With an increasing number of tech companies showing interest in expanding to downtown San Jose, it’s safe to say Google may have started a trend. Towards the end of 2016, the search giant purchased a slew of buildings and vacant lots downtown, and since then, other influential companies have expressed similar interests, including Boston Properties.
According to The Mercury News, Boston Properties has recently been in communication with San Jose planners to discuss the development of three new office high rises on a property currently being used for parking, between downtown San Jose’s convention center and the Guadalupe River. Though the company’s owned this property for several years now, Google’s recent expansion activities may have accelerated Boston Properties’ plans to take action towards developing the property.
The article quotes Bob Staedler, a principal executive with development and land-use consultancy, Silicon Valley Synergy, as saying “’Boston Properties has had plans for years on this site, and now with the velocity in the downtown San Jose market and the Google bounce, it might be the right time to do this project.’”
While Boston Properties’ submission to city planners doesn’t include specific information about the proposed size of the buildings, there’s speculation that the three buildings combined would total approximately 840,000 square feet, based on information that was circulated several years ago via a marketing flyer for the site. In fact, it’s estimated that one building will total 320,000 square feet, with the other two being 260,000 square feet.
Interestingly, and possibly resulting from Google’s interest in expanding to downtown San Jose, current building values in the area continue rising. As a matter of fact, the July 2017 AEW Capital Management tower purchase for $80.2 million exemplifies a record-high value for an office building in downtown San Jose.
(Read the full article from The Mercury News here.)
Take advantage of the downtown San Jose revitalization
Only time will tell if Boston Properties chooses to lease the new office space to another tech company or use the space for their own operations. Either way, though, it’s clear that downtown San Jose is certainly about to become the new home for some of the country’s largest companies.
Don’t miss out on this chance to be part of a blossoming community in downtown San Jose! If you’re thinking about purchasing property in the area, browse our current MLS listings or contact us today for more information.