$76M Mission West Property Sale Still Up in Air

MILPITAS, CA-Mission West Properties has been under contract to sell 23 acres on McCandless Drive for the past two years now. Carl Berg, a principal with the Cupertino, CA-based REIT tells GlobeSt.com this week that given the economy he now considers the deal a “long shot.”

The property holds an eight-building, 427,000-square-foot development. The unidentified buyer wants to redevelop the property with residential and has been seeking the necessary development approvals to make it happen. The contract price is $76.5 million.

In February, Berg said it was in the process of negotiating a 12-month extension of a buyer’s option to acquire property on McCandless Drive for residential development. The buyer offered to pay $2 million for the extension on top of $10 million it had already spent on development plans and entitlements, he said. Milpitas’ redevelopment director was not available Tuesday for comment.