Lease on the 177,000-Square-Foot Building Ends March 2019
SUNNYVALE, CA (January 15, 2019) – Macy’s, is closing its downtown Sunnyvale store and exercising its lease termination right. This closure is part of a series of planned, previously announced lease terminations. Plans call for the store to begin its going-out-of-business sale in January and to close by April 9th, or earlier if inventory is all sold before that date.
The 177,000-square-foot Macy’s building was acquired from Sand Hill Properties in March 2018 by STC Venture, LLC, a joint venture between affiliates of Hunter Storm and Sares Regis Group of Northern California (SRGNC). STC Venture, LLC is developing CityLine Sunnyvale, a master-planned, cohesive, pedestrian-oriented, mixed-use district that will feature new residences, shopping, entertainment options, and office space planned across 36 acres.
“Macy’s was a valuable tenant to us and a central part of downtown Sunnyvale for many years,” says David N.P. Hopkins, Chief Operating Officer at SRGNC. “We look forward to continuing the completion of downtown, and we’re currently working to develop a well-coordinated, coherent plan for the Macy’s site that will build upon Murphy Avenue with new walkable retail. We’re confident that it will provide a wonderful, active environment for current and future business owners, residents, and office tenants alike.”
“We appreciate the many years that Macy’s has served our community and wish them the best,” says Sunnyvale Mayor Larry Klein. “We’re currently exploring options for the Macy’s site and will continue to focus on realizing the full vision of Sunnyvale’s downtown that best supports our residents and more than 150 active downtown businesses.”
Elsewhere in downtown Sunnyvale, leasing has begun on The Flats, a 198-residence development located in three buildings along Washington and McKinley Avenues. The Flats offers the first completed homes within the CityLine Sunnyvale project, including 25 residences designated as affordable. The Flats leasing office is located at the corner of Washington and Taaffe Avenues.
Construction has also begun on a two-story building on the corner of Murphy and McKinley Avenues that will house a Whole Foods Market and an AMC Theaters. Scheduled to open in 2019, the 52,000-square-foot theater and 52,000-square-foot grocery store will anchor the downtown district and help attract additional appealing retail and restaurant tenants to the area.
Twenty million dollars of public improvements are currently under construction for CityLine Sunnyvale, including the addition of landscaping and street trees, the installation of new traffic signals, and the construction of landscaped medians.
CityLine Sunnyvale was acquired by STC Venture, LLC in late 2015.
About Sares Regis Group of Northern California
Sares Regis Group of Northern California and its affiliates, Regis Homes Bay Area and Regis Contractors Bay Area, are regional companies based in San Mateo, California.As leading developers and managers of commercial and residential real estate in the western United States, the companies have more than 6.5 million square feet of commercial properties valued at $500 million and over 2,800 residential units under development. Since its inception, the company has acquired or developed approximately 46 million square feet of commercial properties and 20,000 multifamily and residential housing units. For more information, please visit: www.SRGNC.com.
About Hunter Storm
Hunter Storm, the development arm of Hunter Properties, is a commercial real estate development firm with an emphasis on ground-up construction, repositioning of assets, and value-add improvements. Hunter Properties was founded in 1960 and the current partners, Deke Hunter and Edward Storm formed Hunter Storm in 1986, with Curtis Leigh joining the team in 2004. The company enjoys a strong track record by focusing its efforts locally with all major projects located in the San Francisco Bay Area.
This allows the principals to leverage their market knowledge and expertise evenly across three product disciplines. Recent award-winning projects include Crossing 900 in downtown Redwood City, @First in San Jose which is a mixed-use project of over 1 million square feet, Bass Pro at Almaden Ranch and Village Oaks.