SAN JOSE and Sunnyvale, CA—CBRE has completed sale of Corporate Technology Centre, an eight-building Class A office/R&D campus totaling 615,233 square feet, and a separate sale in Sunnyvale of the seven-building Oakmead West complex, which amounts to 431.490 square feet.

At Coporate Tech Centre, CBRE represented seller, Equity Office. The asset was purchased by KBS Realty Advisors for an undisclosed price and was 100% leased at the time of the sale with tenants including Ericsson, AT&T and Dell.

In Sunnyvale, the two-story Oakmead West buildings were 97% leased at the time of the sale and purchased by Deutsche Asset & Wealth Management for an undisclosed price. CBRE's Northern California Institutional Group led by Joe Moriarty represented the sellers, in both transactions.

“The north San Jose market is continuing on a fast and furious pace in regards to investor interest and tenant demand due to its competitive rental rates as compared with top-tier submarkets,” says Moriarty. “That said, core assets like Corporate Technology Centre that are located in this prime location will continue to have credit tenancy and strong in-place cash flows.”

The buildings in Corporate Technology Centre are situated on eight separate legal parcels and are steel frame construction and offer access to State Highway 237, US Highway 101 and Interstate 880. The buildings range from 20,009 to 101,194 square feet and have an average floor-plate of nearly 31,500 square feet. Built in 1999 and 2001, the buildings are substantially newer than the average office/R&D product in Silicon Valley.

Built in 1998, Oakmead West is located within two blocks of Lawrence Expressway and in proximity to US Highway 101. The buildings feature steel frame construction with fullheight glass lines on the ground floor and are situated in an integrated campus setting, which includes heavily landscaped walkways and courtyards.

“The Oakmead West sale marks another important step for the Silicon Valley R&D market which posted its ninth consecutive quarter of positive net absorption,” says Moriarty. “With global technology tenants like Apple, Microsoft, HP and Google occupying significant space in the Sunnyvale market, we expect continued interest in the area and, in turn, continued rental growth over the next five years.”

CBRE Group, Inc., a Fortune 500 and S&P 500 company headquartered in Los Angeles, is the world's largest commercial real estate services and investment firm (in terms of 2012 revenue).

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CBRE Sells Two Massive Office Complexes

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