Location:
Mountain View, California
Size:
600,574 square feet
Purchased:
January, 2007
Purchase Price:
$131,000,000



Strategy: Presidio was attracted to the location of the Mountain View Research Park, both as a top tier submarket like Mountain View, and more locally, right off Highway 237. Its location allows tenants to attract human capital from throughout the Silicon Valley and the San Francisco peninsula. With a 59% occupancy rate at acquisition, over 162,000 square feet of expiring leases, and tired buildings both in and out, Presidio embarked on a multi-million dollar campaign to modernize the 1980's era architecture in the 16 building park. Financed by both a bridge loan and a mezzanine piece from Lehman Brothers, Presidio enhanced returns by leasing 154,443 square feet of market-setting leases. The park was acquired in an off-market transaction thanks to strong relationships with Eastdil Secured and Colliers, as well as a reputation for completing transactions in a tight timeframe.