Hines acquires office building in Silicon Valley

Hines has purchased an office building at 5301 Patrick Henry Drive in Santa Clara, Calif., for $68 million, according to The Mercury News. The building totals 127,000 square feet.

The office vacancy rate Northern California’s Silicon Valley increased to 10.9 percent during fourth quarter 2020, an increase of 80 basis points from the 10.1 percent rate in third quarter 2020, according to Cushman & Wakefield. The current rate translates to 9.4 million square feet of vacancy. As Cushman & Wakefield points out, however, the share of vacant space comprising subleases has decreased, finishing the fourth quarter at 26 percent of all vacant space, down from 27.5 percent in the third quarter.

The average asking rent for office space in Silicon Valley increased slightly in the third quarter to $5.10 per square foot on a monthly full-service basis from $5.05 per square foot in the third quarter. Asking rents across submarkets remained mostly flat during the thir