Pleasanton, Calif. – Hacienda, Northern California’s largest mixed-use business development, showed signs of stabilization by the end of 2025 following earlier occupancy declines. The first half of the year was marked by elevated vacancy rates stemming from several major closures, including Party City and Kohl’s. However, the second half of the year brought renewed leasing activity and steady interest from expanding firms across key sectors. This momentum carried into early 2026, with Hacienda recording an increase in leased occupancy in January as new tenants commenced operations and previously signed leases became effective. With new commitments from healthcare, life sciences, and professional service organizations, Hacienda is regaining momentum.
Occupancy & Leasing
Hacienda saw occupancy soften at the beginning of the year, but conditions have since begun to stabilize. By the close of the fourth quarter of 2025, the vacancy rate reached 20.32%, up modestly from 19.03% in the third quarter and 15.22% at year-end 2024. While vacancies continued to edge higher, the pace of increase slowed noticeably, signaling that leasing fundamentals appear to be leveling out.
Net absorption was largely unchanged in the fourth quarter, posting a loss of roughly 400,000 square feet. More than a quarter of this negative movement stemmed from the well-publicized closures of Party City and Kohl’s in Pleasanton earlier in the year. Leasing activity has begun to regain traction, and with multiple new deals underway and growing tenant interest, absorption is expected to trend more favorably in 2026.
In January, overall occupancy increased to 6,606,330 square feet, up from 6,483,507 square feet at the end of December. Leasing activity continued to skew toward smaller transactions by deal count, with spaces under 10,000 square feet comprising 16.67% of total deals but just 0.79% of the total square footage leased. Mid-sized spaces between 10,000 and 50,000 square feet represented half of all transactions and 21.36% of leasing volume. Notably, demand strengthened for larger-format space, as transactions exceeding 50,000 square feet accounted for one-third of all deals while capturing a dominant 77.85% of total leased square footage.
As of the close of the fourth quarter of 2025, the business services sector remains the largest occupant at Hacienda, leasing approximately 1,787,484 square feet. Biomedical firms follow, occupying 1,012,707 square feet, while the manufacturing and healthcare sectors utilize 473,301 and 404,695 square feet, respectively. These primary industries are supported by a wide array of tenants spanning retail, hospitality, software development, education, and consumer goods, highlighting Hacienda’s diverse tenant mix and its position as a vibrant employment hub in the Bay Area.
“After a challenging year, Hacienda is showing clear signs of stabilization and renewed momentum,” said James Paxson, General Manager of Hacienda. “While early-year closures impacted occupancy in 2025, leasing activity picked up in the second half of the year and carried into early 2026, with new tenants moving in and previously signed leases coming online. Demand is stronger for larger spaces, and with commitments from healthcare, life sciences, and professional service firms, Hacienda is once again demonstrating its appeal as a diverse, dynamic hub for businesses across the Bay Area.”
Hacienda Tenant News
Dassault Systèmes, a global leader in 3D design, simulation, and collaborative solutions, has been a catalyst for human progress since its founding in 1981, pioneering virtual worlds to improve real life across industries. Since 2020, the company has expanded its impact in life sciences and healthcare through science-based virtual twin experiences that enhance medical decisions and patient journeys. With its 3DEXPERIENCE platform, Dassault Systèmes serves 370,000 customers worldwide, helping them imagine, collaborate, and create sustainable innovations. The company recently launched SOLIDWORKS 2026, its AI-powered portfolio of 3D design, collaboration, and data management tools, featuring enhancements such as generative AI for faster drawing creation, virtual AI companions for knowledge extraction, improved large assembly workflows, and streamlined product development capabilities. Dassault Systèmes, which became a Hacienda tenant in December 2025, operates 184 offices across 45 countries, employs 25,000 people, and offers 13 brands that support innovation in areas ranging from green logistics to product durability and waste reduction.
