Silicon Valley commercial sites stay hot with data center deals

SANTA CLARA – A Bay Area investor has grabbed a number of data centers as part of a $ 100 million deal.

Menlo Equities has purchased four data centers in South Bay and paid a total of $ 108.8 million for the quartet of major commercial sites, according to documents filed with Santa Clara County officials on Sept. 20.

Two of the data centers are in Santa Clara, one in Sunnyvale and one in San Jose, according to documents filed with the County Recorder’s Office.

The seller was Digitial Realty, a developer who specializes in the development and rental of data centers.

The buyer, Menlo Equities, has primarily focused on the development and purchase of office parks in technology centers such as Silicon Valley.

The Menlo Park-based real estate company began investing in data centers in 2000 with a purchase of Palo Alto. Menlo Equities also develops and purchases research and industrial buildings.

This news organization reached out to Menlo Equities for comments on this report.

Concurrent with the property purchases, Wells Fargo Bank made a loan of $ 210.3 million to its affiliates controlled by Menlo Equities, according to the county records.