Lane Partners - Uptown Station from steelblue on Vimeo.
Surge pricing was seemingly not applied to Uber's purchase of the 380,000-square-foot Oakland Sears Building — or, as it's been rebranded following a $40 million renovation, "Uptown Station." The bill paid by the transportation technology company came to just $123.5 million according to the sale document filed yesterday at the Alameda County Clerk-Recorder’s Office and obtained by the Business Times.
So, how does that price stack up? It's likely a bargain, amounting to roughly $325 per square foot. That might be viewed in stark contrast to downtown office space prices in San Francisco, which can easily be twice as expensive. For example, Salesforce paid $770 per square foot when it purchased the 50 Fremont building, and that was last year.
Oakland receives $1.85 million worth of transfer taxes on the deal, but the biggest winners are Menlo Park-based developer Lane Partners and their Chicago-based financial partner Walton Street Capital. They bought the Sears building for only $25 million in 2014 before pumping in that $40 million.
Still, Uber has a lot of construction and retrofitting ahead of them — after all, the space was built in 1929 — and is likely to open to Uber workers in 2017.
Related: Will Uber Be Oakland's Savior, Or Just Become Occupy's Next Target?