SAN FRANCISCO– October 30, 2014 – Cassidy Turley, a leading commercial real estate services provider in the U.S., announces the following lease and sale transactions originated in the firm’s Northern California offices:
Ring Central Leases ±84,400 SF Class A Tech Office Building in Belmont for Headquarters
Ring Central, a leading provider of cloud business phone systems, has leased an entire 84,416 square foot Class A tech office building in Belmont, CA, for its headquarters. The three-story property is located at 20 Davis Drive and is owned by Raiser Development. Ring Central’s new headquarters features a three-story, floor-to-ceiling glass atrium; on-site fitness center with showers; panoramic views of the San Francisco Bay; and it is centrally located to California Highway 92, Interstate 280 and U.S. Highway 101. Mike Moran and Clarke Funkhouser with Cassidy Turley represented the landlord in the transaction.
ITU Opening New, Larger ±76,500 SF Campus in North San Jose in spring 2015
International Technological University (ITU) has leased a 76,568 square foot building in San Jose, CA, for a new campus. The university’s new campus located at 2711 N. First Street is positioned in the city’s rapidly growing northern region and will be three times larger than its current home to accommodate its growing number of students. The new campus is scheduled to open in spring 2015 and will include amenities like a full library, fitness areas, eating spaces, enhanced research laboratories and more classrooms. According to ITU President Yau-Gene Chan, the move to a larger space is a necessary step in the evolution of the university. This will be ITU’s fourth campus in 20 years, and it represents its largest by far. Ken Candelaria with Cassidy Turley represented ITU in the lease transaction. In addition, Cassidy Turley’s Project and Development Services team in Northern California will perform tenant improvements, an assignment to be led by Senior Project Manager Dax Werner.
Univision Communications Takes ±30,000 SF at Zanker Business Center in North San Jose
Univision Communications, the leading media company serving Hispanic America, has leased an entire 30,018 square foot R&D building at 1940 Zanker Road in northern San Jose, CA. The building is part of the Zanker Business Center project that is owned by a global real estate investment manager. The project consists of four single-story buildings featuring high-end interiors that are located at the highly visible corner of Zanker and Brokaw roads. Colin Feichtmeir, Steve Horton, Gregory Davies and Kelly Yoder with Cassidy Turley represented the landlord in the transaction.
Regus Leases Entire Second Floor Office at Fox Plaza, Across from Twitter Headquarters
Property owner Essex Property Trust, Inc. has leased 23,086 square feet of office space at the Fox Plaza mixed-use project in San Francisco. Regus, the world’s largest provider of flexible workspace, inked a long-term deal and will be occupying the entire second floor of a two-story office/retail building at 1390 Market Street. The building features a Starbucks on the ground floor and is positioned adjacent to the property’s main, 29-story tower (a.k.a. Archstone Fox Plaza). Fox Plaza is located across the street from Twitter’s headquarters in the city’s Civic Center area. Jeff Moeller, Peter Conte, and Zac Monsees with Cassidy Turley represented the landlord in the transaction.
Brown and Caldwell Relocating to Denver West Office
Brown and Caldwell, a leading nationwide environmental engineering and consulting firm, has leased 32,925 square feet in Building 2 at the Denver West Office Park in Lakewood, CO, a suburb of Denver. The property is part of a 22-building office park owned by Denver West Office Leasing Company. Brown and Caldwell plans to relocate its local office from a nearby location sometime in early 2015. Dean Panfili, Ted Harris and Joe Sigdestad, SIOR of Cassidy Turley’s Walnut Creek and Denver offices collaborated to represent the tenant in the transaction.
Chinese Investors Buy 123,000 SF Office Building in Pasadena for $36.4 Million
China-based investment group 21st Century Techbanq Pasadena LLC has acquired a ±123,000 square foot office building in Pasadena, CA, for $36.4 million ($295 per square foot) from Embarcadero Capital Partners. The nine-story building is located at 234 E. Colorado Boulevard in the city’s historic Old Pasadena district. Approximately 96% leased at time of sale, the property serves as headquarters for steakhouse company Lawry’s Restaurants Inc. as well home to other small professional service firms. The ground floor retail space features a BJ’s Restaurant and Brewhouse. The property is 90 years old and is listed on the National Register of Historic Places. It features beautiful mountain and city views and proximity to many amenities, including Paseo Colorado shopping center. Tenny Tsai, Danny Yu, Suzanne Lee and Jake Dederer with Cassidy Turley’s San Jose and Los Angeles offices collaborated to represent the buyer in the transaction.
Notably, the buyer is also associated with two other China-based investment groups, Creative International Investments, Inc. and Hanqi Investment, LLC, which have recently acquired two other office California properties. Last month, Creative International bought a 76,698 square foot Class A office building in downtown Burbank in an effort to provide and create smaller incubator space opportunities for China-based companies looking to advance in the multi-media and entertainment industry. That group also was represented by Tsai, Yu, Lee and Dederer. And a year ago, Hanqi bought a ±105,000 square foot office building in Burlingame now known as Hanhai-Zibo Life Science Park—the first U.S.-China life science park in the San Francisco Bay Area—in an effort to create incubator space opportunities to help grow start-up technology companies from China. That group was also represented by Tsai and Yu, who have been continuously and successfully able to represent the buyers in each of the three investment sale transactions due to their unique knowledge and experience with investors from China.
