CBRE Arranges $15.65 Million Sale Of 110,000 Sq. Ft. Property In San Jose
22 Jan 2018
CBRE Capital Markets has arranged the sale of 5830-5870 Hellyer Avenue, a 109,715-square-foot multi-tenant R&D building located in the South San Jose submarket of Silicon Valley. Scott Prosser, Joe Moriarty and Jack DePuy of CBRE’s Northern California Capital Markets team represented DivcoWest Silicon Valley Investments in their sale of the property to an institutional investor.
“The property, which was 77 percent leased, gives the buyer immediate cash flow with upside potential through lease up of the market ready suite,” said Scott Prosser, Executive Vice President.
Built in 1999, 5830-5870 Hellyer Avenue is just one mile north of the Highway 101/Highway 85 intersection, 1.6 miles from the Blossom Hill Caltrain station and a little over two miles from the Cottle Road VTA Light Rail station, offering ease of access throughout Silicon Valley. Additionally, the project is in proximity to several new residential developments across Highway 101 at the Cottle Transit Village, and less than two miles from the Village Oaks Shopping Center with over 20 retail and dining options including Panera Bread, Safeway, Target and FedEx Office.
Tenants seeking alternatives from Northern submarkets due to the demolition of R&D buildings for new development and record-high lease rates have found South San Jose a compelling location. As a result, companies have leased or purchased over one million square feet of space over the last 24 months, limiting supply for R&D space in South San Jose. This sale, along with the recent 2017 closings of two portfolios on nearby Optical Court are strong indications that the appetite for properties in South San Jose will continue for institutional investors through 2018.
CBRE Group, Inc. (NYSE:CBRE), a Fortune 500 and S&P 500 company headquartered in Dallas, is the world’s largest commercial real estate services and investment firm (based on 2021 revenue). The company has more than 105,000 employees (excluding Turner & Townsend employees) serving clients in more than 100 countries. CBRE serves a diverse range of clients with an integrated suite of services, including facilities, transaction and project management; property management; investment management; appraisal and valuation; property leasing; strategic consulting; property sales; mortgage services and development services. Please visit our website at www.cbre.com.