Saturday, March 28, 2020

KBS Repositions and Rebrands Five-Building Office Campus in San Jose, CA; Leases 314,710 SF in Less Than Six Months Post Renovation

Kelly Yoder

SAN JOSE, CA – KBS, one of the largest investors in prime commercial real estate, has repositioned and rebranded District 237, formerly Corporate Technology Centre, a five-building, 415,000 square-foot office campus in San Jose, California. 

The repositioning resulted in a combined total of 314,710 square-feet in new leases with three global companies at the property, all of which were completed in less than six months post renovation. The building is owned by KBS Real Estate Investment Trust II.

Brent Carroll
The new leases include a new long-term lease for 142,710 square-feet with Raytheon, a global technology and innovation leader specializing in defense, civil government and cybersecurity solutions; 96,000 square-feet to NXP Semiconductors, a global semiconductor manufacturer; and 76,000 square-feet to CDK Global, an automotive software company.

“Our ability to lease four out of the five buildings within the campus in such a short period of time is a true testament to how the project was repositioned to appeal to those firms actively looking to upgrade their facilities and enhance their ability to attract talent in this competitive environment,” says Brent Carroll, senior vice president and asset manager of District 237.

Rod Richerson
 “We are also in talks with several companies to lease the final fifth building at 100,000 square-feet, which we anticipate will be leased quickly as well.”

According to Carroll, a key differentiator for KBS was committing the necessary capital required to update the office park’s exteriors, install new modern landscaping and fully build out one of the buildings, similar to the model home approach used by residential developers. 

Rather than white boxing the five buildings, we took one building and completely built out the interior which included a more open layout, updated common areas, a new tenant lounge, fitness center and private outdoor amenity areas that we believed would drive new leasing activity by infusing new energy into the project.

KBS has repositioned and rebranded District 237, formerly Corporate Technology Centre, a five-building, 415,000 square-foot office campus in San Jose, CA

“We took a unique approach at District 237 by creating a large amount of square footage in spec space, which was very successful,” says Carroll. 

“Many office owners are incorporating spec space into their assets; however, not many are incorporating it at this high level. Because of this, we saw an influx in leasing activity and were able to attract a variety of top companies that were looking to lease large amounts of space within the campus.”

Rather than white boxing the five buildings, KBS took one building and completely built out the interior which included a more open layout, updated common areas, a new tenant lounge, fitness center and private outdoor amenity areas.

Driven mostly by the tech sector, job growth in the San Jose metropolitan area increased by 32,400 jobs in 2019, according to a Q4 2019 report from Cushman & Wakefield. This brings regional employment to 1.2 million.

“San Jose continues to benefit from Silicon Valley’s thriving economy and remains a key market for some of today’s top tech players,” says Rod Richerson, regional president, Western United States, for KBS.

Erik Hallgrimson
 “This asset is located within 15 minutes of San Jose’s CBD, near a new BART station, and is surrounded by quality retail and entertainment. The renovations we implemented created a campus feel with unbeatable access to the freeways.”

The team representing KBS in the leases included Erik Hallgrimson, Kelly Yoder, Jeff Cushman and Steve Horton of Cushman & Wakefield.

“KBS is a forward-thinking owner and this is demonstrated in the caliber of office properties they offer,” says Hallgrimson, vice chairman for Cushman & Wakefield. “District 237’s newly renovated look and sophisticated amenities are truly in line with today’s tenant demands.”

Jeff Cushman 
District 237 is located at 350, 300, 250, 200 Holger Way and 100 Headquarters Drive in San Jose, California.

Please find photos of the property here.

About KBS:

KBS is one of the largest investors in premier commercial real estate in the nation.  As a private equity real estate company and an SEC-registered investment adviser, KBS and its affiliated companies have completed transactional activity of approximately $40 billion on behalf of large institutions, such as public and private pension plans, endowments, foundations, sovereign wealth funds, seven public non-traded real estate investment trusts (REITs), and having served as the US asset manager for two REITs listed in Singapore.  

Steve Horton
Founded in 1992 by Peter Bren and Chuck Schreiber, KBS acquires and operates prime commercial real estate in some of the most successful epicenters in the country. 

The firm is committed in its business ethics, its business relationships and its constant focus on exceeding the expectations of its investors, partners and tenants. 

SEC registration as an investment advisor does not imply any particular level of skill or training. For more information on KBS, please visit   

Micaela Fehrenbach 

JLL expands its Orange County, CA office investment advisory platform by hiring Blake Bokosky as a Senior Director focused on office assets

                                              Blake Bokosky
NEWPORT BEACH, CA – JLL Capital Markets announced it has hired Blake Bokosky as a Senior Director focused on office investment advisory transactions in its Orange County office.

