California investor grabs several office buildings in south San Jose
Kennedy Wilson pays $53.5 million for the properties
Kennedy Wilson, a busy California investor, has scooped up several south San Jose buildings in a deal that shows buyers hunger for commercial properties in a wide range of Silicon Valley sites.
A fund managed by Kennedy Wilson has bought several buildings that front on Great Oaks Boulevard, Santa Teresa Boulevard, San Ignacio Avenue, and Via Del Oro in south San Jose.
“We are confident in the long-term prospects of the greater South Bay market where Kennedy Wilson Fund VI currently owns investments in excess of 660,000 square feet of commercial space,” said Nick Colonna, president of commercial investments with Kennedy Wilson, a real estate investment firm.
The Kennedy Wilson group paid $53.5 million for the buildings, according to property documents filed with Santa Clara County officials on June 30.
“We were eager to move on an opportunity to acquire a high-quality portfolio with such a strong tenant base,” Colonna said.
The six buildings involved in the most recent deal total 257,000 square feet, according to Kennedy Wilson.
Kennedy Wilson executives believe the just-purchased buildings will be strong assets even during a time when corona virus linked worries have cast uncertainties over just how crowded office buildings will be during an era of social distancing.
Plus, it isn’t clear when business shutdowns mandated by state and local government agencies will be relaxed sufficiently to allow companies to re-deploy workers to currently shuttered campuses and office buildings.
“With return-to-work arrangements in flux, these six buildings are perfectly suited to adapt to the needs of a range of tenants long into the future,” Colonna said.