It’s from KBS
SFF Realty Partners is acquiring a three-building, 416K SF office campus in downtown San Jose.
SFF Realty Partners built on a recent acquisition streak in South Bay office property with the $82M acquisition of The Almaden in downtown San Jose.
SFF purchased a three-building, 416K SF Class-A office campus at 1, 55 and 99 Almaden Blvd. in San Jose’s high-profile South First Area District of KBS Rest Investment Trust III. The campus was built between 1979 and 1982 and is anchored by Zoom Communications, occupying about 25% of the available space.
The property sold at $197 per SF, lower than the $360 per SF that KBS paid for The Almaden in 2015, the Silicon Valley Business Journal reported. KBS also invested $49M in capital to upgrade the building over a decade.
SFF has been in tears. In the third quarter, it deployed more than $160M to acquire 580K SF of office space at 384 Santa Trinita Ave in Sunnyvale, along with 2350 and 2390 Mission College Blvd. and 2550 Walsh Ave in Santa Clara, Kidder Mathews reported.
San Jose’s downtown office market, like San Francisco and Oakland to the north, has been largely vacated in the wake of the pandemic.
Artificial intelligence-driven demand for prime Class-A space reigning in San Francisco’s central business district has yet to reach the middle of the South Bay, however – office availability in downtown San Jose remains north of 40% in Q3 2026, Savills researchers found.
Availability in all Silicon Valley submarkets, however, was 21.8%. SFF Realty Partners bets that downtown San Jose has been primed for a spillover that tightened vacancies in many key Silicon Valley submarkets and has almost filled all of San Francisco’s most-coveted office buildings.
“We have seen a huge change in terms of safety, vibrancy and energy in the town centre [San Jose] over the past three to five years,” SFF Managing Partner Casey Hold told SVBJ.