The Mercury News

NetApp will move headquarte­rs to San Jose

Lease may be the largest one for new offices in South Bay

- By George Avalos gavalos@ bayareanew­sgroup.com

SAN JOSE >> NetApp will move its headquarte­rs to San Jose’s Santana Row and exit Sunnyvale after the tech giant struck a deal to sell its properties in Sunnyvale, executives said Thursday.

The company will move into 700 Santana Row, a modern office building that Splunk had previously leased and is now vacating ahead of the NetApp entry into San Jose.

“It’s great to have a storied Silicon Valley brand like NetApp moving its flagship to San Jose,” San Jose Mayor Sam Liccardo said in an interview.

NetApp sold its Sunnyvale campus for $365 million in a transactio­n that was accomplish­ed in tandem with the tech company’s lease of the offices in San Jose. The NetApp lease appears to be the largest new office lease in the South Bay so far in 2021, and the Sunnyvale sale is one of the biggest property purchases in the region this year to date.

“Our constructi­ve approach to the future of work and our new global headquarte­rs will enable us to create a differenti­ated work experience that empowers our employees to deliver their best team-based work in a more connected space,” said George Kurian, NetApp’s chief executive officer.

The cloud-based data services and data management company is evolving to a flexible hybrid work mode, Kurian added. The coronaviru­s outbreak has intensifie­d NetApp’s transforma­tion to enable it to prosper in the COVID era, the companysai­d.

“NetApp’s new headquarte­rs will keep the company in the heart of Silicon Valley and more closely embed it with the local community,” NetApp said.

Throughout the rest of 2021, NetApp intends to further customize its new headquarte­rs and start moving into the offices, the company said.

Tishman Speyer, one of the world’s most successful real estate developmen­t and investment firms, bought the NetApp campus in Sunnyvale, a complex of multiple buildings that totals 700,000 square feet.

“Silicon Valley is at the epicenter of the innovation economy and demand for high-quality office space, specifical­ly around Moffett Park, is very strong,” said Rob Speyer, president and chief executive officer of Tishman Speyer.

Tishman Speyer intends to find new tenants for the Sunnyvale campus and will dangle an array of amenities in front of prospectiv­e occupants. Widerangin­g capital improvemen­ts are planned for the choice complex.

“Most of the property’s broad array of amenities, including a gym with basketball court, lockers, showers, outdoor volleyball court, executive briefing center, a full-service cafeteria, multiple kitchens, break centers, phone rooms, and other common areas, will be retained,” Tishman Speyer said.

In San Jose, executives with Santana Row quickly embraced the new tenant in the iconic mixed-use destinatio­n center of offices, restaurant­s, shops, hotel facilities, homes, entertainm­ent hubs, and parks.

“As a dynamic live-workplay destinatio­n that attracts world-class companies, we are thrilled to welcome a leading global organizati­on like NetApp to Santana Row’s lineup of office tenants,” said Jan Sweetnam, an executive vice president with Federal Realty, Santana Row’s principal owner and developer.

 ?? WRNS STUDIO ?? NetApp is moving out of Sunnyvale and will occupy the former site of software firm Splunk at 700 Santana Row.
WRNS STUDIO NetApp is moving out of Sunnyvale and will occupy the former site of software firm Splunk at 700 Santana Row.

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