Lane Partners acquired this three building, 186,000 square foot, portfolio in North San Jose as part of a joint venture in April, 2008. The transaction was structured as part of a sale-leaseback transaction with KLA-Tencor. The business plan called for full renovation of the buildings upon expiration of the KLA leases, which occurred between 2008 and 2009.
The renovations were completed in early 2011. The project added significant value to the property in several ways by: 1) greatly improving the appearance and allure of the buildings 2) increasing the square footage of the buildings, thereby increasing the potential cash flow of the project and 3) repositioning the space from research and development to general office use.
The new image of the project attracted significant tenant interest, and in November of 2010, SunPower signed a lease for all three buildings to serve as their global headquarters.