Vagaro, a leading software platform for businesses in beauty, wellness, and fitness, streamlines operations, payment processing, and client growth for companies of all sizes—from solopreneurs to enterprise franchises. The company became a Hacienda tenant in July 2022 and continues to support service providers with scalable, technology-driven solutions. Recently, Vagaro introduced two new tools: the free Business Health Check, which provides owners with an instant score and actionable recommendations across service diversification, customer retention, recurring revenue, pricing flexibility, and technology adoption; and E-Prescribe, a feature that modernizes prescription management for medical spas and other providers by allowing secure, electronic prescription submission, refill approvals, and DEA-compliant credentialing within the platform. These innovations reflect Vagaro’s commitment to empowering entrepreneurs to manage operations efficiently, grow resilient businesses, and deliver better experiences for clients in the digital age.
Population and Employment
At the end of the fourth quarter of 2025, Hacienda accommodates 13,324 employees across 683 companies. This number is anticipated to grow as new developments unfold and occupancy rates approach pre-pandemic levels.
Additionally, Hacienda’s residential communities currently have approximately 5,844 residents, a figure that is expected to increase to 6,400 with ongoing housing developments.
As of the 2020 U.S. Census, the region’s population was 400,213. 60% of Tri-Valley residents hold a bachelor’s degree or higher, surpassing the educational attainment levels of both California and the broader Bay Area. This concentration of skilled professionals contributes to a robust labor force, making the Tri-Valley an attractive location for employers seeking top talent. In terms of demographics, 45.4% of residents are aged between 25 and 44, and over 58% report annual incomes exceeding $150,000. The region’s high quality of life, characterized by natural beauty, tight-knit communities, and top-notch schools with a graduation rate of 97%, further enhances its appeal to innovators and business leaders.
City of Pleasanton
Pleasanton’s demographics reveal a highly educated workforce, with over 85% of residents having attended college and nearly 70% holding a college or professional degree. The city also enjoys a high household income, with over 75% of households earning more than $75,000 annually. Pleasanton is a young city, with nearly a third of the population under 19 and over a quarter aged between 20 and 54, indicating a substantial portion of residents in their prime career years. The city boasts a rich history and character showcased in its picturesque downtown, reflecting its commitment to a high quality of life. Hacienda exemplifies this with its excellent educational facilities, abundant recreational activities, and a favorable climate for enjoying sports facilities, parks, and golf courses.
Hacienda Overview
This overview offers the latest information on Hacienda’s occupancy, tenant updates, sales, and regional data of interest. For additional details, please consult the Project Overview section on our website.
Park Activity
- Occupancy and Major Tenant Transactions (Summary of occupancy information and major tenant activity)
- Development (Summary of development approvals and project construction information)
- Sales (Summary of project sales)
General Park Information
- Population (Summary of employee and residential population)
- Land Use (Summary of activity by land use)
- Demographics | Area and Community (Summary of demographic characteristics from 2010 US Census and 2019 American Community Surveys)
- Valuation (Summary of valuation)
Projects and Tenants
- Property Profiles (Interactive summary of project-specific information)
- Business Directory (Summary of businesses located in Hacienda)
About Hacienda
People come to the San Francisco Bay Area for many reasons: a spectacular natural setting, a sophisticated lifestyle, and unique professional opportunities. Quality of life means having the best of everything within easy reach, whether it’s world-class restaurants, theater and museums, the best learning institutions in the country, or some of the finest services available.
Quality of life applies to business, too: having easy access to needed resources, being among other industry leaders, and knowing that you are part of a region that leads the world in innovation. When working and living environments both enhance quality of life, the result is an unbeatable combination that leads to success; and that is what you will find at Hacienda.
Centered in a dynamic region and propelled by the Standard Metropolitan Statistical Areas of San Jose, Oakland, and San Francisco, the Bay Area is a robust economic region. Hacienda, located near the center of the Bay Area in Pleasanton, spans 875 acres and is home to over 680 companies employing more than 13,300 people. In addition to being a hub for business, Hacienda also features homes for about 6,400 residents, offering a full spectrum of residential choices.
Contact Information
For more information about Hacienda and our latest developments, please contact:Hacienda Owners Association
4305 Hacienda Drive
Suite 330
Pleasanton, Calif. 94588-2738
T: (925) 734-6500
E: info@hacienda.org
W: hacienda.org | LinkedIn | Hacienda Online
