Ellis Partners Takes 386,000 SQFT KPMG Building in San Francisco via Deed in Lieu After Buying $187.5MM Loan
Why this matters
Capital markets activity continues to be defined by the rotation from bank balance sheets to non-bank lenders. Private credit funds have raised record dry powder; banks have tightened CRE underwriting standards for the sixth consecutive quarter. The result is a market where well-sponsored deals clear, and marginal credit pays a meaningful spread to do so. San Francisco continues to clear office at the deepest discounts to 2019 basis seen in the cycle, while multifamily fundamentals have stabilized and life sciences in the Peninsula remains active. For LPs, the allocation conversation has shifted decisively toward real estate debt, with equity allocations being deployed more selectively into operator-led platforms.
Editorial analysis · Real Estate Trail Editorial
On the RET wire
- The 29th San Francisco story tracked on the wire in November 2026. All San Francisco coverage →
- Disclosed capital deal value tracked in November 2026: $2.9B across 9 reported transactions.
Computed from Real Estate Trail’s own tracked coverage
A San Francisco developer has taken over the former KPMG Building by buying its defaulted loan, after the departure of its namesake tenant and two tech companies left the 25-story tower 20 percent leased. Ellis Partne…
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