San Jose-based Crest Partners paid $39.5 million to acquire an industrial property near San Francisco’s India Basin in one of the largest such transactions to close in the city in the past two years, reported the San Francisco Business Times. In its first deal in San Francisco, Crest acquired 3550 3rd St., a roughly 2.3-acre site just south of the Islais Creek Channel, in an off-market transaction arranged by Reliance Real Estate Advisors, whose Blake Miller and Max Rattner represented Crest.

The $39.5-million price tag makes the transaction the largest industrial deal done in San Francisco since November 2022, when Goodman North America acquired a five-acre industrial site at 180-200 Napoleon St. for $83.2 million, according to data from Reliance. The last such deal over $30 million to close in San Francisco was Tishman Speyer’s acquisition of 2225 Jerrold Ave. for $32.7 million million last July.

Reliance’s Miller told the Business Times the deal suggests investors remain interested in San Francisco’s industrial market. Large industrial sales have more or less been on pause for the past two years, he said, although he believes Crest’s acquisition is a sign of renewed investor interest in industrial properties.