Trammell Crow Company recently sold the Butterfield 5 Technology Park in Morgan Hill to a global real estate investment company.
The sale of the 24-acre site, which consists of about 410,000 square feet of industrial space in five buildings, was announced on Trammell Crow’s website on June 15. Trammell Crow Company and its partner, CBRE Investment Management, sold the property on behalf of one of its funds, to Atlanta, Ga.-based Invesco Real Estate.
Neither the buyer nor seller disclosed the sale price, but other news sources reported it was more than $100 million.
Construction of the Butterfield 5 Technology Park was completed earlier this year on Butterfield Boulevard at the intersection of Sutter Boulevard, in the Mission Ranch Business Park. The five buildings on site range in size from 70,000 to 92,000 square feet.
“We are pleased to have delivered a state-of-the-art industrial park in Morgan Hill, a Silicon Valley community that we are proud to have partnered with over the past several years,” said Will Parker, Principal with TCC’s Northern California office. “Morgan Hill is poised for thoughtful, continued growth. Butterfield 5 Technology Park will provide local jobs and will serve as an attractive environment for established and expanding companies in the area.”
Morgan Hill Assistant City Manager Edith Ramirez described the Butterfield 5 project as “a beautiful addition to the inventory of manufacturing buildings in our city.”
Ramirez said the recent property sale is encouraging for the city’s economic development prospects, as Invesco has a reputation for effective property management.
“Invesco is a Class A major institutional investor in real estate, and is known to be a quality operator and have substantial ownership of this type of investment,” Ramirez said. “We expect it’s going to be a long-term investment and relationship with the city.”
CBRE National Partners will continue to handle marketing and leasing for the Butterfield 5 industrial park, says the announcement on Trammell Crow’s site. Rebecca Perlmutter of CBRE National Partners represented the sellers in the transaction.
“The property’s access to Silicon Valley and high concentration of talent in technology, life sciences and manufacturing is highly desired amid limited supply of flex space,” said Rob Shannon, Executive Vice President of CBRE. “Demand for space that can cater to industrial, manufacturing and life sciences continues to grow in Northern California, and Butterfield 5 has the flexibility to customize it to meet the evolving needs of tenants.”
Invesco Real Estate is a global investment company with about $92 billion in assets, 592 employees and 21 offices in the U.S., Europe and Asia, according to Trammell Crow’s announcement.
Trammell Crow Company still owns its Redwood Tech at 101 site on the east side of U.S. 101, just off De Paul Drive in Morgan Hill. Plans for that project show five industrial buildings that collectively total about 501,000 square feet on about 29 acres of property.
Trammell Crow is based in Dallas, Tex., and is an independently operated subsidiary of CBRE Group.