SAN JOSE — ASML is busy preparing new offices in north San Jose so it can relocate its local Silicon Valley operations to a site that will enable it to operate more efficiently and hire more employees.
The company has signed leases to move into two of three buildings in north San Jose that were recently bought by investors from South Korea.
A South Korea-based company on Oct. 29 paid $104 million for the three buildings, which are located at 10 W. Tasman Drive, 80 W. Tasman Drive, and 125 Rio Robles in San Jose, according to Santa Clara County property documents.
The transaction for the three buildings, which together total about 318,000 square feet, was arranged by brokers with commercial real estate firm JLL.
ASML is moving into 125 Rio Robles, which is about 107,500 square feet in size, and 80 W. Tasman, a building that totals 105,000 square feet.
“We have been working on tenant improvements at 125 Rio Robles and 80 West Tasman in San Jose throughout the year,” said Brittney Wolff Zatezalo, a spokesperson for ASML, which is a semiconductor equipment maker.
The deal will help ASML expand its local headcount as well as operate more efficiently.
“This will bring together our two Silicon Valley R&D teams who are currently occupying separate buildings in different business complexes,” Zatezalo said.
The sale of the north San Jose complex represents a success story for veteran developer DivcoWest, which in 2018 paid $50 million to buy the trio of then-empty buildings.
In 2019, DivcoWest signed a lease for ASML to become a tenant in two of the buildings on the campus. The 10 W. Tasman building is empty.
The buyer of the three buildings is seeking long-term investments in the United States and found Silicon Valley particularly attractive, according to JLL.
The deal was completed even amid the uncertainties arising from the coronavirus.
“The buyer, a South Korean holdings company, was laser-focused on closing this deal even with the pandemic and their commitment showed,” JLL stated.
ASML said the interior improvements now underway at the two office buildings are aimed at transforming them into up-to-date tech sites.
“We’ve focused on making the new space modern and collaborative to foster an enjoyable and productive work environment while accommodating our growing workforce,” Zatezalo said.
The new offices will bolster ASML’s future product endeavors as well as hiring efforts.
“We expect double-digit headcount growth in 2020 and 2021,” Zatezalo said.