Shareholders to Receive $21.20 Per Share in Cash Representing a 40.0% Premium to Closing Price on December 8, 2025

HONOLULU, December 8, 2025 – Alexander & Baldwin, Inc., (NYSE: ALEX) ( “A&B” or the “Company”), a Hawaiʻi-based owner, operator and developer of high-quality commercial real estate in Hawaiʻi, today announced that it has entered into a definitive merger agreement in which a joint venture formed by MW Group and funds affiliated with Blackstone Real Estate and DivcoWest (collectively, the “Investor Group”) will acquire all outstanding A&B common shares for $21.20 per share in an all-cash transaction with an enterprise value of approximately $2.3 billion, including outstanding debt. As a result of this transaction, A&B will become a private company.

A&B is the largest owner of high-quality, grocery-anchored shopping centers in Hawai‘i. The Company’s portfolio consists of approximately 4.0 million square feet of commercial space, including 21 retail centers, 14 industrial assets and four office properties, as well as fee interests in 146 acres of ground lease assets.

“For 155 years, A&B has grown alongside Hawaiʻi, shaped by the people, values and communities that define these islands,” said Lance Parker, President and Chief Executive Officer of A&B. “Today, we are taking an important step toward our long-term vision for A&B as stewards of Hawai‘i’s premier commercial real estate. As a private company supported by the deep real estate expertise and experience of our new ownership group, A&B will have greater capacity to serve its tenants and communities. In our next chapter, we will continue focusing on real estate that supports the daily lives of residents, overseeing our properties with care and remaining steadfast in our role as partners for Hawai‘i.”

“We’re pleased to reach this agreement, which delivers significant, immediate and certain value to our shareholders while strengthening A&B’s ability to serve the diverse needs of communities across Hawai‘i,” said Eric Yeaman, Chairman of the A&B Board. “The Board is confident that today’s news is in the best interests of all of A&B’s stakeholders. It delivers a substantial cash premium for shareholders and long-term benefits for our valued employees, tenants and communities.”

“As a Hawai‘i-grown company founded over 35 years ago, we have seen firsthand the community contributions and lasting value that Alexander & Baldwin has created across generations,” said Stephen Metter, CEO at MW Group. “We look forward to supporting the Company’s legacy and magnifying our collective impact on the communities we serve.”

Blackstone Real Estate has a long history of responsible ownership in Hawai‘i, including iconic hospitality properties, such as Grand Wailea, The Ritz-Carlton Maui, Kapalua, Turtle Bay and Hilton Hawaiian Village, as well as retail property Pearlridge Center and high-quality rental housing on O‘ahu.

“We’re excited to reach this agreement, which deepens our commitment to Hawai‘i and our long-standing support for its local businesses. Our approach has always centered on operating responsibly and creating new opportunities for community members, including the more than 9,000 jobs created and supported by our investments in Hawai‘i,” said David Levine, Co-Head of Americas Acquisitions for Blackstone Real Estate. “We have a deep appreciation for what the Alexander & Baldwin management team has built, and we look forward to working together going forward.”

“Alexander & Baldwin has built an outstanding portfolio and we look forward to working with our partners and the Company to help continue its success,” said Caleb Cragle, Head of Strategic Investments, DivcoWest.

Continuing A&B’s Legacy as Partners for Hawai‘i

The Investor Group is aligned with the following principles to further the Company’s vision for building a better Hawai‘i, today and for the future:

• Maintaining A&B’s Strong Local Focus: Following the closing of the transaction, A&B will retain its name, brand and Honolulu headquarters.
• Continued Leadership From Local Team: The Company will continue to be led by a Hawai‘i-based team and is committed to strengthening the relationships and community connection that have driven its long-term success.
• Enhancing Existing Portfolio of Properties: A&B will continue to maintain its properties at high standards of quality for its tenants and community members. The Investor Group intends to invest over $100 million across the portfolio to enhance the properties and reinforce their essential role in the communities they serve.

Transaction Details

Under the terms of the agreement, A&B shareholders will receive $21.20 per share in cash for each share of A&B common stock they own. This amount represents a 40.0% premium to A&B’s closing stock price on December 8, 2025, the last full trading day prior to the transaction announcement.

