JRK Property Buys $44M Multifamily Building in SF from ASB Real Estate

ASB Real Estate Investments has sold a key property from its San Francisco portfolio, marking another significant transaction in the area. The 88-unit, eight-story apartment complex at 333 Fremont Street was acquired by JRK Property Holdings for $44.25 million, translating to over $500,000 per unit. The deal, finalized on September 10, adds to JRK's growing portfolio in Northern California through its $1 billion Platform 5 fund, which targets high-quality, well-located multifamily properties built after 1990.

Ongoing Divestment in San Francisco

This transaction is the third in recent months where ASB has sold off real estate assets in downtown San Francisco. Earlier this summer, the Maryland-based investment firm sold two office buildings—989 Market St. and 795 Folsom St.—both for significantly less than their original acquisition prices. These sales reflect an ongoing trend of out-of-town investors capitalizing on the office market reset in San Francisco.

Background of 333 Fremont

The history of 333 Fremont dates back to 2000, when it was first entitled by City-Core, a San Francisco developer. The project faced delays due to the 2007-2009 financial crisis but was ultimately completed in 2014. ASB is believed to have joined the project no later than 2009 through a joint venture with City-Core, though the specifics of their relationship remain unclear.

JRK's Expansion in Northern California

JRK Property Holdings, with approximately $8 billion in assets under management, plans to continue expanding its presence in Northern California. The 333 Fremont acquisition brings JRK’s portfolio in the region to roughly 2,550 units. According to JRK President Daniel Lippman, the firm aims to be an aggressive buyer in the San Francisco market over the next 12 to 18 months.

Future Prospects for ASB

Despite these recent sales, ASB still retains ownership of other significant assets in San Francisco, including the 140,000-square-foot office building at 444 De Haro in Potrero Hill and the 155,871-square-foot office at 799 Market St. Acquired in 2016, these properties are part of ASB’s ongoing investments in the city’s creative office space sector.