(EDITOR’S NOTE: According to public records and earlier reporting from The Registry, KBS now sold three of the original eight buildings. 400 Holger sold for $49,150,000 on June 13 to an entity associated with Tampa, FL-based Carter Validus; 450 Holger was sold to Microchip Technology, a semiconductor maker and also the tenant in the building, for $40,846,000; 475 Holger was sold for $7,450,000 to an entity associated with Stockton-based MSK Ventures and Sierra Vista Apartments.)
SAN JOSE, Calif., KBS Real Estate Investment Trust II (“KBS REIT II”), a non-traded real estate investment trust based in Newport Beach, California, announced today the third sale at Corporate Technology Centre, an eight-building office park. Three properties – the AT&T building at 400 Holger, 450 Holger and 475 Holger – have been sold. KBS is focused on renovating the remaining five buildings, which KBS intends to rebrand as District | 237.
The five Class A buildings, which will soon be vacant, have over 400,000 square feet of rentable space. District | 237 presents an opportunity to create a campus environment for one large tenant with 416,000 square feet, or multiple tenants with their own individual building, ranging in size from 46,700 square feet to 100,000 square feet. Planned renovations for District | 237 include a 60-foot-high monument sign, allowing for tenants to have prominent signage facing the highway, completely updated landscaping and modified exteriors. Currently 350 Holger Way is undergoing a complete interior renovation that will include, a new lobby, a private tenant lounge, an outdoor amenity area and gym. The office component of the building has been opened up to create large open work spaces, collaboration areas and an executive conference center.
“The dynamic Silicon Valley market is a draw for many employers due to its appeal to a young talent pool,” said Brent Carroll, SVP, Acquisitions/Co-Director, Asset Management. “We believe the planned renovations of the property puts KBS at the center of an ever-growing market with the potential to add great value to the well-located property.”
District | 237 is within 10 minutes of San Jose’s Minetta International Airport and 15 minutes of the San Jose CBD. The property and its location are attractive to a wide range of technology-based users. Further, its exceptional frontage on Highway 237 and its close proximity to retail and lodging amenities, such as Courtyard by Marriott San Jose and Hyatt House San Jose/Silicon Valley, make the property easily accessible.
“We believe San Jose remains a popular place for growing technology businesses, and tenants will benefit by the identity the freeway frontage offers,” said Rodney Richerson, Regional President of KBS.
KBS Realty Advisors is a private equity real estate company and SEC-registered investment advisor founded in 1992. KBS Realty Advisors and its affiliated companies have completed transactional activity of over $38 billion via 16 separate accounts, six commingled funds, five sovereign wealth funds and eight REITs. For information, visit www.kbs.com