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Why San Jose?

 

Silicon Valley, being the epicenter of the Tech Industry, continues to experience growth. The limited supply of available space has not kept pace with this growing demand, resulting in increased real estate values in the area.

As this growth continues, companies are forced to occupy new areas in neighboring cities.  For the last several years, a phenomenon has been occurring in Silicon Valley that we call the “Tech Migration”.  With most of Palo Alto, Mountain View, Cupertino, and Sunnyvale already occupied by Tech titans like Google, Apple, and Facebook, Urban Catalyst believes the next logical growth center may be downtown San Jose.   Some data points in support of this migration include the following: Google has recently spent over $450 million to purchase land in downtown San Jose to develop its new global headquarters1; Adobe is currently building its fourth Office Tower2; and  J. Paul, a highly successful, prolific developer, has recently spent over $650 million to acquire land in downtown San Jose3

 

  1 Source: The Wall Street Journal - https://www.wsj.com/articles/google-wants-to-pour-money-into-san-jose-the-city-has-a-few-demands-11580234667

  2 Source: Silicon Valley Business Journalhttps://www.bizjournals.com/sanjose/news/2019/06/24/adobe-new-hq-tower-san-jose-construction-adbe.html

3 Source: The Mercury News - https://www.mercurynews.com/2019/06/25/record-price-iconic-downtown-san-jose-office-tower-bought-google-adobe/

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