Hines Targets South San Jose For More Industrial Development
Hines' bullishness on the South San Jose industrial market continues, with the company submitting plans for a 210K SF warehouse on two parcels totaling 16 acres at 644 and 675 Piercy Road.
Hines acquired the property at 644 Piercy Road in June for $19.9M, according to The Real Deal.
Hines previously acquired a parcel at 550 Piercy Road that the company also wants to redevelop into a 423K SF industrial project. This brings the company’s total development pipeline in South San Jose to 633K SF, according to TRD.
Silicon Valley is not traditionally known for its stock of distribution facilities, but as warehouse needs increase along with the American public’s interest in online shopping, developers are taking note of the Bay Area as a good place from which to access large populations.
Still, advanced manufacturing is most commonly found in industrial buildings throughout the Bay Area, according to a JLL Industrial Insight report for Q2 2022. The total vacancy for the property type sat at 3.7% for the quarter, according to JLL.