Longfellow acquires Palo Alto Technology Center in California from KBS
Real estate industry news : Longfellow Real Estate Partners has acquired the Palo Alto Technology Center (PATC) in Palo Alto, California from private equity real estate company KBS for $205 million.
The purchase of the Palo Alto Technology Center marks the fifth acquisition in the US West Coast since late 2018 for Longfellow Real Estate Partners, which is focused on investing in life science, lab and innovation space across the country.
The property was purchased by KBR in 2012 on behalf of a sovereign wealth fund.
Commenting on Longfellow acquisition of Palo Alto Tech Center, Brent Carroll – senior vice president for KBS and asset manager of the property, said: “There is no question that Silicon Valley is one of the premier destinations for office tenants.
“Additionally, the barriers-to-entry in this market are very strong on all fronts – physical, political and financial. We are sure the new owners will enjoy the same success we’ve seen in the area.”
Palo Alto Technology Center is located three miles from Stanford University and is near the Stanford Research Park. Its ten buildings total 259,586 square feet with almost 99% of the campus given for leased to tenants like Stanford, Aurora Innovation, Bill.com, and Eversight.
Longfellow acquisition of Palo Alto Tech Center. Photo: Business Wire.
Nick Frasco – West Coast Managing Director of Longfellow, commenting on Longfellow acquisition of Palo Alto Tech Center, said: “Palo Alto Tech Center’s proximity to Stanford University and the world-renowned Stanford Research Park, along with its premier tenancy and desirable physical attributes make it an excellent candidate for Longfellow’s signature lab and tech office repositioning.”
The acquisition grows Longfellow’s portfolio to more than two million square feet on the West Coast and includes Bayshore Technology Park and Palo Alto Technology Center in the San Francisco Bay Area along with the Inspire, Sycamore, and Roselle campuses in San Diego.
The total portfolio of Longfellow includes more than 4.7 million square feet of life science and tech space, which are owned and under management in innovation hubs like Greater Boston, North Carolina’s Research Triangle region, and Philadelphia.
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