350 Cobalt Way, Sunnyvale, CA, 94085, US
Jones Lang Lasalle America’s, Inc. (JLL), as exclusive advisor, is pleased to present the opportunity to acquire the fee simple interest in 350 Cobalt Way (“350 Cobalt” or the “Property”), a partial two-story, 134,218 R&D asset located in Sunnyvale, California. Situated on a 8.3-acre site adjacent to the Lawrence Station Area Plan, 350 Cobalt is well positioned within one of Silicon Valley’s most dynamic and transit oriented submarkets. The Property is currently 100% owned and occupied by Fujitsu North America, Inc. (“Fujitsu” - S&P: A-), who will execute a leaseback through September 2023 and vacate upon expiration.
Ideally accessed by both the Lawrence and Central Expressway, 350 Cobalt sits in the center of the world’s most innovative and diverse tenant base amidst numerous high-profile and growth oriented campuses including Intuitive Surgical, Apple, Applied Materials, and Texas Instruments. Driven by robust tenant demand and leasing velocity, Silicon Valley, and Sunnyvale specifically, has witnessed one of the most remarkable large block leasing rallies in recent history, with over 12 million square feet of R&D/office leasing activity in the past 24 months. This push was in large part due to the emergence of new industries, from hardware to manufacturing to life sciences, in the Silicon Valley R&D market. As demand for R&D/advanced manufacturing space rapidly grows and vacant land becomes increasingly rare, redevelopment and conversions will account for 70% of new product by 2024.
Well positioned for the needs of today’s innovators, 350 Cobalt provides strong R&D infrastructure with 13,000 amps of power, ample clear heights, and a generous loading area. This infrastructure paired with full building tenant identity provides a rare investment offering in the Silicon Valley where there is a lack of move in ready, full building R&D space.
350 Cobalt’s current positioning and future development potential offers investors a rare and compelling repositioning opportunity within the rapidly evolving Central Sunnyvale submarket.
- Rare repositioning opportunity of scale with strong infrastructure specs
- Multiple paths to stabilization via redevelopment or renovation
- Located in a flourishing submarket proximate to the world's most diverse tenant base
- Increasingly supply-constrained submarket with robust tenant demand
- Superior market fundamentals and large block leasing velocity
- Prime Silicon Valley location proximate to mass transportation options