Disney’s San Francisco Deal Could Help Steady an $850 Million Refinance
Disney Streaming Services is negotiating a lease for 76,000 square feet on the sixth floor of One Market Plaza in San Francisco, more than doubling its current 37,000-square-foot footprint at 525 Market Street. The space, formerly occupied by Visa before the payments company relocated to Mission Rock in 2024, sits on the podium level known for larger floor plates. Disney’s existing Market Street lease expires in September 2027, and sources say the company needs the deal to close soon to allow time for buildout.
One Market’s owners, Rithm Capital and Blackstone, face an $850 million loan maturity in February 2027. The joint venture exercised a one-year extension earlier this year and has access to an additional one-year forbearance period that could push the deadline to February 2028 if refinancing proves difficult. The building stood 65.4% leased as of the first quarter, and adding a high-profile tenant like Disney could strengthen the owners’ position in refinancing negotiations or paying down the debt.
Rithm and Blackstone recently launched a multimillion-dollar renovation at One Market and One Front, including a redesigned ground floor, conference center, fitness facility, atrium bar, seventh-floor bar, executive lounge, and rooftop deck. One Market has lost major tenants in recent years, with Google vacating 320,000 square feet and Autodesk departing 109,000 square feet, both consolidating into the separately owned Landmark building within the complex. San Francisco has leased 6.4 million square feet of office space through the first quarter and is tracking toward 15.3 million square feet by year-end, a 30-year high, according to Newmark.
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