Prometheus Spends $132.5MM for Mountain View Site Planned for Housing

By Vladimir Bosanac

San Mateo-based Prometheus Real Estate Group purchased Mountain View offices located at 675-685 East Middlefield Road for a reported $132.5 million, or roughly $765 per square foot. The property is located within the city of Mountain View’s East Whisman Precise Plan, which the city is currently exploring for new residential land uses in the area. The General Plan identifies East Whisman as a highly-sustainable, transit-oriented employment center with a diversity of land uses, according to the city’s web site.

The seller was Blackstone Group, who purchased the building in December of 2016 as part of a $291 million portfolio purchase from Swedish pension fund Alecta. The asset was part of 22-property portfolio in the United States and 26 properties in the United Kingdom that the pension manager was selling at the time.

The Prometheus purchase was first reported by the Silicon Valley Business Journal.

The two story property was built in 1980, and according to Compstak, the property has two active leases for approximately 50,000 square feet each. American Gateway Marketing Group and Zynga both have leases in the building that are expiring this year.

It is not clear what Prometheus is planning with do with the property. In a statement to the Silicon Valley Business Journal, Randy Tsuda, the community development director for the city of Mountain View made it clear that Prometheus was well aware of the potential of the property’s potential and the plans under the East Whisman Precise Plan, which allows for high-density residential on that site.

Prometheus has a number of projects under way across the region. Its most recent is in its home town of San Mateo. As The Registry first reported in May of 2017, the company is proposing to redevelop a grocery store building located at 303 Baldwin Avenue and construct a five-story, 134,975 square foot mixed-use building on the nearly 1-acre site.

Prometheus Real Estate Group Mountain View East Whisman Precise Plan Blackstone Group Alecta Silicon Valley American Gateway Marketing Group Zynga

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