San Jose Commercial Real Estate

San Jose Commercial and Office Space Overview

The largest city in the Bay Area and the defacto hub of Silicon Valley, San Jose’s reputation as the heart of the modern technology movement continues to this day. The city’s history is ingrained with a hotbed of innovation and ingenuity, making it a prime location for startups and those operating in the ever-booming tech sector to lay down their roots.

San Jose’s roots as a Spanish colony, then a Mexican outpost following Mexico’s War of Independence before finally becoming part of the United States in 1847 demonstrate the region’s territorial and geographic importance for the US. It remains an important hub for trade and commerce, and is one of only 18 Foreign Trade Zones in the entire country.

Much of the commercial real estate in the area caters to technology companies, offering open-air office environments, plenty of amenities, and unrivaled infrastructure uniquely suited to internet-based and software endeavors. Hundreds of listings are available, providing plenty of space for median rates well below that of neighboring San Francisco, Oakland, and Mountain View.

Economy of San Jose

Home to companies like Adobe, Cisco, eBay, PayPal, and more, the city’s housing market is among the highest in the nation, yet residents in San Jose enjoy the highest disposable income of any major city in the United States. The median household income for the city is a staggering $99,662 as of 2017, making it among the most lucrative destinations to set down roots in the United States.

Outside of the internationally-recognizable technology and software names, semiconductor, communications, and entertainment companies call San Jose home. A new Apple campus is expected to be completed within the next few years, which will house 16,000 employees and further the tech giant’s influence in the region.

Trends of San Jose

Aside from the aforementioned sprawling Apple campus that’s in development, San Jose’s construction is moving at a remarkable pace. Over $400 million was spent on commercial real estate alone in 2017, but is expected to dip in the coming years due to a lack of available vacant space.

However, at a recent roundtable, developers have stated that an interest in existing spaces are ripe for redevelopment and reconstruction, with companies like Google, Apple, Facebook, and Amazon looking to centralize office spaces in the busy downtown corridor. Estimates expect between 50,000-70,000 new jobs should these projects get underway. That figure would more than double the number of jobs in the downtown San Jose area.

Where to Lease Commercial Real Estate in San Jose

The city’s most glamorous and attractive real estate is found in downtown San Jose, where businesses can join the ranks of Adobe, Acer, and more. Those who rely on heavy foot traffic for retail, nightlife, or hospitality should strongly consider a centralized location in San Jose. However, neighboring areas like West San Jose, North San Jose, and East San Jose provide more affordable opportunities for professional services, manufacturing, and shipping providers in larger, more accommodating spaces than are found in the downtown region.