Apple leases Triangle Building in San Jose, starts upgrades

Company to rent all of the 86,000-square-foot six-floor building on Stevens Creek Boulevard

SAN JOSE » Apple has leased San Jose’s prominent Triangle Building perched along Interstate 280 and just a short distance from the tech titan’s primary employment hubs in Cupertino.

The iphone maker has leased all of the 86,000-square-foot office building at 5300 Stevens Creek Blvd. in San Jose, according to Santa Clara County public filings and sources familiar with the rental transaction.

“Apple is a very strong company and they are continuing to expand their operations locally,” said David Sandlin, an executive vice president with Colliers International, a commercial real estate firm.

Even after Apple’s move into the vast circular office complex at Apple Park in Cupertino, the company has pursued an array of transactions to obtain more office space, or assure itself of being able to keep offices, either through leases or property purchases.

These deals typically have occurred fairly near the company’s primary Silicon Valley operations in Cupertino.

‘”Apple is attempting to grow locally whenever an opportunity presents itself,” Sandlin said.

Outside of Cupertino, much of the company’s activity has been to obtain leases in Sunnyvale, some of them involving big sites. But Apple also has leased large office buildings and research facilities in Santa Clara.

One of the Santa Clara sites involves offices Apple has leased from legendary development firm Peery Arrillaga. The office space is located on the north side of Stevens Creek Boulevard, across the street from the Triangle Building.

Apple in 2012 leased a section of the Triangle Building with a rental agreement that would allow the company to exit the building before the lease term was completed. But property listing services indicated that Apple wasn’t continuously in the building over the years.

Now, public records show that Apple is again a tenant in the building, which is owned by an affiliate of Stockbridge Capital Group.

A considerable amount of construction work is underway inside the building. In recent days, activity was underway on all six floors of the building, and Apple logos were visible throughout the property.

Cupertino-based Apple didn’t respond to requests for comment about the lease and the interior upgrades on the office building, which was constructed in 1981.

Tech companies frequently launch major upgrades to older buildings to make them more attractive to their employees.

“Apple is going to continue to look for opportunities to expand near Cupertino whenever it makes sense for them,” Sandlin said.

Contact George Avalos at 408859-5167.