SAN JOSE, CALIFORNIA
|Address:||51, 77 & 145 Rio Robles, San Jose, CA|
|Type:||Office / R&D|
|Date Acquired:||September 2012|
Rio Robles was acquired by Ridge in partnership with its institutional capital partners in 2012. The property is a three building, Class A Office/R&D corporate campus situated within the Golden Triangle of Silicon Valley. Located in the North San Jose submarket, the asset was fully repositioned with best in class finishes and fully leased to two technology tenants.
In comparison to replacement cost of $275/sf at the time, the overall basis of $200/sf was compelling. Given the favorable basis, rapidly improving office/R&D market, and the opportunity to add meaningfully to the performance of the property with new leasing, the investment achieved very attractive risk-adjusted returns through the 16-month ownership period. The property was sold to an institutional investor in 4Q2013, generating deal level returns (IRR) in excess of 50%