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.
The Registry
TMG, Alcion Buy North San Jose
by Jon Peterson

San Francisco-based property landlord and developer TMG Partners and Boston-based investor Alcion Ventures LP, have acquired their third Bay Area property in the last seven months: 3055 Orchard Drive in North San Jose.

The duo paid $16.2 million, or $145 a square foot, all cash for the 111,300-square-foot property, which is empty.

The seller was JER Partners, a real estate investment management firm based in McLean, Va.

"The Silicon Valley has been experiencing decreasing vacancy, increased rents and strong positive absorption. Santa Clara County leads the nation in job creation year-over-year, and the space appetite of Google and Apple keeps pushing leasing requirements directly into North San Jose," said TMG partner Drew Thomas.

The buyers plan an additional $2 million to $3 million investment to renovate and reposition the property in the next six months. Work is to start immediately, Thomas said.

TMG and Alcion acquired The Hamm's Building at 1550 Bryant St. in San Francisco this spring for an undisclosed price. They planned a $15 million upgrade of the former brewery, which has a singular 12-story tower and sits in the wildly popular South of Market district.

Earlier, they paid approximately $60 a square foot for the Legacy Bayside Business Park in Fremont. The three-building 234,000-square-foot research-and-development complex was empty at the time of sale and had been since 2009. Foster City-based Legacy Partners previously owned the site.

The source of capital that Alcion is using for the purchases is its commingled Alcion Real Estate Fund II. Alcion closed the capital raise on the fund in early 2010 with $497 million in equity.

Colliers International, led by Senior Vice President Andy Zighelboim and senior associates Nate Jones and Thomas Kim, represented JER in the sale.

Demand from users of research and development properties seeking 80,000 square feet or more in Santa Clara County has surged but little choice remains, Zighelboim said. "Last year in the region there were 52 lease transactions in the market of 80,000 square feet or more. The average per year for the past several years has been 27. There are now only 11 spaces currently available in the market for that size," Zighelboim said.

"The region has seen incredibly strong demand for well-located 75,000 to 100,000 square-foot blocks of space with a large number of requirements remaining outstanding," Thomas said.

Vacancy in Silicon Valley research and development space has fallen 3 percentage points in the past year and 6.6 percentage points since the second quarter of 2010, according to newly released research from brokerage CBRE Group Inc. It now stands at 13.8 percent. North San Jose, with 25.2 million square feet of R&D space, has the valley's largest concentration of R&D property, followed by Sunnyvale and Santa Clara.

North San Jose lost occupancy in the second quarter, according to CBRE, with semiconductor maker Atmel Corp. vacating not quite 300,000 square feet at 2375 Orchard Parkway.