A group of Bay Area investors have purchased a newly-built office campus in north San Jose. Orchard Corporate Center was bought on Jan. 25 by an entity linked to San Francisco Prosperity, a Burlingame-based firm lead by executives Michael Tzu-Wen Wang and Victor Lo, The Mercury News first reported.
The deal was reportedly worth $47.8 million and buyers used a $33.5 million loan to finance the purchase. The 101,000-square-foot campus at 2755 and 2777 Orchard Parkway comprises two buildings of office and research and development space.
The 5.3-acre property was built in 2017 by Los Gatos-based developer South Bay Development Company, and is fully leased. Semiconductor company MegaChips and telecommunications equipment provider Calix are the current tenants in the complex. Calix, the Silicon Valley Business Journal reported, has more than 150 employees.
North San Jose has drawn attention from large tech companies looking for offices in the heart of Silicon Valley, making the area particularly attractive to investors. Apple and Google recently purchased property for prospective office space in the area. Hewlett Packard is moving its headquarters from Palo Alto to north San Jose, joining Paypal and Cisco, both of which are already based in the area.
“Orchard Corporate Center is a strong-performing, high quality asset fully leased to two long-term tech tenants and is surrounded by some of the world’s biggest and most influential technology companies,” Eric Fox, Cushman & Wakefield managing director, said in a media statement announcing the deal.