The transaction, which was unanimously approved by the A&B Board of Directors, is expected to close in the first quarter of 2026, subject to customary closing conditions including approval by the Company’s shareholders.

Upon completion of the transaction, A&B’s common stock will no longer be listed on the NYSE.

A&B also announced today that its Board of Directors approved a fourth quarter 2025 dividend of $0.35 per share. The dividend is payable on January 8, 2026, to shareholders of record as of the close of business on December 19, 2025. Under the terms of the merger agreement, the per-share consideration that shareholders will receive at the closing of the transaction will be reduced to reflect this dividend.

Advisors

BofA Securities is serving as A&B’s exclusive financial advisor, and Skadden, Arps, Slate, Meagher & Flom LLP and Cades Schutte LLP are serving as legal advisors. Joele Frank, Wilkinson Brimmer Katcher is serving as strategic communications advisor.

Wells Fargo and Eastdil Secured are acting as Blackstone’s financial advisors. Simpson Thacher & Bartlett LLP and Carlsmith Ball LLP are serving as Blackstone’s legal counsel.

Gibson, Dunn & Crutcher LLP is serving as DivcoWest’s legal counsel.

BOSTON, MA – November 5, 2025 – DivcoWest, a DivCore Capital company, announced today that it has acquired 399 Boylston Street, a premier 245,000-square-foot Class A office building in Boston’s Back Bay. The property, which is more than 90% leased, represents DivcoWest’s continued confidence in Boston’s innovation economy and enduring appeal as one of the nation’s most dynamic urban office markets. 

Positioned at the intersection of Boston’s historic and business districts, 399 Boylston Street combines timeless architecture with newly completed $35 million in tenant-focused upgrades, including a full-service fitness center, yoga studio, bike storage, locker rooms, showers, and a salon. The building’s prime location provides immediate access to the MBTA Green Line, with connections to the Red and Orange Lines just two blocks away, offering unparalleled connectivity to talent and amenities across the city. 

“We believe Boston continues to be one of the most resilient and desirable office markets in the country,” said Michael Falvey, Senior Director and Head of Boston Acquisitions at DivcoWest. “399 Boylston Street exemplifies the type of high-quality, well-located assets we seek, properties that deliver a best-in-class tenant experience in markets with enduring fundamentals. We see tremendous long-term value in this investment and in the continued vibrancy of the Back Bay and the city of Boston.” 

Surrounded by Boston’s cultural landmarks, green space, and luxury retail such as Hermes, Bottega Veneta, Bulgari, and Valentino, 399 Boylston offers sweeping views of the Boston Common, Public Garden, and the Charles River. Tenants benefit from proximity to an array of premium dining, hospitality, and residential options, creating a dynamic environment that aligns with modern workplace expectations. 

“The acquisition of 399 Boylston by DivcoWest underscores strong investor conviction in the strength of the Back Bay submarket,” said Edward Maher, Boston Capital Markets Executive Vice Chairman at Newmark, which represented the transaction. “This asset’s recent capital improvements and irreplaceable location position it as one of the most attractive office offerings in the city.”  

With this acquisition, DivcoWest expands its Boston footprint, reinforcing the firm’s long-term strategy of investing in top-tier assets across innovation-driven markets on the East Coast and beyond. 

Newmark represented the seller in the transaction, and JLL will continue to serve as the exclusive leasing agent for the property.

 

CAMBRIDGE, MA – April 30, 2025 – DivcoWest, a DivCore Capital company and a vertically-integrated commercial real estate investment firm, in partnership with BDT & MSD Partners, a merchant bank built to serve the distinct needs of business owners and strategic, long-term investors, and a global institutional investor, today announced that they have acquired One Lincoln Street, a prominent 1.1 million square foot commercial building located in the Financial District of Boston. This acquisition by the three-firm ownership group marks a new chapter for One Lincoln, as extensive upgrades are set to unveil a suite of amenities and workspaces in Summer 2025.

“DivcoWest is thrilled to join BDT & MSD and a global institutional investor as the new ownership group of One Lincoln, a true icon in the Downtown Boston skyline,” stated Mike Falvey, Head of Boston Acquisitions at DivcoWest. “Our seasoned ownership team brings unparalleled experience and robust financial backing, positioning us to not only continue the reimagination of the workplace but also elevate this building to its rightful stature, maximizing occupancy and enhancing long-term value.”

