The price paid isn't being revealed, but sources tell GlobeSt.com the price works out to about $210 per sf, or a little more than $111 million. The buildings are split between two separate developments known as project 702 and project 703. The former includes six buildings totaling 248,835 sf accessed off North 1st Street, Daggett Drive and Zanker Road. Project 703 is a four-building, 257,806-sf development accessed off East Trimble Road and Junction Avenue.
Tom Loeswick and Greg Cioth of Colliers International's Investment Services group represented both sides in the deal. "This was a joint venture deal with two money sources," says Loeswick, a senior vice president and director in the San Jose office. "For deals in the $100 million plus range, we are seeing more people partnering up to spread the risk a little bit."
That was back before the end of the year, however. Now, says Loeswick, things are pretty quiet due to "a lot of people sitting on the sidelines trying to figure out exactly what's going to happen with the stock market and the economy."
The deal for the 10-buildling portfolio went down shortly before Divco announced the acquisition of 534,737 sf in eight industrial-flex buildings in Santa Clara and Milpitas for upward of $125 million, or about $245 per sf.
© Touchpoint Markets, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to asset-and-logo-licensing@alm.com. For more inforrmation visit Asset & Logo Licensing.
