The Riverpark Towers in San Jose will soon have a new owner. The two-building property, which is just over 600,000 square feet is in the process of being sold to a partnership between San Francisco-based DivcoWest and Rockpoint Group, according to sources with knowledge of the transaction. They are paying just over $285 million, or roughly $473 per square foot, and have placed a non-refundable deposit on the deal with Foster City-based seller SteelWave. The sale is scheduled to close next week, confirmed the source.
Riverpark Towers are located at 333 West San Carlos Street and 300 Park Avenue in downtown San Jose. Riverpark Tower I, which is 300,224 square feet is the older of the two buildings. The 16-story building was developed in 1987 and is currently 76 percent leased. The newer building, Riverpark Tower II, also 16 stories tall, is located at 300 Park Avenue. It was built in 2009 and is 94 percent leased. For the investor, this is a value-add opportunity, according to sources, since the combined vacancy in the property is around 15 percent. Both buildings are considered Class A assets with high-end interior finishes and are located in the heart of San Jose’s central business district along the Guadalupe River.
Tower II is LEED Gold certified, and it was the first green building in San Jose’s central business district. Both buildings feature approximately 20,000 square foot floor plates, a park-like setting with landscaped gardens, a fitness center, showers and lockers. The buildings also have a parking garage on site with electric car charging stations.
Eastdil Secured worked on behalf of the seller.