Falvey further underscored the group’s commitment to One Lincoln’s future which, he said, includes significant ongoing investment in the property, ensuring it meets evolving market demands and thrives in Boston’s competitive real estate landscape.

Once complete, the ownership group believes the current renovation project will redefine the tenant experience, incorporating cutting-edge hospitality-driven amenities to both office and shared spaces. Future tenants will have access to wellness-focused features including a rooftop deck equipped with pickleball and basketball courts centered within a walking path, a state-of-the-art fitness complex, and dedicated yoga studios and treatment rooms. A vibrant ground floor experience will include diverse culinary offerings and convenient grab-and-go options, creating a vibrant atmosphere throughout the workday into the evening.

One Lincoln will also offer an array of flexible workspaces designed to foster collaboration and innovation. Tenants will have access to event spaces, banquet facilities, and social areas that encourage connection and creativity.

DivcoWest has officially assumed all operational responsibilities for the partnership, including property management, leasing, construction & asset management, succeeding Synergy, which was retained two years ago and has played a key role in the building’s repositioning.

“We thank Synergy for their leadership, vision, and commitment to quality at One Lincoln,” said Mark Roopenian, Managing Director at DivcoWest. “Our team is excited to transform One Lincoln into an unmatched workday experience that we believe will exceed the expectations of today’s discerning tenants.”

Additionally, Newmark will continue its partnership with ownership, playing a key role in the leasing strategy to attract top-tier tenants to One Lincoln. Newmark Executive Managing Directors Gilbert Dailey and David Martel will be the exclusive leasing agents for the property under DivcoWest.

Strategically located at the intersection of I-93 and the Massachusetts Turnpike, One Lincoln offers exceptional accessibility, just a short walk from the South Station transportation hub where Amtrak, the MBTA subway and commuter rail, and the bus terminal connect, as well as being within five miles of Boston Logan International Airport.

To discover more about leasing opportunities and to stay updated on the transformation at One Lincoln, please visit www.onelincolnboston.com.

Formerly known as 199 Fremont, the transformation of the property will mark a new chapter aimed at attracting leading innovation tenants to San Francisco’s emerging ‘AI Alley’

SAN FRANCISCO, CA – April 22, 2025 – DivcoWest, a DivCore Capital company and vertically-integrated commercial real estate investment firm, is proud to announce a joint venture with funds affiliated with Blackstone Real Estate (“Blackstone”) to reposition 300 Howard Street, a prominent 25-story office tower in San Francisco’s vibrant South Financial District. As part of the agreement, Blackstone has acquired a joint-control interest in the property.

Previously known as 199 Fremont, the 420,000 square foot tower has been reimagined to embrace its location within ‘AI Alley,’ where a growing wave of tech and AI companies are redefining the area. The transformation of 300 Howard is in motion, reimagining the early-2000s tower into a high-performance hub built for today’s most ambitious teams. DivcoWest and Blackstone are rolling out a repositioning strategy with hospitality-inspired upgrades designed to fuel connection, creativity, and next-gen workplace experiences. A full floor of dedicated tenant amenities will anchor the building, featuring a cutting-edge conference center, elevated lounge spaces, and top-tier fitness and wellness facilities—all tailored to meet the demands of San Francisco’s innovation economy.

“We’re excited to embark on a long-term partnership with Blackstone in this venture, as 300 Howard sits at the heart of one of the most innovative commercial corridors in the country,” said Gregg Walker, President of DivcoWest Real Estate Asset Management. “Together, we’re making a bold investment to reimagine the building as a next-generation workplace—one that inspires, attracts, and empowers the talent driving the future of AI and technology.”

David Levine, Co-Head of Americas Acquisitions for Blackstone Real Estate, said: “We are big long-term believers in San Francisco and are thrilled to partner with DivcoWest as we reposition this Class A office tower located in a prime submarket of the city.”

JLL will continue its partnership with ownership, playing a key role in the office leasing strategy to attract top-tier tenants to 300 Howard. JLL Executive Managing Director Chris Roeder, Senior Managing Director Ted Davies, and Senior Vice President Carlye Parker will be the exclusive office leasing agents for the property.

