Headway Technologies buys big Milpitas site suitable for expansion
MILPITAS >> Headway Technologies has bought a big Milpitas office and research complex on a site that could enable the tech company to undertake a large expansion in Silicon Valley, providing a hopeful sign amid the coronavirus economic woes.
The maker of data storage products has purchased an 11.4-acre site in Milpitas that includes structures and land on South Milpitas Boulevard, according to Santa Clara County property records that were filed on July 30.
The deal is a reminder that despite the economic uncertainties and business shutdowns linked to the coronavirus, Silicon Valley is deemed to be an attractive area for property investments.
“It’s a great sign for Silicon Valley that Headway has chosen to buy during this Covid-19 pandemic,” said Bob Staedler, principal executive with Silicon Valley Synergy, a land-use consultancy.
Headway Technologies already has a headquarters site at 682 S. Hillview Drive in Milpitas, according to the company’s LinkedIn page.
The building that Headway Technologies bought totals about 161,000 square feet, which is large enough to accommodate 800 workers.
“Headway employs approximately 650 people in engineering, manufacturing and administration roles” at its Milpitas location, Headway Technologies stated on its LinkedIn page.
Headway paid about $31.2 million for the parcel, which has addresses that range from 461 to 631 S. Milpitas Blvd., according to county public documents.
The seller was Orinda Equity Partners, which is an affiliate controlled by executives and family members associated with Orinda-based Paulsen Investments & Management. A representative for the Paulsen firm confirmed the property transaction but didn’t provide further details.
“The data storage industry is going strong and the need for components hasn’t slowed down,” Staedler said.
Milpitas-based Headway didn’t respond to inquiries from this news organization to discuss the transaction. Headway Technologies is a unit of TDK, a Japan-based electronics company.
“Headway Technologies is strategically positioned to play a key role in the storage industry of the future,” the company states on its LinkedIn page. “Using our broad and fundamental understanding of recording head technology, we develop products that provide our customers with significant performance advantages.”