LOS ANGELES--(BUSINESS WIRE)-- Hudson Pacific Properties, Inc. (the “Company”) (NYSE:HPP) today announced it has completed the acquisitions of the 625 Second Street and 275 Brannan office properties in San Francisco’s dynamic South of Market Area (“SOMA”). The Company acquired 625 Second Street, a four-story, approximately 137,000-square-foot property, for $56.4 million (before closing costs and prorations), including the assumption of a $33.7 million loan. The loan bears interest at a fixed annual rate of 5.85% and matures on February 1, 2014. The Company also acquired the adjacent 275 Brannan Street, an approximately 50,000-square-foot property, for $12.25 million (before closing costs and prorations).

The Company has engaged Mike McCarthy and Mike Monroe of Colliers International, who recently completed the full lease-up of 875 Howard on behalf of the Company, as the leasing brokers for these two properties.

“We are excited to add these two highly regarded assets, as we work to build scale in the city’s active SOMA submarket. The brick-and-timber office properties in SOMA enjoy a vacancy rate of less than 4%, underscoring their appeal to SOMA’s thriving creative technology tenants,” said Victor J. Coleman, Chairman and Chief Executive Officer of Hudson Pacific Properties, Inc. “These transactions mark our fifth and sixth San Francisco properties, bringing our total presence in Northern California to more than 2.2 million square feet and our combined total portfolio to more than 4.2 million square feet.”

Located only 1-1/2 blocks from AT&T Park in San Francisco’s dynamic South of Market Area, 625 Second Street is a four-story property consisting of approximately 137,000 square feet of Class A, brick-and-timber office space. It is 100% leased, with an average remaining lease term of 5.0 years. The property was fully renovated in 1999, including a full seismic retrofit and installation of state-of-the-art building systems. Featuring a brick exterior, exposed timber beams and brick walls on the interior, the building’s largely open floor plans and ample below-grade parking makes it particularly attractive to creative technology tenants drawn to the SOMA submarket.

Adjacent to 625 Second Street, 275 Brannan Street is a three-story, brick-and-timber building containing approximately 50,000 square feet. Constructed in 1905, the building underwent a partial renovation in 2002. 275 Brannan is currently vacant, and the Company intends to perform a substantial renovation of the property and market it to tenants looking for open, creative office space.

About Hudson Pacific Properties

Hudson Pacific Properties, Inc. is a full-service, vertically integrated real estate company focused on owning, operating and acquiring high-quality office properties and state-of-the-art media and entertainment properties in select growth markets primarily in Northern and Southern California. The Company's strategic investment program targets high barrier-to-entry, in-fill locations with favorable, long-term supply-demand characteristics in select target markets including Los Angeles, Orange County, San Diego, San Francisco, Silicon Valley and the East Bay. The Company's portfolio consists of approximately 4.2 million square feet. The Company intends to elect to be taxed and to operate in a manner that will allow it to qualify as a real estate investment trust, or REIT, for federal income tax purposes, commencing with the taxable year ended December 31, 2010. Hudson Pacific Properties, Inc. is a component of the Russell 2000® and the Russell 3000® indices. For additional information, visit www.hudsonpacificproperties.com.

Forward-Looking Statements

This press release may contain forward-looking statements within the meaning of the federal securities laws. Forward-looking statements relate to expectations, beliefs, projections, future plans and strategies, anticipated events or trends and similar expressions concerning matters that are not historical facts. In some cases, you can identify forward-looking statements by the use of forward-looking terminology such as “may,” “will,” “should,” “expects,” “intends,” “plans,” “anticipates,” “believes,” “estimates,” “predicts,” or “potential” or the negative of these words and phrases or similar words or phrases that are predictions of or indicate future events or trends and that do not relate solely to historical matters. Forward-looking statements involve known and unknown risks, uncertainties, assumptions and contingencies, many of which are beyond the Company's control, that may cause actual results to differ significantly from those expressed in any forward-looking statement. All forward-looking statements reflect the Company's good faith beliefs, assumptions and expectations, but they are not guarantees of future performance. Furthermore, the Company disclaims any obligation to publicly update or revise any forward-looking statement to reflect changes in underlying assumptions or factors, of new information, data or methods, future events or other changes. For a further discussion of these and other factors that could cause the Company’s future results to differ materially from any forward-looking statements, see the section entitled “Risk Factors” in the Company’s final prospectus filed on April 27, 2011, and the Company’s Annual Report on Form 10-K for the year ended December 31, 2010 filed with the Securities and Exchange Commission on March 24, 2011, and other risks described in documents subsequently filed by the Company from time to time with the Securities and Exchange Commission.

Source: Hudson Pacific Properties, Inc.

Contact:

Investor Contact:

Hudson Pacific Properties, Inc.

Mark Lammas, Chief Financial Officer

310-445-5700

or

Investor / Media Contact:

Addo Communications, Inc.

Andrew Blazier, 310-829-5400

andrewb@addocommunications.com