URGENT UPDATE: Rosendin Electric, a historic electrical contractor with roots in San Jose since 1919, has just finalized the purchase of The Orchards, a significant office and research complex located at 3000 and 3030 Orchard Parkway. The deal, valued at $23 million, marks a pivotal move for the firm as it consolidates multiple operations into a cohesive work hub.
This acquisition, confirmed by a grant deed filed with the Santa Clara County Recorder’s Office on August 29, represents more than just a real estate transaction. It signals a growing trend of revitalized interest in the San Jose office market, particularly in the northern region. An affiliate of Barings, the real estate investment firm that sold the property, received the $23 million payment, alongside an undisclosed amount from two departing tenants who terminated their leases, according to multiple sources close to the transaction.
Real estate experts from Newmark and Colliers, including brokers Joe Kelly, Jon Mackey, Steven Golubchik, Edmund Najera, and Michael Rosendin, facilitated this significant deal. The Orchards spans 144,900 square feet across two buildings, providing ample space for Rosendin Electric’s expanding operations.
This transaction is part of a wave of recent office acquisitions in the area. Notable deals include:
– In June, E Ink Corp. purchased a San Jose office building at 3200 North First St. for $22.7 million.
– In September, Vibrant Wellness acquired an office building at 3100 North First St. for $17.5 million, aiming to expand its biotech operations.
– Earlier this year, Goodwill of Silicon Valley secured a new headquarters site at 1600 Technology Dr. following a failed property loan.
– Additionally, Nvidia announced improvements on its office building at 300 Holger Way for future expansion.
– Archer Aviation has also leased an office building at 10 West Tasman Dr., previously reclaimed by a lender through foreclosure.
The ongoing development in San Jose’s office landscape highlights a competitive market fueled by companies looking to adapt to post-pandemic work environments. Rosendin Electric’s decision to consolidate operations reflects a broader strategy among businesses to create unified and efficient workspaces.
As this story develops, industry analysts will be watching closely to see how the shift in office space dynamics will play out in this bustling tech hub. Stay tuned for further updates on this emerging trend in San Jose’s commercial real estate sector.
