San Diego office tower sold

Site 10% vacant at closing

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Paramount Group Inc., a New York-based German investment fund, has purchased the 540,000-plus-square-foot First National Bank Center in downtown San Diego. The value of the transaction was not disclosed. DL FNBC LP sold the property, a 27-story tower located at 401 W. A St. First National Bank Center features a subterranean parking garage, conference center and a ground-floor retail plaza. Built in 1982, the office building is the second largest in downtown San Diego, according to a press statement. Major tenants at the time of sale included Capital One, General Services Administration and Higgs, Fletcher & Mack. Occupancy at sale was registered at 89.7 percent, but was anticipated to drop down to the 75 percent range with Capital One moving out in 2006. The buyer is planning to renovate the lobby/plaza area and make other improvements in order to attain a better rental and occupancy status of the building in the downtown market. Cushman & Wakefield, a privately held re...