
345 California Center, an iconic Class A office tower totaling 600,000 square feet in 35 stories in the heart of downtown San Francisco, is now owned debt free by its long-time owner 345 California LP, an affiliate of Metropolis Investment Holdings Inc.
345 California LP recently announced it paid off a US $150 million term loan with Massachusetts Mutual Life Insurance Company on November 1, 2024.
The Metropolis Investment Holdings Inc’s distinctive portfolio of approximately six million square feet of Class A office towers located in San Francisco, Chicago, Houston, Dallas, and Philadelphia is now owned 100% debt free. 345 California is regarded as one of San Francisco’s most prestigious buildings.
Metropolis Managing Director – Head of Asset Management, Tom Dempsey, says: “Our ownership is well-positioned to address the biggest challenges tenants face in the current market; namely, matching underlying market rents with the significant capital required to build new space. Our long-term hold approach puts us in the enviable position of having a low-cost basis, and paying off the loan reaffirms our commitment to the San Francisco office market.”
In addition to its loan payoff, 345 California also just completed a new lease with Degenkolb Engineers. Relocating from within the city, the engineering firm will occupy 17,000 square feet of office space at the premier building.
Cushman & Wakefield managing director Sam Wasserstein and executive managing director Greg Fogg, who handle leasing efforts for the tower, represented ownership in its new lease with Degenkolb Engineers.
Dempsey says, “Metropolis also thanks Jonathan Allen and Griggs Ziesing of JLL for representing Degenkolb in the transaction.”
Wasserstein adds: “We are thrilled to welcome Degenkolb Engineers as the newest office tenant at 345 California, recognized as one of San Francisco’s most amenitized office properties. We believe Degenkolb’s decision to lease at 345 California Street is a testament to the importance occupiers are placing on providing the highest quality workplace experiences for their employees in the post-pandemic workplace era.”
345 California consists of 600,000 square feet of Class A office space and retail amenities and ample parking. 345 California is a LEED® Platinum, BOMA 360 and EnergyStar® Certified, UL Healthy Building Verified for Air & Water and is a Fitwel 2 Star Certified property. On site amenities include, a new tenant lounge incorporating high-end furnishings, streaming TV and meeting rooms and booths exclusively for tenants. Another exclusive tenant amenity is 345 Fit, a first-class fitness center. The building also offers 345 Pedal, a secure bike parking area with numerous spaces and lockers plus repair services, The Hive, urban rooftop honeybees, and the Artcade 345, a digital art gallery situated along the building entryway.
Additionally, on floors 36 through 48 of the building is a separately owned Four Seasons Hotel, which also features Orafo restaurant offering an Italian farm to table dining experience.
“Further exemplifying ownership’s generational approach to reinvesting in its assets, in early 2025 ownership will commence work on a new range of amenities, including a new business conference center as well as a golf lounge, which uniquely combines an indoor golf simulator in a comfortable tenant lounge environment,” explains Fogg.
Conveniently located on the intersection of California and Battery Streets, the building is within just steps of all major forms of public transportation: BART, Muni and cable cars. 345 California also features award-winning architectural design created by Skidmore, Owings and Merrill.
For more project information, visit: https://www.345cal.com/