Avago Technologies Acquired ±79,500 Building in North San Jose from Hines Development
Avago Technologies has acquired a ±79,500 square foot building located in the Ridder Park Technology Center in northern San Jose, CA, from Hines Development. Avago will be occupying the entire building located at 1730 Fox Drive. Sale and leasing activity at the popular and centrally located Ridder Park Technology Center has been exceptionally strong in recent years, drawing major tenants Spansion, Ex’pression Center for New Media and County of Santa Clara. Hines also sold the County building to Cole Capital earlier this year. There is now just ±19,000 square feet of space currently available for lease in the entire project. Steve Horton and Kelly Yoder with Cassidy Turley in collaboration with Jeff Houston and Sherman Chan with CBRE represented the seller in the transaction.
Sunnyvale’s Oakmead Village Square Sells to Investor for $9.4 Million
Gahrahmat Family Limited Partnership has purchased the Oakmead Village Square Business Park in eastern Sunnyvale, CA, for $9.4 million ($172 per square foot). The seller was Oakmead Village, LLC. The 54,717 square foot mixed-use, multi-tenant project consists of all single-story buildings constructed in the late 1970s and is composed of primarily office/flex with some retail/restaurant space. Most of the tenants are smaller users below 5,000 square feet. The project is situated on a ±4.325 acre parcel and is well-positioned right off Lawrence and Central expressways on Cobalt and Apollo ways, providing easy access to U.S. Highway 101 and a nearby Caltrain station. Kalil Jenab and Dave Geissberger with Cassidy Turley represented the buyer, with Jenab also representing the seller. Jenab and Geissberger have also been retained as the project’s leasing service providers.
Rani Properties Acquires Flex Building in Sunnyvale as Part of Growth Portfolio
Real estate investor, Rani Properties, LLC has acquired an 18,000 square foot industrial/flex building in Sunnyvale, CA, for $3.51 million ($195 per square foot). The seller was Peng Capital, LLC The property is located at 1276 Hammerwood Avenue in an area just south of Moffett Park. The new owner will occupy about half of the building for its business, Paciwave, a microwave component and sub system manufacturer (www.paciwave.com). The other half of the building is occupied by a biotech company. The property is well located near Lawrence Expressway, California Highway 237 and U.S. Highway 101. Kalil Jenab and Dave Geissberger with Cassidy Turley represented the buyer.
Rani Properties also owns two other, similar R&D/flex buildings in Sunnyvale for a total of three properties. Paciwave, which also previously co-occupied both of those buildings at one point, has now twice relocated to allow each of the smaller companies in those buildings to expand and grow.
“Rani Properties ‘RPLLC’ has a small but growing commercial R&D portfolio,” said Parimal Kadakia, owner of Rani Properties and Paciwave. “While the trend has been for many similar properties to be converted to office or residential complexes, we seek to preserve small size R&D and industrial building properties to cater to small businesses or new ventures. We will continue to acquire suitable properties in Silicon Valley in this effort.”
Cassidy Turley provides this information based on best-available knowledge and does not warrant accuracy provided us by 3rd parties. For further verification and/or questions, please contact the brokers listed below with the particular news announcement.
Lead Contacts (listed alphabetical by first name):
Dean Panfili, (925) 627-2880, Dean.Panfili@cassidyturley.com
Jeff Moeller, (415) 781-8100, JeffMoeller@cassidyturley.com
Kalil Jenab, (650) 852-1200, Kalil.Jenab@cassidyturley.com
Ken Candelaria, (650) 852-1200, Ken.Candelaria@cassidyturley.com
Mike Moran, (650) 347-3700, Mike.Moran@cassidyturley.com
Steve Horton, (408) 615-3400, Steve.Horton@cassidyturley.com
Tenny Tsai, (408) 615-3400, Tenny.Tsai@cassidyturleycom
For market statistics or data, please contact:
Garrick Brown, Vice President, Research—Western US, (916) 329-1558, Garrick.Brown@cassidyturley.com
About Cassidy Turley
Cassidy Turley is a leading commercial real estate services provider with more than 4,000 professionals in more than 60 offices nationwide. With headquarters in Washington, DC, the company represents a wide range of clients—from small businesses to Fortune 500 companies, from local non-profits to major institutions. The firm completed transactions valued at $25.8 billion in 2013, manages approximately 400 million square feet on behalf of institutional, corporate and private clients and supports more than 24,000 domestic corporate services locations. Cassidy Turley serves owners, investors and tenants with a full spectrum of integrated commercial real estate services—including capital markets, tenant representation, corporate services, project leasing, property management, project and development services, and research and consulting. Please visit www.cassidyturley.com for more information.
Cassidy Turley announced in a press release on September 22 that it has entered into an agreement with an affiliate of DTZ Investment Holdings, backed by TPG, PAG Asia Capital and Ontario Teachers’ Pension Plan (the Consortium that agreed to acquire DTZ), to sell 100% of the equity interests of Cassidy Turley. The agreement is subject to customary closing conditions and is dependent on Cassidy Turley’s combination with the operations of DTZ Group (DTZ) to create a global, full-service commercial real estate services company. The Consortium’s acquisition of DTZ is currently scheduled to close in early November 2014. The acquisition of Cassidy Turley is expected to close on December 31, 2014.
Cassidy Turley provides regional real estate services in Northern California. With 13 Northern California offices and a 400-member team, our Northern California market leadership is demonstrated by completion of over 3,950 transactions, totaling $6.0 billion in 2013.