SAN JOSE, CA—PS Business Parks Inc. has acquired Orchard Business Park, an eight-building, 119,000 square foot multi-tenant flex park here. The park, which is 96.7% occupied, is contiguous to the company's existing 164,000 square foot Charcot Business Park, which is 100% occupied.

Orchard Business Park has 54 tenants with an average size of 2,100 square feet. PS Business Parks paid $16 million for the new property. The acquisition increases the company's presence in the Bay Area to 7.2 million square feet, comprised of 30 business parks located throughout the East Bay, Mid-Peninsula and Silicon Valley markets, which is currently 95.8% leased.

“Orchard Business Park is a great addition to PSB's vibrant Bay Area portfolio, where the company serves the needs of over 930 customers that are attracted to our well located portfolio of flex, office and industrial parks,” said Joseph Russell, president and CEO of PS. “With 80% of the leases at Orchard Business Park expiring over the next 24 months, we anticipate meaningful demand from both existing and new customers along with strong rental rate appreciation, consistent with the performance of our Bay Area parks.”