“We look forward to working closely with DivcoWest and Blackstone to reintroduce 300 Howard as a premier asset for innovative tenants,” said Chris Roeder, Executive Managing Director at JLL. “With flexible floorplates, Bay views, exceptional amenities, and prime South Financial District location, it’s ideal for companies looking to grow and attract top talent. As one of the few full building opportunities in the market, 300 Howard offers a unique chance to establish a global headquarters in the heart of San Francisco.”

The team is also partnering with Alex Sagues, Senior Vice President at CBRE, to reintroduce the iconic Town Hall space located steps from 300 Howard as a dynamic culinary destination. With top-tier local restaurant groups under consideration, the space is poised to become a neighborhood anchor and go-to gathering spot for the community.

Notably, 300 Howard sits directly alongside Salesforce Park—a five-acre urban oasis spanning four city blocks, complete with a half-mile walking loop and a lush ‘green roof’ atop the Salesforce Transit Center. Often dubbed San Francisco’s ‘Grand Central of the West,’ the Transit Center is a major regional transit hub, connecting employees to the city and beyond with seamless access to bus and light rail lines in every direction.

You know you’re an Austin icon when you regularly grace the Austin City Limits stage.

Frost Bank Tower, with its striking art deco design resembling an owl at its peak, remains one of the most iconic additions to Austin’s skyline two decades after it was built. And in business terms, it’s still one of the darlings of the skyline even though many other office towers have risen since. Many say the tower marked a new standard for downtown office buildings, pushing developers to design more intentional and interesting towers compared to the concrete boxes that cropped up previously.

Right now, the 33-story tower’s occupancy rate of 95% is beating downtown’s average occupancy of 78% as clocked by CoStar, according to Travis Dunaway, principal with Endeavor Real Estate Group. Such a rate is the envy of many office land- lords who have been burdened by a record glut of empty space citywide.

 

Tenant turnover soon

Taking up almost all of the 535,078 square feet in Frost are big-name ten- ants such as PIMCO, Vista Equity Partners, Frost Bank, Ernst & Young, Reed Smith, Amherst, Maxwell Locke & Ritter and more. But change is afoot, said Anne Swift, principal with Endeavor Real Estate Group, which handles leasing at Frost. Soon, a quarter of its office space will be up for grabs as Kirkland & Ellis and Pillsbury Winthrop Shaw Pittman LLP leave the tower and migrate down Fourth Street to the under-construction Republic office tower. Vista Equity has committed to move out within the next few years.

As things stand, there’s 26,961 square feet available to lease in the tower, but in late 2025 an additional 124,750 square feet will hit the market. Frost’s floor plates range from 18,000 to 27,000 square feet, so there’s only about a single floor of space available for direct lease.

With its current vacancy rate of only 5%, Frost is on par with the new- er office stock built post-2014. Of 15 class A office buildings built since 2014, vacancy rates largely range from 0% to 15%, with three outliers ranging from 28% to 50% and a fourth, Innovation Tower, with 100% vacancy, according to Aquila Commercials’ third-quarter 2024 market report.

What’s clear is that Frost is per- forming much better than the majority of older office buildings down- town. Across 13 downtown office buildings built prior to 2014 — mostly from the early 1960s to the early 2000s — about 1.8 million square feet of space was available for direct lease in the third quarter, or about 31% of those buildings. Frost has faced some stiff competition for tenants in recent years — longtime prized tenants Heritage Title Company and the Winstead PC law firm recently moved to newer towers, touting their amenities and floor plans. But the building also can be a victim of its own success.

“The downside of being 95%-plus leased often means you can’t easily grow an existing growing tenant,” Dunaway said. “Vista Equity and Kirkland & Ellis are examples, as each needed more than double their existing footprints, which Frost Tower simply could not accommodate.”

 

Keeping up with the Joneses

A lot of the success in leasing the tower is the result of its features and amenities. “Building features that we all expect and take for granted today, like perfect column spacing, floor- to-ceiling glass, expansive ceilings, ample onsite parking, and executive level amenities like expansive conference and fitness centers — Frost Tower was delivering on par with today’s newest buildings, but 22-plus years ago,” said Costa Petrunoff, Managing Director of Investments at DivcoWest, the tower’s asset manager.

