Newmark Completes $22 Million Sale of Tower Plaza in San Mateo, California, Amid Escalating Demand for Adaptive Reuse Opportunities

June 3, 2025 9:00 AM

Newmark announces the company has arranged the sale of Tower Plaza, a 207,678-square-foot, five-building office campus located at 2121 S. El Camino Real in San Mateo, California. The asset was acquired by Tourbineau Real Estate Partners (“TREP”) for $22 million, approximately $106 per square foot, representing one of the most notable Peninsula office trades of the year and highlighting growing investor interest in repositioning opportunities throughout the Bay Area.

Newmark Executive Vice Chairman and President, Western Region Capital Markets Steven Golubchik, Vice Chairman Edmund Najera, Managing Director Darren Hollak and Associate Directors Francesca Zappula and Brendan Raney represented the seller and the buyer in the transaction.

“Tower Plaza attracted an incredibly diverse pool of bidders, including value-add office buyers, residential developers and groups exploring hybrid repositioning strategies,” said Golubchik. “Its scale, transit orientation and underlying land value created one of the most competitive marketing processes we’ve seen on the Peninsula in recent years.”

Strategically located adjacent to Bay Meadows and walkable to both the Hillsdale and Hayward Park Caltrain stations, Tower Plaza offers immediate access to San Francisco, Silicon Valley and key Peninsula employment hubs. Currently 27% leased, the 3.36-acre site features a 12-story tower and four low-rise buildings, along with 607 parking stalls and panoramic views, making it a candidate for either lease-up or adaptive reuse as residential.

“We’re pleased to add Tower Plaza to our growing portfolio of assets across the country,” said Ben Wong, Chief Investment Officer at TREP. “The acquisition aligns with our strategy of targeting ‘inflection point’ real estate in key urban markets, where a property’s reset basis affords us the time and ability to choose multiple avenues going forward.”

Since 2020, over $15 million has been invested into the property, including a newly built tenant amenity center with fitness, conference and game rooms, upgraded HVAC systems, new roofing, elevator modernization and refreshed interiors.

Total leasing activity in the North Peninsula increased 68% year-over-year as of Q3 2024, led by Class A product which accounted for 77% of all space leased, according to Newmark Research. Meanwhile, office construction hit historic lows, totaling just 455,000 square feet in the pipeline, underscoring the scarcity and growing value of centrally located, repositionable assets like Tower Plaza.

About Newmark
Newmark Group, Inc. (Nasdaq: NMRK), together with its subsidiaries (“Newmark”), is a world leader in commercial real estate, seamlessly powering every phase of the property life cycle. Newmark’s comprehensive suite of services and products is uniquely tailored to each client, from owners to occupiers, investors to founders, and startups to blue-chip companies. Combining the platform’s global reach with market intelligence in both established and emerging property markets, Newmark provides superior service to clients across the industry spectrum. For the twelve months ended March 31, 2025, Newmark generated revenues of over $2.8 billion. As of March 31, 2025, Newmark and its business partners together operated from 165 offices with approximately 8,100 professionals across four continents. To learn more, visit nmrk.com or follow @newmark.

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