Commercial Real Estate Blog

Oracle has put up its tower at 488 Almaden Blvd. on the market for sale. BEA paid about $335 per square foot for the building last year in hopes of moving workers from its north first street campus over but instead Oracle has decided to turn around and put the vacant building back on the market.

The 388,000 SF Class A building is located on Almaden Blvd. in Downtown San Jose. Built by Sobrato Development about 7-8 years ago at a cost of nearly $100M the property is on the market unpriced, though it is very likely that it will trade for below its replacement cost. The building was previous to BEA in play with NVIDIA, but that deal fell apart partly due to the economic incentive package not being sweet enough, and likely because the move from Santa Clara to Downtown would have represented a relatively cumbersome move from a logistics and personnel standpoint. NVIDIA instead acquired San Tomas Commerce Park across the street from its existing campus and intends on building a 2M square feet campus.

Read the rest of this entry »

NVIDIA is rumored to be buying San Tomas Business Park from Harvest Properties. The 10-Building project on San Tomas Expressway right across from NVIDIA’s campus was picked up by Harvest and BlackRock Realty in late 2005 for roughly $205 per square foot.

The project encompasses 10 buildings of roughly 47K SF each spread across 24 acres. There is no confirmation of the deal or whether additional land or buildings have been rolled into the deal or when the deal is slated to close.

This deal comes about a year after NVIDIA killed negotiations to acquire a Class A highrise in downtown San Jose from Sobrato that ultimately ended up getting acquired by BEA Systems.