 

And those features have been continually updated throughout the tower’s life. The most recent lobby and amenity renovations, designed by Elliot March of London-based March and White Designs, began in 2020 and were completed in 2022.

“I’ll still never forget seeing the sauna in Frost Tower for the first time,” Dunaway said. “Frost Tower was pioneering on so many levels, which has allowed it to remain relevant and coveted, even today. But don’t mistake any of this for complacency. There is not a common area surface, amenity, or security feature within Frost Tower that hasn’t been redesigned or renovated within the past three years, ensuring Frost Tower’s future.”

Amenities at the tower include a 5,500-square-foot fitness club, lounge, conference facility, full-ser- vice bank, executive parking and on-site retail. Those retail options have been a draw for tenants. Houndstooth Coffee, Juiceland, SoulCycle, Modern Market and One Taco are on the ground level.

The tower has also received a number of recent designations and certifications putting it on par with new- er office stock. In the sustainability realm, it received a LEED Gold certification in 2019 and was Energy Star certified in 2008. For connectivity, the tower received a Wired Score Platinum designation, the highest ranking available. Finally, for health and wellness, Frost has received a Fit Well 2-star rating, scoring a 99 out of 100 in the walkability category and a 97 out of 100 for the biking category.

All of this combined — the tower’s unique design, its impressive tenant mix, the continual updates and the available amenities — have ensured that Frost Bank Tower remains an important part of downtown’s sky- line and economy, and could ensure the tower remains iconic for decades to come.

“Timeless is an overused adjective when describing architectural designs or finishes,” said Dunaway. “By definition though, Frost Tower is as timeless as it gets. Twenty years from today, that unmistakable crown lit up at night and as the backdrop of Austin City Limits stage, Frost Tower will still be unmistakably Austin. Who else can really say that?”

 

How the building was born

The tower’s story began in November 2001 when it became one of the first high-rise office buildings to break ground in the United States after 9/11, said Tim Hendricks, senior vice president and managing director at Cous- ins Properties Inc., the tower’s developer and original owner. It’s now owned by California State Teachers Retirement System.

“It was really very exciting,” Hendricks said of starting construction so soon after the terrorist attacks on the World Trade Center. “The subtractors, the general contractors, the supplier — everybody kind of rallied around Frost Bank Tower.”

At that time, Austin was seen as more of a sleepy college town and state capital, and a new tower was an avenue to help it evolve into more of a business community. When Cousins first began looking at developing Frost, the developer realized that newer, modern office towers hadn’t been built downtown since the 1980s, Hendricks said.

“If somebody’s going to do a new, marquee, iconic tower, why wouldn’t it be us?” he said. And when it came time to design the building, Hendricks said the driving force was an intentional effort to develop the city’s most iconic tower.

One of the major iconic features of Frost, which was designed by Turan Duda of Duda Paine Architects, is the building’s crown, which resembles an owl. Hendricks dispelled the long-standing urban legend that the resemblance was an intentional design choice by a Rice University graduate, but did say the crown, which lights up the skyline at night and is constructed of multiple layers of glass, was key to helping stretch the tower out so it resembles a taller point tower instead of a more squat, boxy building.

Cousins paid $13.8 million in 2001 for the tower’s 1.7-acre site. The site’s appraised value is now about $336 million, according to Travis County.

 

STORY BY BY CODY BAIRD • [email protected]

PHOTOGRAPHY BY DAVE CREANEY • [email protected]

Portfolio to be managed for institutional investor consists of 3 marquee assets including iconic Frost Tower

AUSTIN, TX – November 25, 2024 — DivcoWest, a DivCore Capital company, has been selected by a major institutional investor to manage and oversee three marquee commercial properties totaling 1.8 million square feet (s.f.) in Austin.

The transaction doubles DivcoWest’s portfolio in the Texas capital, making it one of the largest commercial office landlords in downtown Austin, one of the country’s most popular commercial real estate markets.

