By Kate Snyder
Menlo Park continues to attract attention from investors with the recent sale of an office building leased by Stanford Medicine, an affiliate of Stanford University, for $68 million, or approximately $1,521 per square foot, according to public records. The seller was an entity affiliated with Pollock Financial Group, and the buyer was an entity affiliated with Morgan Stanley. The sale was recorded on Jan. 5.
The sale was brokered by Newmark’s Steven Golubchik, Edmund Najera, Jonathan Schaefler, Jesse Millman and Darren Hollak.
“321 Middlefield received strong investor interest, displaying resilience within the medical office vertical,” said Golubchik. “Despite market turbulence, numerous groups pursued the acquisition of the property given its core location and tenant profile.”
The 44,719 square foot building is located at 321 Middlefield Road and sits on approximately 3.12 acres. The building is in Menlo Park’s Linfield Oaks neighborhood and is located just across the street from St. Patrick’s Seminary & University and just over a mile from the Menlo Park VA Medical Center. Other nearby attractions include the San Francisquito Creek and Burgess Park as well as local high schools, playgrounds and restaurants. The property is also close to both the Downtown North of Palo Alto and Stanford University.
The property is within a 10-minute drive from Stanford Hospital, the only Level-1 Trauma Center on the San Francisco Peninsula. Stanford Hospital offers 605 licensed beds, 101 licensed ICU beds and world-renowned staffing with over 23,451 employees, medical staff, nurses, residents and fellows. The hospital provides over two million outpatient visits, including 450 life flight transports annually.
321 Middlefield is nestled within the mid-Peninsula city of Menlo Park with a medium household income of $160,000 and median property value of over $2,000,000. The South Peninsula market totals approximately 39 million square feet of office space, with Menlo Park accounting for 6.5 million square feet of that space with a 12% vacancy rate, according to Newmark Research.
Based in New York City, Morgan Stanley is a global financial and investment firm that offers services in investment management, research and sales and trading, according to the company’s website.
Pollock Financial Group is a financial consulting firm based in Portola Valley that “has been serving ultra-affluent individuals and corporations with financial planning services since 1960,” according to the firm’s website.
Several sales transactions have been recorded in Menlo Park in the past six months.
In September 2022, an industrial property in Menlo Park traded hands for $24.8 million, or approximately $672.56 per square foot, according to previous reporting from The Registry. The buyer was an entity affiliated with Lift Partners, while the seller was an entity affiliated with Robert Berman in Palo Alto. The one-story building is located at 3575 Haven Ave.