Some of the few leases that are getting done across the region these days are in the life science space, and this latest one in San Jose is no different. According to sources with knowledge of the market, San Francisco-based DivcoWest leased an entire building in San Jose located at 170 Baytech Dr. to a Johnson & Johnson subsidiary, Auris Health, adding to the post-pandemic, life-science sector appeal.
The property is a two-story, industrial/lab facility measuring just over 76,000 square feet. It was built in 2000 and was previously leased to Boston Scientific, which occupied the building in 2016, according to Compstack. Sources confirmed that a workaround was reached with Boston Scientific to terminate their lease, which ran through 2026 to make way for the new tenant. At this time, no additional information was provided about Boston Scientific’s plans, although based on Google Maps, the company occupies the two other buildings in the complex.
The building is part of four-building Baytech Business Park development that DivcoWest purchased in October of 2013 for $57.5 million from Carr Properties. DivcoWest then recapitalized the asset with Liberty Mutual insurance company in March of 2017 for $99 million, according to public records.
The property it adjacent to California State Route 237—it sits just north of the regional road—and it is between Zanker Road and North 1st Street. Based on a flyer from CBRE, which marketed the property in 2019, the property has been modernized inside and features amenities like a cafeteria, recreational rooms, a fitness center and conference rooms.