Tech Giant Has Now Taken At Least 475,000 Square Feet In Three Business Parks In Silicon Valley City
Apple Inc. has leased a new 156,000-square-foot building in downtown Sunnyvale, CA, the third large lease by the technology company in the city since last fall.
Long associated with its headquarters in Cupertino, Sunnyvale's southerly neighbor, Apple will occupy the building in the Sunnyvale Town Center at 250 S. Mathilda Ave. at McKinley Avenue in about the third quarter, according to a news release from Sunnyvale City Manager Gary Luebbers.
In a deal revealed last month, Apple signed a long-term lease for 215,472 square feet for four buildings at E. Arques Ave. in the nearby Sunnyvale Research Center, 12 miles from Apple’s headquarters. Last fall, Apple signed a lease for buildings of 44,000 and 64,376 square feet at 995 and 975 Benicia St. in the Peery Park submarket.
Last May, Nokia merged several of its Bay Area offices into a new regional office on Mathilda and Washington avenues in the Sunnyvale Town Center, next to what will become Apple’s building. Nokia brought about 500 employees to staff the Town Center site, and Apple is expected to add about 400 employees there.
Luebbers called the Apple’s signing "an important step forward" for the Town Center redevelopment project, which like numerous other properties, has run into challenges as a result of the economic downturn.
Wells Fargo appointed Quattro Realty as receiver and property manager of the Town Center in 2009 and took over ownership of the property last year from a partnership of REEEF and Sand Hill Properties.
"Our entire community will benefit as we see yet another large gain in the Town Center redevelopment project. The gain in the daytime business presence of several hundred more people will provide a boost to the city’s economy," Luebbers said. "They will inject more business into downtown and Murphy Avenue restaurants and shops."
Stephen Duffy, managing director of investment banking firm Moss Adams Capital, who is not a participant in the transaction, noted that Apple "is an ideal tenant in a mixed-use project such as Sunnyvale Town Center."
"Its credit as a lessee and the profile of its workforce has to be a perfect fit with the original concept behind this development," Duffy said.