IQHQ Buys Elco Yards in Bay Area Life Science Play
The property is a fully entitled, large-scale office and life science development in central Downtown Redwood City.
IQHQ has acquired Elco Yards, a fully entitled and shovel-ready office and life science development site in Downtown Redwood City. The plans allow for four buildings totaling 600,000 square feet and two residential buildings with 540 units, 147 of which will be reserved for affordable housing. The project is the first of its kind in the market. The purchase price was not disclosed.
The development site is walking distance to transit stations, which will connect the property to San Francisco and San Jose. The project will meet IQHQ’s strategy to develop sustainable and transformational projects, and as such, all of the buildings will be built to LEED Gold standards. The project will also dedicate an acre for public outdoor space and a new landscaped pedestrian and bike path along Redwood Creek for tenants, employees and the surrounding community.
The project is located in the Caltrain corridor, which is already home to a life science cluster. As a result, it is a vibrant community with amenities, parks and entertainment.
There has been strong life science investment activity in the Bay Area, including Redwood City. In July, GI Partners launched the GI Real Estate Essential Tech + Science Fund to invest in data center properties, life sciences assets and research & development facilities within the office and industrial sectors. At the launch, it had already invested in three projects: the three-building Walsh-Bowers Assemblage in Santa Clara; the six-building Mt. Eden Research Park in Haywood; and the two-building The Pointe in Redwood City.
And, there is more to come. In October, TMG Partners closed a $220 million separate account to invest in the Bay Area. An unnamed single institutional investor funded the account. It is TMG’s third venture with the investor. The capital investment will support the acquisition of $625 million of office, R&D, life science, residential and mixed-use product in the Bay Area.
IQHQ;s acquisition represents an expansion of its current portfolio and development pipeline in the Bay Area.