HGST’S South Bay Initiative Implements San Jose Campus Redevelopment

HGST, Inc., a subsidiary of Western Digital Corporation is in the process of updating and rebuilding its Great Oaks site in San Jose. Originally established by IBM Corporation in the 1950s, the very first hard disk drive was developed and produced on this site in 1956. The invention of the first system, marketed by IBM under the trade name Ramac, established a new technology for capturing, preserving and retrieving data, and it launched the data storage industry. Throughout the intervening years, the site has been dedicated to the development and manufacturing of hard disk drives and the advancement of data storage technologies, and the site today is the largest manufacturing facility in San Jose.

Formerly known as the IBM Cottle Road Facility, the site, along with IBM’s other disk drive assets, was sold to Hitachi in 2003. Following 2010 completion of a strategic carve-out and re-entitlement initiative by Hitachi Global Storage Technologies (HGST), a Hitachi subsidiary, the connection of the site to Cottle Road was severed. It was renamed the Great Oaks Campus to align with its new address. At that time, HGST, collaborating with the City of San Jose, successfully developed and implemented a plan to convert roughly half of its property for mixed-use, residential and commercial development. Multiple new housing developments and businesses are now open or in final stages of completion in this redevelopment area, supporting a “transit village” development.

Acquired by Western Digital Corporation (WDC) in 2012, HGST continues to operate the remaining 160 acre campus as a manufacturing and R&D facility. Shortly following this acquisition, HGST began its South Bay Initiative – a multi-year /multi-phased site refresh plan designed to revitalize and rebuild the San Jose Great Oaks site.

The ultimate end state of the South Bay Initiative will yield a revitalized, modernized facility providing collaborative work environments in a campus-like setting for approximately 2,000 employees. The updated facility will provide a mix of semiconductor manufacturing, research and development operations, administrative and support functions, as well as focused work areas that support the company’s commitment to innovation, productivity and collaboration. Additionally, the campus will support expanded CrossFit facilities and other physical activities, a shared bicycle program (launched last year), and additional electric vehicle charging stations adjacent to its two new buildings.

On Friday, May 8, between 10:30 and 2:00, the company will celebrate the hoisting and placement of the final steel for each of two new buildings under construction: a 4-story Administration building and a 2-story Engineering building. In celebration of this milestone event, employees and local dignitaries are being invited to join us and sign these last beams prior to a ceremonial hoisting – in recognition of collaborative efforts on all fronts by leadership, employees, City officials, our consultants and contractors in support of a company vision that is “Taking it to the Top.”

About HGST
HGST, a Western Digital company (NASDAQ: WDC), develops innovative, advanced hard disk drives, enterprise-class solid state drives, external storage solutions and services used to store, preserve and manage the world’s most valued data. HGST addresses customers’ rapidly changing storage needs by delivering intelligent storage devices that tightly integrate hardware and software to maximize solution performance. Founded by the pioneers of hard drives, HGST provides high-value storage for a broad range of market segments, including Enterprise, Cloud, Data Center, Mobile Computing, Consumer Electronics and Personal Storage. HGST was established in 2003 and maintains its U.S. headquarters in San Jose, California. To find out more about HGST enterprise-class HDD, SSD and SW solutions, please visit www.hgst.com.

West Coast Commercial Real Estate News