"Pinnacle Bank Texas bought back the 40-story Burnett Plaza, Fort Worth’s tallest building, for a credit bid of $12.3 million at a recent foreclosure auction, just $12.30 per square foot and less than 10 percent of its previous sale price, the Dallas Business Journal reported. The previous owner, an affiliate of New York-based Opal Holdings, defaulted on a $13 million loan from Pinnacle, triggering foreclosure proceedings. The Opal affiliate bought the 1 million-square-foot Burnett Plaza, at 801 Cherry Street, for $137.5 million in 2021. "
https://www.sfgate.com/local/article/995-market-st-san-francisco-office-market-19420409.php
"A steep price cut on a San Francisco building marks one of the starkest recent indicators of the city’s struggling office market. An empty 16-story building at 995 Market St. just sold for $6.5 million, a nearly 90% plunge from its 2016 price of $62 million. The mid-Market tower at the corner of Sixth Street once housed Burning Man’s headquarters, as well as a large WeWork space. But once the co-working firm departed, the building failed to fill the gap and hasn’t been generating revenue for some time."
https://www.bnnbloomberg.ca/los-angeles-office-building-sells-at-52-less-than-2018-price-1.2015664
"A Los Angeles office building located near Century City and Beverly Hills sold for about 52% less than its price five years ago. Harbor Associates and F&F Capital Group bought the five-story property at 1640 Sepulveda Blvd. for about $44.7 million, according to a statement Tuesday. The building last sold in 2018 for $92.5 million. It’s the latest sale of an LA office building in a market that’s been pressured by the rise of remote work and financing challenges brought about by soaring interest rates. Recently, the Aon Center in downtown LA sold for $147.8 million, about 45% less than its previous purchase price in 2014."
https://therealdeal.com/la/2024/04/24/swig-sells-dtla-office-at-47-discount-to-2011-trade/
"The Swig Company has created a new benchmark for Downtown L.A. office sales — $94 a square foot, The Real Deal has learned. The firm sold 617 West 7th Street, formerly the headquarters for Union Oil, for $20.5 million, or roughly 47 percent less than what it bought it for more than a decade ago, according to property records filed with L.A. County."
Not surprised at anything like this happening in California.
