By Jon Peterson
New York City-based Morgan Stanley Real Estate has acquired the 506,490 square foot, Tesla-leased 901 Page Avenue industrial/office flex property in Fremont for $110 million, or around $217 per square foot, according to sources aware of the transaction.
Morgan Stanley did not respond to an email seeking comment for this story.
The seller of the property was San Francisco-based DivcoWest Properties. The listing agent on the sale was JLL, whose efforts on the transaction were led by Will Connors, a managing director for the company in its Menlo Park office. DivcoWest declined to comment for this story, as well, and JLL did not respond for this story in time of its publishing.
901 Page Street has a mixture of both industrial and office space. The property is now 100 percent leased to Tesla, which has been occupying this asset since 2015. The property at one point was the home for the failed solar energy company Solyndra, before the company went bankrupt and the asset became fully vacant.
DivcoWest had been the owner of the property since September 2016. It had acquired the property for $70.9 million, according to public documents. The real estate investment firm had acquired the asset for its commingled fund called DivcoWest Fund V. This is a 2017 vintage commingled fund for which the manager raised a total of $1.585 billion of equity capital.
San Francisco-based Stockbridge Capital had been the owner of the asset before DivcoWest. The manager had acquired the asset for $42.5 million in December 2010, according to published reports. The seller then was Overton Moore Properties, a Gardena, Calif.-based company known for its development and ownership of industrial assets.