SAN FRANCISCO — Jamestown LP, a mixed-use developer and operator based in Atlanta, has sold Ghirardelli Square, a historic waterfront shopping center located at 900 N. Point St. in San Francisco’s Fisherman’s Wharf District. The property comprises 12 interconnected brick buildings fronting San Francisco Bay and includes the namesake 19-foot illuminated Ghirardelli sign and that has been part of the city’s skyline since 1915.
Miami-based investment firm Embrace Real Estate and its affiliate asset management company 1823 Partners purchased Ghirardelli Square from Jamestown for an undisclosed price. The new ownership has selected Denver-based Continuum Partners to manage the day-to-day operations and future business plan for the historic property.
Ghirardelli Square’s origins date back to 1862 when it served as the world headquarters and primary chocolate factory for Ghirardelli Chocolate Co., which still keeps a flagship store at the development. The property is listed on the National Register of Historic Places. Ghirardelli Square reopened in the early 1960s with various shops and restaurants, making the development one of the first major adaptive reuse projects in the United States.
Today, Ghirardelli Square welcomes 9 million visitors annually. The project spans a little more than 100,000 square feet of shops and restaurants, as well as the 53-room Fairmont Heritage Place that offers hotel-style lofts for full or fractional ownership, according to Denver Business Journal.
In addition to the namesake confectionary store, Ghirardelli Square’s eateries include Barrio, Culinary Artistas, Cultivar Wine & Kitchen, McCormick & Kuleto’s Seafood & Steaks, Palette Tea House, Square Pie Guys, San Francisco Brew Co., Tea Square and Hardware Coffee Co., according to the property’s online directory. Other tenants include COL Gallery, Compass, elizabeth W, Gigi Rose, LOLA San Francisco, Mashka, Subpar Miniature Golf, Yap USA and vom Fass.
Jamestown, which is known for its adaptive reuse projects including Ponce City Market in Atlanta and Chelsea Market in Manhattan, purchased Ghirardelli Square in 2013 after the property went into foreclosure. The firm improved the property’s occupancy rate from 55 percent to 100 percent during its ownership period, which included the restoration of the Ghirardelli sign and clocktower.
“We’ve been proud stewards of Ghirardelli Square for over a decade and believe the property is well-positioned for continued momentum under the new ownership team,” says Alex Schwiebert, senior vice president and West Coast regional market leader of Jamestown. The firm also rezoned and sold an ancillary parking garage to JS Sullivan Development, which redeveloped the site into a 35-unit residential building that was not included in the sale.
— John Nelson