Mr. Bokosky is a 10-year commercial real estate professional that joins JLL from Newmark Knight Frank’s Orange County office, where he ran the Middle Markets group. 

In 2019, Mr. Bokosky led more than $340 million of office and industrial dispositions in Orange County. Throughout his career, he has marketed and sold more than $2.8 billion in total consideration comprising more than 11 million total square feet of commercial real estate. 

Mr. Bokosky is an active member of the National Association of Industrial and Office Properties (NAIOP), Urban Land Institute (ULI), UC Irvine Alumni Association and NAIOP YPG Alumni Committee. He holds a Bachelor of Arts degree from the University of California, Irvine.

 Sean Deasy
“Blake embodies the qualities and integrity we seek as we expand our capital markets team,” said Sean Deasy, Senior Managing Director and Co-head of JLL’s Orange County Capital Markets Team. 

“Our goal is to provide best-in-class service and solutions to our clients and Blake’s key hire will elevate the platform we currently have in place in Orange County and Southern California.”

For more news, videos and research resources on JLL, please visit the firm’s U.S. media center Web page: U.S. newsroom.


Kristen Murphy
 JLL Senior Manager
 Public Relations 
Phone: +1 617 848 1572

Chatham Lodging Trust Implements Plan to Mitigate COVID-19 Impact

Jeffrey H. Fisher
WEST PALM BEACH, FL —Chatham Lodging Trust (NYSE: CLDT), a lodging real estate investment trust (REIT) that invests in upscale, extended-stay hotels and premium-branded, select-service hotels and owns 134 hotels wholly or through joint ventures, announced actions it is taking to address the operating and financial impact of the COVID-19 (coronavirus) pandemic.

“The hotel industry is in the midst of unprecedented disruption due to the extreme severity of the COVID-19 pandemic, and occupancy across the hotel industry has plummeted to levels never before experienced,” commented Jeffrey H. Fisher, Chatham’s president and chief executive officer.

“Our hotels are no different, but contrary to other hotel companies that are closing the majority of their hotels, our hotels are faring a bit better with occupancy over the last week of 19 percent across our portfolio.

"Thankfully, we have been able to provide accommodations to our nation’s military, infrastructure related workers, first responders and critical medical workers dedicated to ending this pandemic.

"Unfortunately, our hotels also have had to lay-off, furlough or significantly reduce hours for thousands of team members over the last few weeks. Conditions may change that warrant closing certain locations, but as of today, all hotels are open.

“As we have previously stated, our best-in-class operating platform with Island Hospitality gives us the tools to act more expeditiously than others which has a meaningful impact on the top- and bottom-line.

"This also enables us to generate the highest operating margins of all lodging REITs and to remain open at historically low occupancy levels,” Fisher concluded.



620 Herndon Parkway, Suite 115 | Herndon, VA 20170
Main: 703-435-6293
Mobile: 703-300-8289

SPECIAL REPORT: Real Estate Industry Reflects on Past National Epidemics

John Oharenko

As an example, just over a century near the end of World War I, Spanish influenza created havoc similar to today.  The epidemic spread, resulting in a global death toll of as many as 100 million people.  

 Yet Americans fared than other countries by acting quickly and aggressively, with Chicago serving as an excellent example of how to deal with this flu.

The flu arrived in Chicago by September 1918, killing over 8,000 people within two months. According to health records from September 21, 1918, to November 16, 1918, nearly 38,000 cases of influenza and 13,109 cases of pneumonia were reported – a relatively low death toll compared to other cities.   

Chicago took many precautions. For instance, the Commissioner of Health made influenza a reportable disease on September 16, and the Health Department printed placards to educate the public about the dangers of spitting, coughing and sneezing.  The Commissioner also urged people to stay home if they were sick. 

Chicago's additional efforts included limiting crowds by closing theaters, dance halls, skating rinks, and other venues, as well as prohibiting public funerals.  

Unlike today, schools remained open, as the Health Department decided children would be better off in school.  Teachers and nurses could monitor students and take preventative measures instead of staying at home unsupervised.  

On October 13, officials prohibited smoking on the street and elevated railroad cars, and this order remains in force until this day, long after the Spanish flu had passed. [i]

Shown below is a collection of 1918 and 2020 Chicago news clippings (Chicago Tribune), posters, and other information compare how many things have changed over the past century, yet remain the same in dealing with epidemics.

