By Jon Peterson
San Francisco-based commercial real estate owner Flynn Properties has put up for sale the 84,696 square foot 2811 Orchard Parkway office building in San Jose, as stated by sources familiar with the property.
The real estate investment firm has owned the asset since July of 2016, according to public documents, when it paid $16,975,000 for the asset, or just around $200 per square foot.
The company did not respond to phone calls seeking comment for this story.
The listing agents on the sale of the Class A property are the San Francisco office of NKF Capital Markets, which is led by Steven Golubchik, vice chairman, and Edmund Najera, executive managing director.
The current ownership of the property has invested more than $10 million or $120 per square foot to renovate the property. The property is now 100 percent leased to Fetch Robotics, which is company that was formed in 2014. It develops and manufactures autonomous mobile robots for commercial applications, material handling and data collection. The company has raised $48 million over the last three years in three separate rounds. The last round, a series B raise, was completed in December of 2017 for $25 million, according to the marketing documents.
The lease on the building in San Jose started in February of 2018, and it expires in August of 2025. The lease has 3 percent rent bumps and has one extension option that lasts for an additional seven years. The property was first developed in 1981, and the renovations were completed last year. It’s a two story-building covering 5.3 acres of land. The asset includes a 408-stall parking facility.
The property is positioned within the Technology Corridor of Silicon Valley. It has a central location of being close to four major freeways of Interstates 880 and 680 and Highways 101 and 237. It also has access to the VTA Light Rail, which provides a connection to Caltrain. It is also in very close proximity to tens of technology firms that populate the North San Jose submarket. The development is also just down the street from Apple’s 86.7-acre development site in North San Jose, which has been approved for 4 million square feet of office and R&D space.