Sobrato Buys Gap’s Athleta Building in SF for $80M

Gap Inc.’s Athleta headquarters at 1 Harrison Street in San Francisco has been acquired by Sobrato Organization for a reported $80 million. It’s the second brand headquarters building that Gap has sold, following on the heels of last year’s $356 million disposition of Old Navy’s San Francisco home.

The San Francisco Business Times reports that the sale includes a one-year leaseback, and Gap will eventually consolidate all San Francisco-based teams, including Athleta, at the firm’s newly remodeled hub at 2 Folsom. A Gap spokesman says the Folsom headquarters is where designers, scientists, logistics experts and futurists “come together to develop new consumer experiences and product innovations.”

For Silicon Valley-based Sobrato Organization, it was the company’s second major purchase in San Francisco over the past year. In May, the firm paid $71 million for 180 Townsend, a 41,000-square-foot office building that is fully leased to Andreessen Horowitz.