PALO ALTO — A veteran serious estate firm’s assets searching spree in Palo Alto has now topped $1 billion with the company’s newest order of a decision business campus in the South Bay tech hub, general public paperwork exhibit.
Alexandria True Estate, performing by way of an affiliate, has acquired a four-creating workplace elaborate on Hillview Avenue in Palo Alto, paperwork submitted on Jan. 6 with the Santa Clara County Recorder’s Place of work demonstrate.
The affiliate, ARE San Francisco No. 97, compensated $446 million for the places of work and a ground lease for the land beneath the quartet of structures, which have addresses of 3301 as a result of 3307 Hillview Ave., according to the county home data files.
The 4 properties with each other complete roughly 292,000 square toes, in accordance to a brochure circulated by CBRE, a business authentic estate organization that’s been promoting the assets.
Pasadena-primarily based Alexandria Real Estate acquired the properties, which are found in the prestigious Stanford Analysis Park space, by an all-income offer.
As is customary with residence transactions in the study park, Stanford College retained the ownership of the land beneath the 4 buildings and Alexandria Real Estate purchased a floor lease for the tech campus.
The county files indicated that Alexandria paid $267.6 million for the buildings and $178.4 million for the floor lease, bringing the full value of the deal to $446 million.
With the most current transaction, such as the price of the floor lease, Alexandria has used at least $1.37 billion paying for qualities in Palo Alto more than a 4-12 months interval that started out in January 2018.
Palo Alto is a person of the strongest business office marketplaces in the Bay Space, primarily because the town is a significant tech hub and has small emptiness premiums, in accordance to residence gurus.
The place of work intricate that Alexandria has bought, on the other hand, isn’t occupied, even though it is leased, in accordance to the CBRE brochure. The complete sophisticated is available for sublease, CBRE said in the brochure. The existing lease extends until March 2027, CBRE said.
Pasadena-centered Alexandria is eyeing a revamp of the 4 business office buildings to acquire benefit of the existing surge in leasing by lifetime sciences, health care device and biotech organizations, according to a Jan. 4 submitting by the organization with the Securities and Trade Commission.
“We hope to redevelop these spaces into business and laboratory space,” Alexandria said in the SEC files.