Lendlease breaks ground on $1.5B San Francisco tower

Dive Brief:

• Australia-based firm Lendlease has begun construction on its largest investment in North America: a $1.15 billion, 47-story mixed-use tower in San Francisco. 
• 30 Van Ness, located in the city’s Hayes Valley neighborhood, will encompass 290,000 square feet of office and retail space along with 333 condominium units and is designed to achieve net zero emissions during construction and ongoing operations.
• Designed by SCB Architects with anticipated LEED-Platinum certification, the all-electric building will be complete in 2025, according to a release. Lendlease is the property’s developer, builder and owner.

Dive Insight:

The demand for office space has cratered across the country since the COVID-19 pandemic led many workers to pivot to remote work. In San Francisco, the vacancy rate for offices is more than 20%, according to The Real Deal.

Nevertheless, Lendlease said it is bullish on providing “next-generation” workplaces in major cities across the globe.

“With few other projects of this scale planned, we believe now is the right time to launch this long-term vision to deliver a global best-in-class asset of the future,” said Mark Dickinson, managing director of development for Lendlease Americas, in the release.

The building’s office space will feature outdoor terraces, open floor plates, 14.5-foot floor-to-floor heights and energy-efficient dynamic glass. It will also include touchless access throughout, ionic air purification in elevator cabs and a high-performance HVAC system with MERV-15 filters and 100% outside air capability.

The condos at 30 Van Ness will include studio, one-, two- and three-bedroom floor plans in an average size of over 1,000 square feet. Twenty-five percent of the units will be designated as affordable and reserved to be sold below market rate to households meeting designated income thresholds, the release said.