Newmark has announced the $36.2 million sale of 1710 Automation Parkway, a 196,647-square-foot Research & Development (“R&D), flex building in San Jose, CA. The premier building was previously occupied by Western Digital and is currently vacant, providing an immediate lease-up opportunity with full-building user identity.
Newmark’s Vice Chairman and Head of Capital Markets Northern California Steven Golubchik, Vice Chairman Edmund Najera and Associate Directors Darren Hollak and Jack Phipps represented the sellers, Soma Capital Partners and Atlas Real Estate Partners, and the buyer, Exeter Property Group, in the transaction.
“1710 Automation is ideally located within proximity to some of the world’s most prominent technology companies and within a market that has experienced 12 percent rent growth over the past 24 months for R&D/Flex product,” said Najera.
1710 Automation is a freestanding headquarter building in the North San Jose submarket of Silicon Valley that has recently undergone a substantial market-ready renovation by the sellers to prepare the building for lease up.
The partial two-story building offers above-market infrastructure including 8,000 amps at 480V, dock and grade-level loading and ample parking. Additionally, the property is located just two miles from both the Milpitas and Berryessa BART stations and is walking distance to various retail amenities and residential communities.
While leasing activity is subdued during the pandemic, capital markets interest is still high, according to Newmark Research. Companies are ready to invest in Silicon Valley for the long term. As the economy begins to recover, Silicon Valley is anticipated to recover faster than other urban markets.
About Soma Capital Partners
Soma Capital Partners (SCP) is a privately held real estate investment and advisory firm based in San Francisco, CA managed by Jordan Caspari and Peter Horn. SCP invests in select West Coast markets across the risk-return spectrum on behalf of its institutional capital partners, and has acquired approximately 2.5 million square feet of commercial property since inception in 2014. For further information, visit www.soma-capital.com.
About Atlas Real Estate Partners
Atlas Real Estate Partners is a privately held real estate investment firm headquartered in New York, NY, focused on value-add investments in multifamily, student-housing, and office assets throughout the United States. Atlas is led by Managing Principals, Arvind Chary and Alex Foster. Since its formation in 2009, Atlas has closed over 50 acquisitions with a total capitalization of more than $1B. Additional information about Atlas can be found at www.atlasrep.com.
Newmark (“Newmark”), operated by Newmark Group, Inc. (“Newmark Group”) (NASDAQ: NMRK), is one of the world’s leading and most trusted commercial real estate advisory firms, offering a complete suite of services and products for both owners and occupiers. Together with London-based partner Knight Frank and independently-owned offices, Newmark’s 18,800 professionals operate from approximately 500 offices on six continents. Newmark’s investor/owner services and products include investment sales, agency leasing, property management, valuation and advisory, diligence, underwriting, government-sponsored enterprise lending, loan servicing, debt and structured finance and loan sales. Occupier services and products include tenant representation, real estate management technology systems, workplace and occupancy strategy, global corporate services consulting, project management, lease administration and facilities management. For further information, visit www.ngkf.com.
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