Santa Clara University purchased the 7-acre property occupied by Zazzle Inc. in San Jose. The University has acquired a 132,000-square-foot manufacturing building located at 1185 Campbell Ave., just east of its main campus for $25 million, or $189 per square foot, according to a report by the Silicon Valley Business Journal. Zazzle has been the tenant of the purchased property for the last five years and the lease runs for another 18 months.
“It was a unique opportunity for us that happened to be in the right place at the right time,” said Scott Connelly of Barry Swenson Builder, the seller. The venerable Silicon Valley company has owned the building for decades, but found a buyer in a set of unique circumstances that do not often occur in the industry.
This is SCU’s first acquisition in San Jose, although it also owns the Santa Clara University Villas, which straddles the Santa Clara/San Jose city lines. No current plans to re-develop the property have been announced. The zoning for the acquired property is light industrial.
Santa Clara University already had a full development plan for their main campus valued at $600 million, which includes student residences, a science and technology complex, a new building for the School of Law and a renovation of the student center. This master plan would replace parking lots and other underused areas of the campus. The University is also due to complete an art and art history building in about six months.