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ells Fargo, a bank with roots in San Francisco dating back 172 years, has significantly reduced its real estate portfolio in the city. According to the San Francisco Business Times, the bank has cut its holdings by more than half, sparking speculation it may relocate its headquarters.

    The bank's decision to put its 409,000-square-foot headquarters at 420 Montgomery Street up for sale and close its history museum after senior leadership moved to New York has raised eyebrows. Wells Fargo claims it will maintain its official headquarters at 333 Market Street but acknowledges a lack of commitment from its leadership, with none of the bank's 17-member senior team based in San Francisco.

    The bank's CEO, Charlie Scharf, is based in New York, while other leaders are scattered across the country. Despite an unnamed spokesperson stating there are "no plans" to move the headquarters, Wells Fargo's local real estate moves suggest otherwise. The bank has reduced its office space in Downtown San Francisco by more than half since the pandemic, from 1.5 million square feet to just over 696,000 square feet.

    Wells Fargo's total portfolio in the San Francisco-Oakland-Berkeley region has also decreased by 25% over the past year, with a combined reduction of 865,000 square feet on Montgomery, California, and Fremont streets. This is twice the rate at which the bank has reduced its national real estate holdings across the US.

    The sale of Wells Fargo's longtime San Francisco headquarters is expected to be significant, with estimates suggesting it could fetch between $100 million to over $200 million.