Fujitsu North America offloads Sunnyvale site for $31M

San Francisco-based PSAI Realty Partners has acquired the site where Japan-based tech company Fujitsu North America had operated in Sunnyvale for $31 million, or $251 per square foot, according to public records.

The office and research property located at 350 Cobalt Way sits on 8 acres and totals 123,600 square feet. The building was built in 1978 and nearby businesses include Nvidia, Akamai Technologies and Quantum Intelligence.

The property is two miles east of the Lawrence Expressway and San Jose is less than 10 miles away.

The deal represents Fujitsu’s second office exit from Silicon Valley in less than three years.

Back in 2020, Fujitsu sold a larger office complex that it occupied to Menlo-Park based Lane Partners right next door for $104 million. The Japanese company moved to the Cobalt Way location after the deal and the former site was eyed for redevelopment potential. There haven’t been publicly stated plans for the site since the deal.

“The redevelopment potential of this campus is unmatched in the immediate area,” Will Connors from JLL, who represented Fujitsu in 2020, said at the time. “Silicon Valley continues to see economic growth fueled by consumer appetite for social and mobile products as well as ‘cloud-based’ services.”

Fujitsu North America is a subsidiary of Fujitsu Limited, according to the firm’s website. Fujitsu Limited is an information technology and electronics company.

Sunnyvale’s office market has remained active with a lot of movement involving tech companies. Tishman Speyer flipped an office complex that was leased to Meta for $700 million last year. It was double what the firm paid for the property a year prior.

In another example of a large deal, Union Investment spent $222 million to acquire a LinkedIn-leased campus in Sunnyvale. The German investment fund paid about $1,140 a square foot to acquire the four-story office building and adjacent parking garage at 684 West Maude Avenue. Also, Drawbridge Realty has paid an estimated $185 million to buy a five-story office building in Downtown Sunnyvale leased to Uber.