By Jon Peterson
San Francisco-based DivcoWest Properties has placed on the market for sale the 344,000 square foot office building located at 50 West San Fernando Street in San Jose. The potential sales price could be as high as $235 million, or just over $683 per square foot, according to sources familiar with the sale of the property.
DivcoWest declined to comment when contacted for the story. The first round of offers for the property could come in as soon as early next month. The listing agent on the sale of the property is the San Jose office of Eastdil Secured.
The sale of the property would mean that the asset will have its third owner in just over the past seven years. DivcoWest and he Rockpoint Group had acquired the property for $165.5 million, or or just over $481 per square foot, in December of 2015. These investors had purchased the property from Los Angeles-based CBRE Global Investors, who had paid $95.6 million for the property in 2012.
One of the major improvements made by DivcoWest and Rockpoint was the opening up the 14,000 square foot top floor of the property for office space. This floor in the past was not considered leasable space, since it had been used as storage by the previous owners. This new space would give a tenant great views of the downtown San Jose marketplace.
50 West does have a diversified mix of current tenants in the building. This includes Accenture, Merrill Lynch Wealth Management, a bureau for public broadcasting station KQED and the Silicon Valley Capital Club.