TMG Partners has won awards for many projects
including honors for “Best Mixed Use,”
“Best Office,” and “Best Historic Rehabilitation”.
Social gaming company Zynga Inc. has entered into a purchase-and-sale agreement to buy the building that houses its corporate headquarters at 650 Townsend St. and 699 8th St. in San Francisco for $228 million.
The seller is an affiliate of TMG Partners, 650 Townsend Associates LLC.
The building is approximately 670,000 square feet. Zynga currently leases 65 percent of the space; the remaining space is leased by third-party tenants or is vacant.
Zynga has deposited $25 million in escrow in connection with the pending transaction. The deposit may be retained by the seller if Zynga fails to close the transaction even though the seller has met all of its responsibilities.
Zynga expects to incur additional costs in connection with the transaction, including transfer taxes and brokerage fees. Pursuant to the terms of the agreement, the company's office lease with the seller originally entered into in September 2010 will either terminate or be assigned to an affiliate of the company as of the closing of the transaction.
Zynga expects to close the transaction in the second quarter.
Under the terms of the agreement, TMG is expected to compensate real estate services company Jones Lang LaSalle Americas Inc. as its representative in the sale. To the extent that any commission or finder's fee is owed to Colliers International, Zynga is responsible for paying that sum.