San Francisco’s Transamerica Pyramid has secured a lease that reportedly sets a new rent record for the West Coast. According to the San Francisco Chronicle, an unnamed tenant is paying more than $300 per square foot for about 4,000 square feet on the building’s 44th floor. The deal would amount to approximately $1.2 million per month, according to Michael Shvo, the building operator. Shvo stated that the tenant wished to remain anonymous.
Shvo described this agreement as a West Coast record for office rents, although the Chronicle was unable to independently verify this claim. Local real estate sources told the Chronicle that over the past year, only the Transamerica Pyramid in San Francisco has had leases with rents exceeding $200 per square foot.
Additional tenants have also signed leases for upper floors of the tower. Tech-focused global investment firm Coatue and Japanese bank Mizuho have taken space in the building. A spokesperson for Shvo said that these three tenants—Coatue, Mizuho, and the unnamed company—now occupy a combined total of 25,000 square feet, with one lease covering 15,000 square feet. Rental rates for these agreements were not disclosed; however, higher floors command higher rents.
Shvo’s team completed nine leasing deals last year totaling more than 200,000 square feet at rental rates between $120 and $300 per square foot. As of last month, occupancy at Transamerica Pyramid stood at 85 percent. In 2024, renovations valued at $400 million were finished at the property to upgrade offices and add new amenities as well as public-facing spaces.
These new leases coincide with signs of improvement in San Francisco’s office market after challenges during and following the pandemic. The amount of vacant or available office space in San Francisco dropped by nearly two million square feet in last year’s fourth quarter—the largest decline seen across four consecutive quarters.
“Shvo did not name the tenant, who he said wished to remain anonymous.”
“The deal for the 44th floor space is a West Coast record, according to Shvo, though the Chronicle could not verify the claim.”
“Two more leases have been completed for upper floors of the building,” Shvo confirmed to the Chronicle.
“The Coatue, Mizuho and unnamed tenant’s leases total 25,000 square feet, with the largest spanning 15,000 square feet,” a Shvo spokesperson told the Chronicle.
“The rental rates were not disclosed, though tenants on the higher floors pay higher rents,” said a spokesperson.
“Shvo’s team completed nine deals for more than 200,000 square feet in the building last year with rents between $120 and $300 per square foot,” according to the Chronicle.
“The structure was 85 percent leased as of last month.”
“In 2024, the building completed $400 million worth of renovations to revamp offices and offer new amenities and public-facing spaces.”
“Transamerica Pyramid’s new leases come as the office market in the city appears to finally be turning around from post-pandemic struggles.”
“Office space in San Francisco that was vacant or available for lease decreased by nearly 2 million square feet in the fourth quarter of last year —the steepest drop in office availability in four consecutive quarters.”
