200 S. Mathilda Ave., an office building in downtown Sunnyvale. (Jeff Peters, Vantage Point Photography)
SUNNYVALE — A big downtown Sunnyvale office building leased to Uber has been bought by a veteran Bay Area real estate player in a sign that high-profile tech tenants remain a magnet for investors.
The building, located at 200 S. Mathilda Ave., was bought for a price in the neighborhood of $185 million, according to estimates provided by commercial property experts familiar with the details of the transaction.
“This is a highly appealing Silicon Valley asset leased long-term with a strong tenant in place in an area that continues to attract companies because of the deep regional talent pool, especially in engineering,” said Charlie McEachron, an executive with Drawbridge Realty.
San Francisco-based Drawbridge Realty bought the five-story office building, located at the corner of South Mathilda Avenue and West Washington Avenue, from New York City-based JPMorgan Chase.
“The price is appropriate for this type of well-located building with a credit tenant,” said David Sandlin, an executive vice president with Colliers, a commercial real estate firm.
The building is located in a section of Sunnyvale undergoing a dramatic transformation that includes the addition of Whole Foods Market and AMC Dine-In Sunnyvale 12 movie theater as anchors of the new downtown.
Thousands of residences and a number of smaller retailers and restaurants have also been added in downtown Sunnyvale. The ongoing efforts by developers in downtown Sunnyvale have energized the city’s urban core.
“Downtown Sunnyvale is a great market,” Sandlin said. “We are seeing a pause in the South Bay marketplace, but things will pick up again after the holidays.”
Eastdil Secured, a commercial real estate firm, helped to arrange the purchase of the 200 S. Mathilda office building, which totals 157,000 square feet.
“200 South Mathilda is truly transit-friendly, situated very close to Caltrain but with excellent parking and easy access to communities throughout the Peninsula and greater Bay Area,” said Jaden Rosselli, a Drawbridge executive.
Originally published at George Avalos