since 2015. Its lease there expires in September 2030. The boutique by the Italian fashion designer is surrounded by brands such as Fendi, Hermes, Gucci, Dolce & Gabbana and Christian Dior.
The gleaming white building has three stories and includes a mezzanine and a lower level. It was built in 1908 and renovated in 2016.
There’s been an uptick in sales and real estate listings around Union Square. In the fourth quarter of last year, the luxury shopping district commanded the nation’s third highest retail rent, at $515 per square foot, according to TheRegistry. It trailed only Upper 5th Avenue in New York City and Rodeo Drive in Beverly Hills.
South Korea-based conglomerate Hanwha just paid $155 million for 300 Grant Ave., the area’s first new ground-up office-retail building in 20 years. Tenants in the 70,000-square-foot building include Brilliant Earth and Arc’teryx.
A historic building at 435-441 Powell St. is being listed for the first time in 58 years for $15.5 million.
The 17,100-square-foot mixed-use building, built in 1907, has shops and restaurants on the first and second floors, topped by 10 studio apartments, according to the listing by Blatteis Realty. The ground floor hosts Sears Fine Food, founded in 1938, now in the middle of a long-term lease.
In June, a pair of storefronts at 838-842 Market Street in Union Square partially occupied by an Oakley eyeglasses store sold for $30 million.
— Dana Bartholomew
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