Presidio Bay, Prado Exit 1.2 Million-Square-Foot SF Centre Deal After $600 Million Default
Updated
Updated · The San Francisco Standard · Jul 8
Presidio Bay, Prado Exit 1.2 Million-Square-Foot SF Centre Deal After $600 Million Default
2 articles · Updated · The San Francisco Standard · Jul 8
Summary
Presidio Bay and Prado Group have abandoned their bid for the 1.2 million-square-foot San Francisco Centre Mall after months of due diligence and fundraising, putting the shuttered property back on the market.
The two firms said they are "not currently moving forward" with the transaction, while sellers tied to the mall’s mortgage-backed securities have not decided their next steps.
The failed plan would have kept retail as a major use while converting a vacant department store to offices and the former fifth-floor theater into a concert and events venue.
The mall closed in February after years of distress: Westfield and Brookfield defaulted on a $600 million loan in 2023, and bondholders later took control with a $133 million credit bid.
Any future redevelopment still faces structural constraints, including preserving the historic dome and negotiating with the school district, which controls a 75,675-square-foot ground lease through 2043.