HQ Global Renews Nearly 28,000 SF at 795 Folsom

SAN FRANCISCO-Office suite operator HQ Global Workplaces has renewed a lease here for 27,803 sf on the ground floor of 795 Folsom, a six-story office building in the financial district. Building owner Westcore Properties says the renewal keeps the 187,202-sf (net rentable) property fully leased.

HQ Global will continue to utilize the space for executive suites. A source at Westcore tells GlobeSt.com the seven-year commitment is valued at nearly $8.6 million, which averages approximately $44 per sf per year.

HQ Global has 31 locations in the greater Bay Area and 43 statewide. Its second largest market is New York, where it has 32 locations. Worldwide, it has 950 locations.

Westcore acquired 795 Folsom and a 267,446-sf building at 760 Market St. from Mack-Cali in December 2006 for $126 million. At that time, 760 Market was 78% leased and 795 Folsom was 96% leased. The sale completed Mack-Cali’s exit from its Western markets as it focuses on its core Northeast region.

Earlier this year, in August, Bebo Inc. leased the 31,611-sf top floor of 795 Folsom St. for its headquarters. The locally based social networking website operator signed a six-year lease valued at $6.5 million, which equates to an average annual rate of $34 per sf.