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Square Mile Capital sidles up to Amazon with land buy in East Bay

NYC investor pays $66M for triangular site near e-commerce giant’s proposed warehouse in Pleasanton

Square Mile Capital's Craig Solomon with 3300 Busch Rd, Amazon, East Bay
Square Mile Capital's Craig Solomon with 3300 Busch Rd (Google Maps)

A New York investor has paid $65.9 million for nearly 51 acres of land near Amazon properties in Pleasanton.

Square Mile Capital bought 50.5 acres at 3300 Busch Rd. in an all-cash deal, the San Jose Mercury News reported. The seller was an affiliate of Kiewit Corp., a construction firm based in Nebraska.

The East Bay deal was arranged by brokers Michael Lloyd and Larry Easterly of Colliers, and Sam Higgins and Tom Damaschino of KBC Advisors.

The triangular property lies just west of 58 acres Amazon.com bought in September 2021 for $75 million in cash, in a Pleasanton district of quarries and lakes.

An Amazon commerce and delivery complex would conform with the local commercial land uses for the properties. The e-commerce giant said it’s planning a distribution center in the Tri-Valley city, which could serve as a package sorting or delivery hub.

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Amazon plans to build either a 520,000-square-foot sorting center for about 800 employees or a 201,000-square-foot delivery station for 100 to 200 workers, a company spokeswoman said. A Pleasanton building would add to Amazon facilities in neighboring Livermore and Dublin.

Amazon leases a 611,000-square-foot warehouse in Livermore, among the largest single warehouse buildings in the Bay Area. It also owns a 201,620-square-foot facility in Dublin that it bought in 2020 for $49.5 million.

The Square Mile Capital purchase is a long-term play for the real estate firm, an unidentified commercial property expert told the newspaper. It’s now leased to Bigge Crane & Rigging Co., which operates an equipment storage business at 3300 Busch Rd.

Square Mile Capital issued $3.1 billion of loans across 24 deals in the fourth quarter of 2021, a record for the firm. The New York-based property lender founded in 2013 made a hard pivot towards multifamily loans, but has also focused on the life sciences sector during the pandemic.

[San Jose Mercury News] – Dana Bartholomew

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Commercial Real EstatePleasantonSquare Mile CapitalTri-Valley