Rithm Unveils New Vision for Paramount’s Former S.F. Portfolio

Paramount Group parent company Rithm Capital Corp. plans to spend approximately $250 million to remake four properties in Paramount’s portfolio, including One Front and One Market Plaza in San Francisco. The plans, announced alongside news that Paramount is being rebranded as Elecor Properties, were unveiled late Monday ahead of Rithm’s (NYSE: RITM) first quarter earnings call Tuesday morning. Rithm acquired Paramount, which owns and operates office properties in New York and San Francisco, in a $1.6 billion deal that closed in December 2025.

The amenity campaign will include two other formerly Paramount-owned office buildings at 1633 Broadway and 712 Fifth Ave. in New York City. Rithm did not respond to a question about what portion of the $250 million would be invested in the two San Francisco properties. The New York-based investor and unidentified capital partners helping fund the $250 million amenity campaign will invest to remake the ground floor of One Market Plaza, according to the announcement.

The company will also add a conference center, a fitness facility and an atrium bar, as well as a bar on the seventh floor, an executive lounge and rooftop deck. One Front’s lobby will also undergo renovations: Rithm plans to add a café, bar and restaurant, it said, as well as a second-floor amenity space with a gym, conference space and private lounge. The building’s elevators will be modernized as part of the investment.

San Francisco office buildings haven’t historically boasted the kind of amenities that are today more commonplace in cities like Chicago and New York: tenant-only gyms, bars and lounges, among other perks. That is in part because demand for office space in San Francisco was so strong in the decade-long lead up to the pandemic that landlords felt they didn’t need amenities to lure in new tenants. That has changed in the postpandemic era, putting many downtown San Francisco office buildings in a kind of amenities arms race with each other.

Rithm CEO Michael Nierenberg said in a statement the newly-rebranded Elecor had built one of the top office portfolios in the country. Rithm, he said, would provide “the capital, scale and institutional discipline to unlock its full potential.” The company said in its release Monday the Elecor rebrand reflected Paramount’s transformation from an office real estate investment trust to “an operating platform built for the next evolution of the workplace.”

Elecor, then Paramount, said even before the Rithm acquisition that it planned to invest in new amenity programs in the 651,394-square-foot One Front and 1.6 million-square-foot, twotower One Market Plaza as part of a bid to revive the two buildings. One Market, though considered one of the city’s best office buildings, has been plagued by an elevated vacancy rate ever since Google departed some 320,000 square feet there last year. One Front also has JPMorganChase’s former space to fill.

Rithm said Monday the existing leadership team would stay in place at Elecor, including Peter Brindley, who will continue in his role as head of real estate. Rithm announced when it closed its acquisition last year that former Paramount CEO Albert Behler would depart the company. Rithm owns One Market as part of a joint venture with Blackstone. Beacon Properties Capital partners acquired a 25% stake in One Front last year.