  The critical focus still rests on offering sanitary living conditions, practicing cleanliness, and maintaining appropriate distances.  And most important of all, staying home and safe to avoid spreading viruses.

# 1918 2020 Virus News Headlines Collage

# 1918 2020 Virus Chicago Public Alerts Collage

# 1918 2020 Virus Illinois Public Warnings Collage

# 1918 2020 Virus Advertisements Collage

Today, Chicagoans take the coronavirus very seriously, as the City's most prominent streets are nearly deserted during rush hour, as never seen before per the following photos.  Hopefully, these streets will return to "normal" very soon.

# Madison Street Coronavirus 03-25-20 Oharenko

# LaSalle Street Coronavirus 03-25-20 Oharenko

# North Michigan Avenue Coronavirus 03-25-20 Oharenko

# Theater District Coronavirus 03-25-20 Oharenko

In conclusion, America's "Yankee Ingenuity" and Chicago's "I Will" spirit both will prevail by conquering the COVID-19 virus and other future challenges.

[1] SarahD. "Chicago Fought to Limit Flu's Spread During 1918 Epidemic." Chicago Public Library. Accessed March 26, 2020.

The Real Estate Capital Institute® is a volunteer-based research organization that tracks realty rates data for debt and equity yields.  The Institute posts daily and historical benchmark rates, including treasuries, bank prime, and LIBOR.  

The   Real Estate Capital Institute®
Chicago, Illinois USA 60622
Contact: John Oharenko, Executive Director

[i] SarahD. “Chicago Fought to Limit Flu's Spread During 1918 Epidemic.” Chicago Public Library. Accessed March 26, 2020.

Seefried and Clarion Partners Claim 50 acres near Charlotte, NC (Mecklenburg County).

Paul Seefried
ATLANTA, GA -- Seefried Properties, as development partner with Clarion Partners, LLC, have acquired nearly 50-acres of land for development of a five-building spec warehouse project located in Charlotte, NC, at the southeast corner of Beam Road and Pine Oaks Drive. 

 As planned, the project will total 590,000 square feet of modern space encompassing two phases.  Together the project can accommodate multiple industrial users needing space from 20,000 to 180,000 square feet.  

Spencer Yorke 
Buildings will feature 32’-36’ clear heights, 130’-210’ truck courts, 50 trailer parks, a total of 686 parking spaces and an ESFR sprinkler system. 

 It will have two points of ingress and egress offering close proximity to Interstates 85, 485 and 77, as well as Billy Graham Parkway and Charlotte Douglas International Airport. 

“Seefried Industrial Properties is bullish on the Charlotte airport market and believes that Beam Road Distribution Center is well positioned to take advantage of the growing demand for industrial space in the Charlotte market,” says Paul Seefried, Senior Vice President of Seefried Properties.  “Our capital partner, Clarion Partners, recognized the same and we are excited to be working on another venture with them.”

Shell completion is scheduled for the second quarter of 2021.  

Merriman Schmitt Architects has been engaged as the architect; Burton Engineering is the civil engineer.

The JLL team, led by Spencer Yorke and Jordan Quinn will lead the leasing/marketing efforts for the new project.

Jordan Quinn

About Seefried Properties:

Seefried Properties was founded in 1984 by Ferdinand Seefried and is still 100 percent privately owned today.  

The firm focuses on industrial development in core markets and build-to-suits with corporate tenants and users in first and second-tier markets. 

Seefried's development, construction, leasing, property management and accounting teams firmly believe that client relationships are solidly built on trust and further developed by each individual experience. 

 Seefried is based in Atlanta, with regional offices in Los Angeles, Dallas, Chicago and Phoenix.  Seefried Properties has built over $7 billion in development volume in 25+ markets across the U.S. 

 For more information, please visit

Ferdinand Seefried 
About Clarion Partners:

Clarion Partners, LLC, an SEC registered investment advisor with FCA-authorized and FINRA member affiliates, has been a leading U.S. real estate investment manager for over 30 years. 

Headquartered in New York, the firm has offices in major markets throughout the U.S. and Europe.  

With more than $50 billion in total assets under management, Clarion Partners offers a broad range of real estate strategies across the risk/return spectrum to its more than 350 domestic and international institutional investors. 

More information about the firm is available at


Mr. Paul Seefried
Senior Vice President
Seefried Industrial Properties             
+1 (404) 232-0440

Barb Bennett
Marketing Coordinator
Seefried Industrial Properties
3333 Riverwood Parkway · Suite 200
Atlanta, Georgia 30339
P:  770.702.8207 │ C:  520.661.9641