The U.S. branch of state-owned Chinese developer Greenland Group announced today that it was going all in on the purchase of a 42-acre property in South San Francisco, paying over $170 million for the right to develop a 2.25 million square foot office and research center on the south city waterfront, a project it initially estimates at a $1 billion price tag.
Previously, Shorenstein Properties picked up the same parcels in 2008, alongside Chinatown-based SKS Investments. Shorenstein bills the Oyster Point property as the "largest remaining contiguous development in South San Francisco."
The area—which Shorenstein passed on to Greenland, entitlements and all—is presently a marina and hotel, projecting from South San Francisco’s northeast side and into Oyster Point Channel. The area also already features a 440,000-plus foot business park, and the present zoning allows for offices and life sciences facilities. The developer has tentatively set construction for 2018.
This is the first time Greenland USA has moved to get a foothold in the Bay Area. Previously, the company headlined a seven-figure development in Los Angeles, a long-deferred "city within a city."
Parent company Greenland Group variously bills itself as one of China’s largest developers, acquiring properties around the world at a voracious rate even in the midst of a default scare this year. Despite its named, the firm is based in Shanghai, rather than a sprawling, frozen island in the Arctic Circle.
- Greenland Acquires Oyster Point [PR Newswire]
- Oyster Point [Shorenstein]
- Chinese Developer Remakes Skyline [LA Times]
- Greenland Group
- China Developer Default Risk Escalates [Bloomberg]