The buildings DivcoWest will operate are:

• Frost Tower, an iconic 533,000 s.f., 33-story Class A office tower, with first-class amenities and an elite roster of tenants, at 401 Congress Avenue;
• 300 West 6th Street, a modern, dynamic 454,000 s.f., 23-story Class A office tower with LEED Gold designation and large 30,000 s.f. floor plates;
• Plaza Saltillo, a 10-acre mixed-use property in East Austin with 153,000 s.f. of office, 118,000 s.f. of retail, including Whole Foods and Target stores, and 703 high-end apartment residences.

“We’re honored to be selected as a strategic partner and steward these three marquee properties in a market we’ve operated in for many years and know exceptionally well,” said Gregg Walker, President of DivcoWest Real Estate Asset Management (DREAM). “We look forward to working closely with our partners in the downtown brokerage community as well as with existing and prospective tenants to deliver a quality 24-hour lifestyle environment for Austinites,” Walker added.

DivcoWest has owned and operated commercial properties in the Austin market for nearly twenty years and is currently involved in two major downtown developments: The Republic, an 833,000 s.f. prime office tower at 401 West 4^th Street, and Sixth and Guadalupe, a 1 million s.f. state-of-the-art office and residential tower.

DivcoWest also owns properties at 2010 East 6^th Street and Bouldin Creek at 2043 South Lamar Boulevard, where it maintains a corporate office.

Pillsbury, a global law firm, signs deal for 28,000 square feet at the 48-story office building, bringing the tower to 50% leased.

AUSTIN, TEXAS (Nov. 21, 2024) – Co-developers Lincoln Property Company (“Lincoln”), Phoenix Property Company and DivcoWest have secured a lease  with global law firm Pillsbury Winthrop Shaw Pittman LLP (“Pillsbury”) for 28,000 square feet  at The Republic, a world-class office development located at 401 W. 4th St. in Downtown Austin.

Construction at The Republic recently reached the 48th and final floor and the tower will reach its full height of approximately 700 feet in January, when the building’s crown is placed, making it the tallest pure office building in the city. The Republic remains on track to open in mid-2025.

Pillsbury is one of the world’s foremost law firms advising technology companies and their investors, representing clients ranging from entrepreneurs and startups to the largest public and private companies. The firm also handles substantial work for clients in the energy and natural resources, financial, life sciences and digital health, real estate and construction, and other dynamic industries.

Pillsbury first opened in Austin in 2014 to serve the legal needs of the accelerating Texas technology market. The office has since grown to include more than 30 lawyers and more than 50 total employees, and plays a critical role in Pillsbury’s integrated technology platform, which connects with Silicon Valley, New York, London, Northern Virginia, San Diego, San Francisco, Los Angeles, Houston and other global markets that are important to the sector.

Pillsbury’s new lease of the entire 32^nd floor of the landmark Austin building continues the firm’s expansion in Texas, following closely on the firm’s recent move to new space in Houston. At The Republic, Pillsbury joins law firms Kirkland & Ellis LLP and O’Melveny & Myers LLP, along with Austin-based Vista Equity Partners.

“We’re excited to relocate into The Republic, which offers a prime location, top-line amenities and an overall more modern environment that better aligns with our sophisticated clients,” said Pillsbury’s Austin office managing partner Ed Cavazos. “This move reflects our commitment to Austin, our people here, and the many exciting tech companies that call this city home.”

“Many professional services companies view their workspace as key to attracting and retaining top talent,” said Lincoln Executive Vice President Seth Johnston. “The Republic is a next-generation office building, offering amenities at a scale and level of quality that’s unlike anything else in Austin today.”

The entire 19^th floor at The Republic will feature an amenity space designed by Michael Hsu Office of Architecture, including 25,000 square feet of indoor space with conference rooms, a fitness center and spin room, a club room with a lounge and bar, as well as a 25,000-square-foot landscaped terrace covered by architectural shade canopies. The Republic will also feature nearly 17,000 square feet of ground-floor retail space, including three restaurant spaces, and a 20,000-square-foot public plaza with an outdoor bar.

“The downtown Austin market continues to be one of the most popular office markets in the country, demonstrating strong resiliency, optimism, and growth across the board thanks to a diversified and dynamic tenant base,” said Mike Provost, Senior Managing Director & Southwest Regional Head of Investments at DivcoWest.

