SANTA CLARA — Nvidia has crafted a deal to buy a big office campus in Santa Clara that is near the tech and artificial intelligence titan’s eye-catching headquarters.
Sobrato Organization, a legendary and stalwart real estate and development firm, owns, the buildings, which are all on San Tomas Expressway between Walsh Avenue and Central Expressway.
2721 San Tomas Expressway, an office building in Santa Clara. (Google Maps)
Related Articles
Oakland tower purchased for reduced $5.5 million price signals feeble market
South Bay office building flops into default as market woes widen
San Jose affordable housing development could sprout near BART stop
South Bay supermarket site is bought by firm tied to Canadian tycoon
Bay Area underground punk venue’s legacy lives on
Nvidia and the Sobrato firm reached the agreement for the properties around Dec. 18, according to documents filed this week with the Santa Clara County Recorder’s Office.
The buildings that Nvidia has agreed to buy from affiliates of Sobrato Organization have addresses of 2701, 2711, 2721 and 2731 San Tomas Expressway, the county public files show. An adjacent parking garage at 2741 San Tomas Expressway is also included in the purchase deal.
Numerous terms of the deal weren’t disclosed in the county filing, including the purchase price. A Sobrato Organization executive declined to comment about the situation.
The buildings together total about 500,000 square feet. The offices that the tech company is eyeing are across the street from the two-building Nvidia headquarters campus on San Tomas Expressway.
Santa Clara-based Nvidia is on a shopping spree for properties in the South Bay, seeking deals that enable the company to either gain control of buildings it had been leasing or buildings that represent an expansion.
Here are two examples of Nvidia deals in recent months:
— Nvidia paid $374.3 million in May 2024 to buy eight buildings in Santa Clara that occupy a site bounded by Central Expressway, Scott Boulevard, Walsh Avenue and San Tomas Expressway.
— In December 2024, Nvidia leased an office and research building in north San Jose that totals 101,600 square feet.
The deal that Nvidia and Sobrata have fashioned for the quartet of buildings on San Tomas Expressway fit the company’s recent inclination for expansion as it rides the wave of the artificial intelligence sector.
Each of the four office buildings that Nvidia has agreed to buy from Sobrato totals 125,000 square feet, according to the Compstak commercial property database.
Nvidia currently leases all four buildings from Sobrato. A bridge over San Tomas Expressway connects the company’s main headquarters campus with the buildings that Nvidia seeks to buy.
A recent surge in tech industry leases and property purchases helped to propel the South Bay office market to a big improvement in vacancy rates during the final three months of 2024.
