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outh Bay Development has acquired a seven-building office campus in Santa Clara for $51 million, significantly less than its value four years ago. The 410,100-square-foot complex, known as The Quad at Tasman, was sold by TMG Partners to an affiliate of the Los Gatos-based investor. Located near Levi's Stadium, the campus offers amenities such as a fitness center, cafe, and EV charging stations.
The deal marks a reset for South Bay office values, with a price per square foot of $124. In 2020, TMG Partners purchased the campus for $152 million, or $371 per square foot. The complex was once home to Silicon Valley Bank's headquarters before its collapse last year. Current tenants include GoDaddy, Perspecta, and Knowles.
South Bay Development has acquired over 35 million square feet of commercial properties and hundreds of acres of land since its founding in 1978. TMG Partners has faced financial challenges this year, including surrendering a Mountain View office campus to lender KKR Real Estate Finance Trust due to unpaid debt.
