Bixby's Big Sale
Bixby sold its River Oaks property in San Jose for $52M to American Realty Capital last week, just three years after the developer bought the three-building property piecemeal for $19.5M. We asked Bixby CEO Bill Halford how his $10M upgrade paid off in a crazy ROI. Bixby added value to the deal with the ability to aggregate the three buildings in two separate acquisitions before the market had shown any signs of recovery. Bixby envisioned a significant redesign, leveling perimeter berms, and completely revamping the building elevations. The finished product? A 30k SF "Bixby Retreat" common area redevelopment that added a totally new element to the onsite amenities and gave the project new identity, he says.
Among the perks of the outdoor "living room" area: This lunchtime game spot. (Forget the power lunch. True strength is finessing your bocce toss.) Data company Nimble Storage has leased the entire 165k SF complex for its US HQ. Like many landlords, Bill says this was a good time to sell, with the property fixed (and filled) up. The sale reflects broad institutional interest in acquiring high-quality real estate backed by long-term leases to creditworthy tenants, he tell us. Its revamped THE Campus just locked down Verizon in a monster lease last month. Bixby's next big move: the makeover of its 405k SF Santa Clara project, in the next 60 days.
