BIG INDUSTRIAL NEWS – READ IT NOW!

CALIFORNIA – SANTA CLARA – SILICON VALLEY’S INDUSTRIAL MEGAPROJECT 2025
by Marie Cappello, Broker Argossy International

The Heart of Silicon Valley: A Project in Flux

It’s a huge shift. The biggest mixed-use project in Santa Clara is changing its mind. The developer,
Related Companies, is responding to the market. Office space is a struggle. Industrial space is in
demand. They are cutting office space. They are adding light industrial. This pivot is a fascinating
move.

• Project: Related Santa Clara.
  • Location: 240 acres next to Levi’s Stadium.
  • Cost: The project’s value is estimated at $8 billion.
  • The Pivot: The developer is swapping out 4 million square feet of office space.
    They are replacing it with up to 1.6 million square feet of light industrial and
    advanced manufacturing. This includes warehouses and data centers.
• Why the Change?
  • The office market is suffering. Vacancy rates in Silicon Valley are still high.
    Remote work is a real factor.
  • The industrial market is strong. There is a demand for research and industrial
    spaces. This change accelerates development. It helps the project cater to current
    market needs.
• Jobs & Economic Impact:
  • The project is a job-creation machine. It promises thousands of jobs. It will
    bring 25,000 local jobs. This includes a mix of construction, retail, and tech jobs.
  • The development will bring in tax revenue. This will help the City of Santa Clara’s
    economy.
• Our Take:
  • It’s smart. The developer is not pushing a failing model. They are adapting. This is
    the future of development in a post-pandemic world.
  • This project is a test case. The City Council’s approval shows they are also willing
    to adapt.
  • The project is far from complete. There have been many delays. But now, it feels
    like it is moving forward. It’s an exciting, massive undertaking.

For a closer look at our properties in California, including those in the Silicon Valley area,
visit our listings page at https://argossy.com/with-list-layout/.

Learn more about the project’s evolution in this news article. For market data on Silicon Valley’s
real estate, check out this report. You can also find more information on the project from the
developer’s website here.