FREMONT — A Fremont business park that’s four decades old has been bought by one of the nation’s biggest developers, a major Texas-based player that is becoming increasingly active in Bay Area real estate.
Hines, a development firm with a global reach, paid $54.6 million for a five-building advanced manufacturing and industrial complex on Warm Springs Boulevard near Hammond Avenue, according to documents filed on June 24 with the Alameda County Recorder’s Office.
Houston-based Hines obtained the buildings in an all-cash deal, the county documents show.
The recently purchased buildings together total 148,100 square feet, according to the LoopNet commercial property listings service.
The buildings were built in 1982, 1983 and 1984, a LoopNet post states.
It’s possible that the land beneath the building is what really enticed Hines in its purchase.
Under some development scenarios with current zoning and density rules, it might be possible to develop a modern complex totaling 300,000 square feet to replace the existing structures, which total about 148,000 square feet.
Hines in recent months has become very active in real estate endeavors in the Bay Area. Some efforts involve major redevelopment projects or the creation of brand-new buildings on big sites.
Prior to the purchases in Fremont’s Warm Springs district, Hines completed several major property purchases during 2021.
Hines has spent at least $1.02 billion purchasing real estate in the Bay Area in just five property deals over the last 15 months, according to public property documents:
Among the Hines purchases from May 2021 through June 2022:
— $800 million to buy a multi-building office hub in San Francisco where PG&E had been based for decades. After selling the complex to Hines, PG&E shifted its headquarters to downtown Oakland.
— $62.3 million for 550 Piercy Road in San Jose, a large chunk of land totaling 29.4 acres.
— $59.6 million for 150 S. First St. in downtown San Jose, a big data, retail and restaurant building that’s ripe for redevelopment or reconstruction.
— $47 million for Dixon Land Research Park on Milmont Drive in Fremont.
The five-building Fremont Business Center that Hines recently bought is located in the emerging Fremont Innovation District.
The Innovation District is a hub of tech companies, cutting-edge firms and new commercial and real estate development efforts in the vicinity of the Warm Springs BART station.