CHICAGO (Reuters) - Growth of technology companies has spurred Tishman Speyer Properties LP to build San Francisco's first speculative ground-up office development project since 2007.
Tishman said in a statement on Friday it bought a parcel in the South of Market district and will move immediately toward development.
In a letter to San Francisco commercial real estate brokers, Tishman Managing Director Allen Palmer said construction is expected to start in July on the 286,000-square-foot (26,500-sq-meter) building. Palmer said his company closed escrow on April 5th on the development site for Foundry Square III, a parking lot that was previously owned by Wilson Meany Sullivan.
The building is expected to be completed by the end of 2013 or early 2014 and the project is funded with all equity, without the need of a construction loan or pre-lease commitment, Palmer said.
(Reporting By Sam Nelson; Editing by Sandra Maler)