Norton Rose Fulbright represents University of California on US$985 million P3 transaction

Global law firm Norton Rose Fulbright advised the Regents of the University of California on behalf of its San Francisco campus (UCSF) on a US$985 million public-private partnership transaction to develop a cutting-edge oncology and incubator laboratory facility in San Francisco. Construction on the site began on August 26, 2025.

Located four blocks from UCSF's Mission Bay Campus, the 300,000 square foot building will include a world-class cancer treatment center, research laboratories and multi-specialty clinical space. It will serve as the anchor tenant for southeast San Francisco's Dogpatch Power Station district, a master-planned redevelopment of the former Potrero Power Station site that ceased operations in 2011.

The oncology facility will feature next-generation proton beam therapy, offering highly precise, concentrated doses of radiation that directly target cancer cells while limiting damage to surrounding tissues. The precision enables oncologists to treat some of the most challenging cancers, including pediatric cancers and cancers of the brain, eye, lung, prostate and spine.

Slated to open fully in 2029, the facility will offer critical care to patients throughout central and northern California and beyond. The building will have eight floors above ground and two levels below, where the proton beam therapy center will be housed. The incubator laboratory space will take up three floors of the facility and is designed to facilitate a wide range of innovations in the life sciences. Primary care and multi-specialty clinics will also occupy three floors in the building.

With a total estimated project cost of more than US$1 billion, the project financing included more than US$575 million in tax exempt bond proceeds and US$200 million in donor capital in addition to university funds to pay for the land, equipment and building management costs.

This complex deal involved several key components, including a lease/lease-back transaction using a 501(c)(3) non-profit entity to develop the building. It also required a careful assessment of the public contracting laws applicable to the proposed structure to ensure compliance with all applicable laws.

The transaction was a cross-border effort by a North American infrastructure team, including lawyers from Norton Rose Fulbright's Los Angeles, St. Louis and Vancouver offices. It was shortlisted for Best Social Infrastructure Project at the P3 Bulletin Awards, which will be held in New York City in October 2025.

Norton Rose Fulbright's core team was led by Patrick Harder (Los Angeles) and included Dani Davis (St. Louis), Matthew Quintieri (Vancouver) and Diana Lopez-Lira (Los Angeles).

Additional support was provided by Victor Hsu, Matthew Seeberger, Sharon Jeong (Los Angeles) Alicia Kapolis (St. Louis) and Natalia Montanez (Vancouver).