Commission approves exclusive negotiations with Golub and John Buck for Transbay Block 5

The Commission on Community Investment and Infrastructure voted to authorize exclusive negotiations with a development team led by Golub Real Estate Corporation and the John Buck Company to develop Transbay Block 5, a state‑owned Zone 1 parcel on Howard Street zoned for a 550‑foot office tower.

Courtney Pash, acting project manager for Transbay, told the Commission the selection process considered purchase price and developer experience. The winning team offered a purchase price of "$172,500,000" and proposed approximately 665,000 rentable square feet of office space, 15,000 square feet of publicly accessible open space, an underground parking facility with 117 spaces, about 5,000 square feet of ground‑floor retail and a minimum LEED Gold certification. Pash said the design received lower design scores than other proposers on ground‑floor activation and cladding, and staff has asked the team to revise the ground‑floor plan to increase retail and better activate the street.

Commissioners pressed developers on experience and on the rationale for a $500,000 ENA deposit. Pash responded that the deposit reflects a realistic estimate of staff and legal costs through the DDA phase and is consistent with deposits required on other Transbay parcels. Staff also emphasized contracting and workforce compliance plans; the proposal included Butler Enterprise Group to meet OCII contracting goals.

The Commission recorded a 3–0 roll‑call vote to approve the exclusive negotiation agreement, with Commissioner Singh moving the item and the motion seconded and carried (Commissioner Mondejar: yes; Commissioner Singh: yes; Chair Rosales: yes). Staff said the team will return with revised conceptual designs and that schematic designs are anticipated to come back in March 2015 with closing expected in September 2015 and construction to follow.

No members of the public testified on this item.