Big site now owned by ‘innovative’ developer
Property could become a choice redevelopment location
A big site in north San Jose that includes a Lowe’s hardware store is now fully controlled by a developer with a penchant for unusual redevelopment projects.
In separate property purchases this year, the most recent just a few days ago, an affiliate of Orton Development has bought about 13.3 acres near the interchange of Interstate 880 and Brokaw Road, documents filed with the Santa Clara County Recorder’s Office show.
Emeryville-based Orton now owns all the land beneath a Lowe’s hardware store, as well as adjacent retail buildings on a property near Ridder Park Drive, according to the county records.
All told, Orton Development paid $55.6 million for the properties, including transactions in May and November of this year, the county documents show. In the May purchase, Orton affiliate 775 Ridder Park Drive paid $41.8 million for the land beneath the Lowe’s site. And on Nov. 16, Orton affiliate Lake Natoma Associates paid $13.8 million for some smaller parcels, including a retail building whose tenants now include DaVita Silicon Valley Dialysis.
The seller in the recent transaction was Peter Pau, a high-profile Bay Area developer. David Taxin, a partner with Meacham/Oppenheimer, a commercial real estate firm, arranged the recent transaction.
“Orton is very innovative and they are forward-thinking with their projects,” Taxin said. “Orton has developed some very interesting projects.”
Among the high-profile redevelopment sites in the Bay Area that Orton owns:
• Ford Point in Richmond, a former Ford Motor vehicle assembly factory that’s nearly fully leased to tenants such as SunPower, Columbia Sportswear and Ekso Bionics and includes a restaurant with scenic views of the Bay.
• Oakland Civic in Oakland. The historic site of the former Oakland Auditorium and Calvin Simmons Theatre is being redeveloped. It will be converted into commercial space as well as office, practice and performance space for local artists, makers and performers.
• Flint Ink in Berkeley. A former ink factory, the property has been revamped and now has tenants that include two wineries, a solar power company and a printing company.
• Contra Costa Industrial Park in Pittsburg. A former U.S. Steel foundry, the complex is now a multi-use industrial center that BART and SF Muni use to make and repair rail cars.
“Orton has made a savvy real estate purchase with the Ridder Park site,” said Bob Staedler, principal executive with Silicon Valley Synergy a land-use consultancy. “There has been continued interest over the years for strategically located sites in North San Jose.”
The site may not be redeveloped right away, since the primary tenant — Lowe’s — previously obtained a ground lease for a number of years, according to Taxin. Over the next several years, however, the property could become a prime redevelopment site, Taxin said.