Designed by Duda Paine Architects, the 816,560-square-foot office building will offer sweeping views of Lady Bird Lake and a direct connection to Republic Square Park, the building’s historic namesake. In addition to being the only building that opens to a full block of park space in the Central Business District, every office floor of The Republic will include a private terrace.

A true next-generation office building, The Republic emphasizes the health and wellness of tenants and guests by incorporating touchless access technology, enhanced air-filtration systems, and the pursuit of, WELL Health-Safety Rating, LEED Gold Certification.

SAN FRANCISCO – [August 19, 2024] – DivcoWest, a vertically-integrated real estate company headquartered at the heart of Silicon Valley, reaffirmed its commitment to bringing innovative solutions to customers, partners, and investors through a series of investments into cutting-edge AI companies poised to transform real estate and construction.

Made through DivcoWest Ventures, a unit of the firm focused on early- and growth-stage technology companies with the potential to shape the future of the urban environment, these investments underscore DivcoWest’s continued efforts to invest in, and adopt, technology which enhances its unique platform and benefits the entire real estate ecosystem.

Just last week, DivcoWest Ventures reinvested in its portfolio company EliseAI, as part of a $75M Series D fundraise. EliseAI is the largest and most advanced conversational AI platform in the residential real estate industry. The company’s automation tools manage communications 24 hours a day, seven days a week between potential and current renters across multiple channels (such as, SMS, email, phone, and webchat) and automates property workflows.

DivcoWest Ventures’ recent investments also include:

• Field Materials is an AI procurement platform for contractors to control and verify construction material and equipment spending. Its web and mobile apps streamline material purchasing and equipment rentals by eliminating manual data entry for quotes, invoices, packing slips, and receipts, and saving 5-10% in material costs by automatically identifying billing errors.
• Flexnode is a leading-edge digital infrastructure company reimagining the built environment through bespoke and immersive design, efficient DFMA-centric construction, and advanced operation of high performance, liquid cooling-enabled micro data centers.

Commenting on the recent investments, Breton Birkhofer, Managing Director, said: “These investments represent our unwavering commitment to embracing AI and its transformational potential in the real estate sector. By supporting these companies, we’re not just investing in valuable technology – we are investing in a more successful and sustainable future for our industry. As AI continues to evolve, we are excited to invest in and nurture the most promising technologies that can benefit the communities we serve.”

DivcoWest Ventures has previously invested in more than two dozen proptech and climate tech companies operating in the U.S. and Canada. These portfolio companies include Matterport, an AI-driven spatial data company which allows users to easily create digital twins of assets in the built world, and Metropolis, an AI and computer vision startup built to modernize the parking experience by enabling “checkout-free” payment for drivers and revenue-generating operations for real estate owners.

For more on DivcoWest Ventures, see: https://divcowest.com/ventures/

 

About DivcoWest  

Founded in 1993 by Stuart Shiff, DivcoWest is a vertically integrated, real estate investment firm headquartered in San Francisco, with offices in Cambridge, Los Angeles, Menlo Park, Washington DC, Austin, and New York City. Known for long-standing relationships and experience across the risk-spectrum in innovation markets, DivcoWest combines entrepreneurial spirit with an institutional approach to commercial real estate. DivcoWest aims to create environments that inspire ingenuity, promote growth, and enhance health and well-being. Since inception, DivcoWest and its predecessor have acquired approximately 61 million square feet of commercial space – primarily throughout the United States. DivcoWest’s real estate portfolio currently includes existing and development properties in the office, R&D, lab, industrial, retail, and multifamily spaces. www.divcowest.com

San Diego – June 27, 2024 – DivcoWest, a DivCore Capital company, and its partner Ocean West Capital Partners LLC, announced that the Conrad Prebys Foundation, a $1.2 billion San Diego-based nonprofit, signed a lease for a full floor at Kettner & Ash, in the heart of San Diego’s Little Italy neighborhood. Derek Hulse and Morgan Reno of Cushman & Wakefield represented the landlord.

Kettner & Ash is a 123,000 s.f. fully modernized midrise office building at 1420 Kettner Boulevard. DivcoWest and Ocean West purchased the building in late 2017, becoming only the second owners in the last 63 years. They immediately began an extensive Gensler-designed renovation including a contemporary façade with an energy-efficient clear glass wall curtain.

