The Sobrato Organization has agreed to sell a 500,000-square-foot office campus in Santa Clara to Nvidia for an undisclosed price.
Affiliates of the Mountain View-based developer agreed to sell four 125,000-square-foot buildings 2701, 2711, 2721 and 2731 San Tomas Expressway to the artificial intelligence chipmaker, whose headquarters is across the street, the San Jose Mercury News reported.
Terms of the deal, reached just before Christmas, were not disclosed in a county filing. The portfolio includes an adjacent parking garage at 2741 San Tomas Expressway.
Nvidia now leases all four buildings from Sobrato for undisclosed terms. A bridge across the expressway links them to the Nvidia headquarters at 2788 San Tomas Expressway.
A Sobrato Organization executive declined to comment on the sale to the Mercury News. It’s not clear when the agreed-upon sale will close.
Nvidia has been on a real estate buying binge in conjunction with the rising popularity of its AI chip, despite the emergence of Chinese chatbot DeepSeek as a potential threat to local AI dominance.
In December, the chipmaker that helped launch the AI boom leased a 100,600-square-foot office and research building at 300 Holger Way, in north San Jose.
The deal came seven months after the high-flying tech firm bought its eight-building, 550,000-square-foot headquarters at 2788 San Tomas Expressway for $374.3 million, or $680 per square foot. The all-cash deal in May included two parking garages.
The Sobrato Organization was founded in 1979 by John A. Sobrato, who in the late 1950s began peddling real estate while studying at Santa Clara University and is now worth $6 billion, according to Forbes.
The company, which has development, capital and philanthropic arms, has developed nearly 21.5 million square feet of office, R&D and multifamily real estate. Its portfolio contains 7.5 million square feet of office and R&D buildings, plus 30 apartment complexes in the Bay Area, according to its website.
In November, John M. Sobrato, chairman of the Silicon Valley development firm and co-owner of the NFL’s San Francisco 49ers, sold his 3,800-square-foot home in Los Gatos for $5.75 million.
— Dana Bartholomew
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