By Meghan Hall
Jay Paul Company, the developer behind some of the Bay Area’s largest office projects, including Moffett Towers and Cityview Plaza, has added to its Bay Area portfolio once again. According to reporting by the Silicon Valley Business Journal, Jay Paul Company has purchased eight parcels along N. Mathilda Avenue and Del Ray Avenue in Sunnyvale’s Peery Park in a deal that closed at the end of October.
The properties total 7.53 acres and were purchased for $85 million from San Jose-based DiNapoli Companies Inc. Newmark Knight Frank Executive Vice Chairman Phil Mahoney and Vice Chairman Ben Stern represented both parties in the transaction.
The parcels are already entitled for development, and Jay Paul has already received building permit approvals. DiNapoli had originally submitted an application to demolish the existing decades-old buildings on the properties and construct two office and research and development buildings totaling 330,353 square feet along with five-story parking garage. Approximately 34 percent of the site will include outdoor amenity space, with benefits such as a public transit center, art display zones and bike amenities. A 13,700 square foot amenity building is also part of the plans.
The City of Sunnyvale Planning Commission unanimously approved of the project in December 2016, with an extension granted until December of 2020. The project has been dubbed Mathilda Commons, and Jay Paul intends to break ground on the project as soon as possible. Upon completion, it will be one of the first development projects within the adopted Peery Park Specific Plan (PPSP) area, which includes 450 acres in north Sunnyvale.
In June, Jay Paul Co. also purchased two properties at Park Avenue and Almaden Boulevard in San Jose from DiNapoli and realty investment trust Blackstone for $100 million. Jay Paul paid cash for the properties, which are right across from Cityview Plaza. Upon completion, Cityview will total 3.4 million square feet of office space spread over 11 acres. Shortly after closing on the San Jose properties, Jay Paul Co. also acquired 50 West San Fernando, formerly known as the Knight Ridder Building. The developer bought the property for $238 million from DivcoWest Properties and The RockPoint Group.