Real estate digest
Google to buy headquarters building from Silicon Graphics
Silicon Valley / San Jose Business Journal
Google Inc. said on June 14 it will pay $319 million to buy the property containing its headquarters.
Mountain View-based Google said the portion of land comprises about 978,000 square feet and includes 1600 Amphitheatre Parkway and 1200 to 1500 Crittenden Lane.
Google has been subleasing office space at the property from Silicon Graphics Inc., which filed for Chapter 11 bankruptcy protection in May.
The purchase is subject to city approval and court approval of SGI's bankruptcy. If SGI's bankruptcy goes through, Google expects the transaction to close no later than the end of June.
Google will also have to pay $140,000 each month to Mountain View under a ground lease for the Amphitheatre Parkway property, as well as $175,000 a month for the Crittenden Lane property.
San Diego REIT to buy Sun's campus
BioMed Realty Trust Inc. said on June 8 it has agreed to buy the Newark campus of Sun Microsystems Inc. for about $215 million, excluding closing costs.
San Diego-based BioMed, a real estate investment trust, said the purchase includes 10 buildings comprising about 1.4 million square feet of primarily office space, as well as undeveloped land.
Santa Clara-based Sun will lease part of the campus in phases over an 18-month period.
BioMed said it eventually intends to re-market and redevelop the space for use by life science tenants.
"This acquisition is a tremendous opportunity for our company and our stockholders," said Alan Gold, president and chief executive of BioMed, in a prepared statement. "This asset is well-positioned to capitalize on improving office and laboratory market fundamentals and generate attractive returns."
The acquisition is expected to close in the third quarter.
In May, Sun announced plans to cut costs and resize itself, with the primary cuts coming in head count. The company earlier said it would close more than 120 offices in the coming months, selling its leased facilities in Sunnyvale along with its Newark campus.
Intero promotes regional presidents
Intero Real Estate Services said on June 14 it has promoted three of its top executives.
Cupertino-based Intero said Tom Tognoli is now regional president of Silicon Valley, John Thompson is regional president of the peninsula, and Jeff Sposito holds the post for the East Bay.
Mr. Tognoli, who is also the co-founder and chief operating officer of Intero, has more than 18 years of experience in real estate, the company said. He was named chief operating officer in 2005.
Mr. Thompson, who was born and raised in Silicon Valley, has more than 15 years' experience in residential real estate and managing branch operations.
Mr. Sposito has 30 years of experience in real estate management and ownership, Intero said.
Intero, which was founded in 2002, has more than 1,500 agents in over 45 offices serving California, Arizona and Hawaii.
CalPERS, 3 others, back infill fund
New Faze Development, MacFarlane Partners and Weyerhaeuser Realty Investors jointly said on June 13 that the California Public Employees' Retirement System (CalPERS) is investing in a $73 million fund designed to meet the growing demand for urban homeownership in California.
The fund, which will focus on developing housing in infill locations statewide, will be managed by a new partnership involving the three firms: New Faze, a smart-growth development firm based in Sacramento; real estate investment manager MacFarlane Partners; and Weyerhaeuser Realty Investors, which has invested in single-family housing developments for more than 35 years.
Most Read Stories |
Most Emailed Stories |
