It’s the way we think 
that sets us apart.

TMG Partners has been in the business of developing award-winning, financially-successful, community-based real estate for 40 years. As much as we have accomplished over the last four decades, we believe it is the way we THINK about our region, the risks we manage, the critical timing of our projects and the value we create that sets us apart.
Localism

Real Estate is
a local business.

No, really.

The San Francisco Bay Area is an extremely diverse real estate marketplace with countless micro-business climates teeming with possibility. But you have to be here—and know here—to make the most of the opportunities all around us. Having been exclusively committed to the Bay Area for four decades, we have developed a keen local intuition which gives us a unique advantage in recognizing both the opportunities and risks in this complex market.
Regionalism

We Think 
Mega

If we try to solve our land use problems by focusing
only on the nine Bay Area counties, we will fail.

Michael CovarrubiasChairman & Co-CEO

As the Bay Area’s economy has grown over the last four decades, so too has its challenges—particularly related to transportation, housing, affordability and climate change. To plan for growth of 4 million more people in the next third of a century, TMG is thinking bigger, beyond our nine Bay Area counties, and working on longer term strategies to create greater connectivity across our entire megaregion.
Timing

It’s got to work at low tide as well as high tide.

Some of our best deals are the ones we didn’t do.

Matt FieldCo-CEO

Almost anyone can make money in a positive economic climate. But it takes discipline, depth of market knowledge and experience in all major product types to know when to buy and when to sell. The most profitable deals can be the ones you decide just don’t make sense or are outbid by an “out of town” competitor. Because we are active in our markets on a daily basis, TMG Partners has managed a portfolio through 40 years of market cycles that works in all phases and has withstood the sands of time.
Vision

huh?

Once it’s obvious, it’s too late.

Cathy GreenwoldSenior Advisor

If you wait for the statistical proof to confirm real estate opportunities, you’re looking backwards. TMG Partners has cultivated an approach to studying the business landscape that reveals market opportunities before they become obvious. Our contrarian investment strategy balances optimism and caution with the intent of turning forward-looking investments into no-brainers.
Returns

Redefining IRR

Our measure for success goes beyond profit.

Lynn TolinChief Operating Officer &
Executive Vice President

Most investment professionals have a clear understanding of IRR: Internal Rate of Return, a purely financial measurement of performance. At TMG we use a different definition. For us, IRR means balancing Integrity, Relationships and Results. We measure every aspect of our business through this lens to ensure our partners, communities, tenants and buyers are treated with the highest degree of respect and responsibility while we consistently deliver superior financial performance.
Think
Localism
Regionalism
Timing
Vision
Returns
Close

Close

 

News & Awards.

TMG Partners has won awards for many projects
including honors for “Best Mixed Use,”
“Best Office,” and “Best Historic Rehabilitation”.
In the News. Press Releases. Awards.
TMG Partners sells its first Oakland office building to global investor KKR for $173 million
San Francisco Business Times
TMG Partners sells its first Oakland office building to global investor KKR for $173 million
by Blanca Torres

Global investment firm KKR & Co. is the new owner of 1330 Broadway, a recently revitalized Oakland office tower.

Terms of the deal were not disclosed, but a source familiar with the 315,000-square-foot building said the price was roughly $173.25 million or $550 per square foot — more than double what the seller paid.

The seller, TMG Partners, bought the building in 2015 for $80 million or $254 per square foot and spent more than $30 million to give the tower new life with a renovated lobby, building systems and slew of new tenants including Oracle and Arup. The building was San Francisco-based TMG’s first investment in Oakland.

“The redevelopment of this urban infill, transit-oriented building has only strengthened our commitment to Oakland,” said TMG chairman and CEO Michael Covarrubias.

The company has agreed to stay on to manage the property for KKR. The building is KKR’s second big investment in Oakland after teaming up with Harvest Properties last year to buy the 277,888-square-foot 180 Grand for $119.25 million. KKR has about $176 billion in assets under management worldwide.

“We believe Oakland has attractive long-term secular growth trends driven by its accessibility to transit, a growing retail amenity base, and a meaningful amount of residential development,” said Justin Pattner, head of real estate equity in the Americas at KKR. “TMG has successfully repositioned the property into a top building in Oakland, and we look forward to the next phase of the leasing business plan.”

Built in 1958, 1330 Broadway is considered a prime example of the International Style of architecture, known for its simple design, lack of ornamentation and use of glass, concrete and steel.

When TMG bought it, however, the building was in need of a make over, said John Dolby, a broker with Cushman & Wakefield who handles leasing for 1330 Broadway.

“Because of all the transformation, the building attracted high-quality tenants that four years or so would not have been attracted to Oakland,” Dolby said.

TMG spruced up common areas and added conference rooms, bike parking and showers. The building is now around 85 percent to Oracle, Arup, Clovis Oncology, UCSF, Verizon, Chase Bank, and Citizens Engagement Lab.

TMG, a long-time Bay Area investor and developer, had passed on Oakland for decades until buying 1330 Broadway. Since then, the company snapped up 2201 Broadway for $65 million and is working on a $14 million overhaul as well as seeking to entitle a new office tower on an adjacent site.

Oakland office properties have becoming increasingly attractive to institutional investors such as KKR, Goldman Sachs and KBS Capital Advisors. During the past decade, the city’s office rents have skyrocketed while vacancy plummeted making it one of tightest urban markets in the country, according to CBRE.

KKR “appreciates (1330 Broadway’s) amenities, direct transit access, and all of the shops, cafes, restaurants and other amenities that Downtown Oakland has to offer,” said TMG Director of Development David Cropper.

More office sale deals in Oakland could be in the works now that CIM Group, the city’s largest office landlord, is looking to unload a five-building portfolio.