LendingClub Corporation (NYSE: LC), the parent company of LendingClub Bank, America’s digital marketplace bank, announced it has entered into a definitive agreement to acquire a “233,887 square foot property located at 88 Kearny Street in San Francisco for $74.5 million.”
The property, which will serve as the company’s headquarters beginning in Spring 2026, leverages the bank’s balance sheet to “purchase an asset that has the potential to appreciate in value over time.”
The transaction is subject to “customary closing conditions and is expected to close in the second quarter.”
Scott Sanborn, LendingClub CEO said:
“We are thrilled to have won a competitive bidding process on the 88 Kearny Street property, which will serve as our headquarters with plenty of capacity to support current and future workforce growth. LendingClub has been proud to maintain an award-winning workplace in downtown San Francisco since 2012 and we’re happy to reinforce our commitment to the city, which is home to amazing talent and has long been a hotbed of innovation.”
Sanborn continued:
“The expiration of our lease coincided with historically low San Francisco commercial real estate pricing, allowing us to acquire an institutional quality asset at a fraction of pre-pandemic cost with no expected impact to our financial performance and the potential for upside as San Francisco recovers.”
San Francisco Mayor Daniel Lurie said:
“LendingClub knows what we all know: San Francisco is worth betting on. My administration is focused on creating the conditions for growth, including safe and clean streets, and this long-term investment in 88 Kearny shows that companies see the momentum. San Francisco is on the rise—and we’re just getting started.”
The bank plans to “occupy 100,000 square feet of the Kearny Street property starting in Spring 2026 following the expiration of its current lease at 595 Market Street.”
The remaining space will be “leased to a combination of new tenants and existing tenants.”
The bank funded and capitalized the $74.5 million purchase “entirely on its balance sheet, and the purchase is not expected to have any material effect on its financial performance.”
Drew LaBenne, LendingClub’s Chief Financial Officer said:
“Not only is the transaction great for our brand and our employees, it makes great sense financially. As a bank, we plan to leverage our balance sheet to make the transaction efficient from a capital and funding standpoint. Under conservative assumptions, the purchase is economically comparable to leasing space in the San Francisco market with potential upside as leasing and property values recover in the Bay Area.”
Over a third of LendingClub’s more than “1,000 employees are based in the San Francisco, CA headquarters, and the company has additional offices in Boston, MA, New York, NY, and Lehi, UT.”
As covered, LendingClub Corporation is the parent company of LendingClub Bank, National Association, Member FDIC.
LendingClub Bank is the digital marketplace bank in the US, where members can access a “range of financial products and services designed to help them pay less when borrowing and earn more when saving.”
Based on hundreds of billions of cells of data and over $100 billion in loans, their credit decisioning and machine-learning models are reportedly used across the customer lifecycle to “expand seamless access to credit for members, while generating risk-adjusted returns for our loan investors.”
Since 2007, more than 5 million members “have joined the Club to help reach their financial goals.”