Prebys Foundation is the sixth tenant to call the building home under the new owners. In October 2018, co-working specialist Spaces signed a long-term lease for three floors totaling 43,540 s.f. Boston-based general contractor Suffolk Construction, HR software provider Paycom, national architect Perkins & Will, and Birdrock Coffee Roasters have also signed.

Kettner & Ash is in an attractive location for tenants as it sits in the popular Little Italy neighborhood and is surrounded by restaurants, cafes, and other lifestyle amenities. The building itself features a large atrium-style lobby with a 5-story LED screen displaying digital artwork. Kettner & Ash also offers tenants an expansive event patio on the third floor with indoor and outdoor seating, entertainment space, and a dedicated kitchen. The building provides tenants with spa-quality locker rooms with showers.

Andreessen Horowitz (a16z) will benefit from new amenities and improvements implemented at SHC over the last 4 years.

Menlo Park, CA – [June 26, 2024] – Sand Hill Road is more than a roadway; it has been the epicenter of venture capital and innovation since visionary developer Tom Ford established it more than 50 years ago. The Sand Hill Collection (SHC), comprising 48 acres and three distinct campuses, is the pinnacle of workplace destinations on this legendary road, thanks to the long-term vision and investment capital of owner, DivcoWest.

Andreessen Horowitz, also known as a16z, leased 34,390 square feet of newly redeveloped space at 2400-2450 Sand Hill Road in The Quad, one of three campuses within the Sand Hill Collection, which also includes The Ranch and The Grove. The buildings are currently being tailored through tenant improvements, with plans to move in sometime in 2026.

“We are thrilled to welcome a16z. Their innovative approach to investing in the future makes them the perfect addition to SHC’s community of forward-thinkers and trailblazers,’ said Gregg Walker, President of DivcoWest Real Estate Asset Management (DREAM). “We believe that a16z will not only enrich SHC’s vibrant community but also reinforce the Sand Hill Collection as a hub for transformative ideas and dynamic partnerships.”

A Campus Within a Campus

The two newly constructed two-story buildings leased to a16z were designed to deliver a “campus within a campus” experience. The design seamlessly integrates indoor and outdoor spaces, connected by a spacious private courtyard and featuring lush outdoor patios. This setup offers a16z options for al fresco work, meetings, and events.

In addition, the interiors of the buildings have been thoughtfully redesigned to allow for customizable workspaces that are filled with natural light and offer flexibility with a variety of areas for collaboration.

SHC Member Benefits

As a newly minted member of the Sand Hill Collection, a16z will enjoy all the benefits SHC provides across 3 hospitality-driven campuses. This includes access to the Sand Hill Kitchen, a farm-to-table restaurant at The Quad and the recently opened Sand Hill Sundeck at The Ranch, a multi-faceted restaurant that features a full-service modern eatery, a gourmet delicatessen and market, and a large sun deck for happy hours and social gatherings. Members also enjoy access to 3 newly renovated fitness centers, complimentary personal training sessions, and a variety of classes including yoga and boot camp. The health and wellness amenities continue with numerous walking, biking and running trails meandering through the 48-acre community which also includes an outdoor basketball court.

“DivcoWest’s vision for the Sand Hill Collection goes beyond traditional office space. Inspired by hospitality-driven environments, our focus is on creating a workplace promoting well-being, innovation, and collaboration. This human-centric approach is evident in every facet of the offerings we provide from the array of on-site eateries and social spaces to the workspaces themselves. We continue to find new ways to expand on the amenities and services that cater to our members,” Walker says.

DivcoWest acquired the 26 buildings that now make up Sand Hill Collection in two transactions in 2011 and 2020. The Collection represents approximately 45% of the total office inventory on Sand Hill Road, a stretch of road that cuts through Menlo Park, Palo Alto and Woodside and is home to several leading firms in the global economy. SHC offers full building spaces suitable for headquarters locations as well as smaller suites suitable as satellite or executive offices.

a16z was represented by brokers Hugh Scott and Derek Johnson of JLL in negotiating their lease. Christian Prelle, Brad Van Linge, Sarah Bohannon, and Clayton Jones of Newmark represented DivcoWest.