By Joshua Deale, Senior Communications Specialist
Mitchell Hertz, Executive Director – Tenant Advisory Group
John Lewerenz, Managing Director – Brokerage Services Group
Mitchell Hertz of Cushman & Wakefield’s Walnut Creek office and John Lewerenz of the firm’s San Francisco office recently joined forces to represent 10x Genomics, a leader in the genomics field, in the company’s lease negotiations for an entire 150,151-square-foot (sf) Class A office building in Pleasanton, California. The new facility, located at 6230 Stoneridge Mall Rd., will serve as the new headquarters for the rising biotech company. The duo helped further discuss this notable transaction and the market impact:
Hertz said, “10x Genomics will be retaining its operation within the affluent Tri-Valley city of Pleasanton, moving and expanding its operation nearly fourfold from its current 40,000-sf facility on Koll Center Pkwy. The company is experiencing tremendous growth and required a new, larger headquarters that could accommodate their future real estate needs. Their strategic location provides close proximity to a stable educated workforce, affordable housing and a reverse commute for employees living elsewhere in the San Francisco Bay Area.”
Originally developed in the early 2000s, 6230 Stoneridge Mall Rd. is five stories tall and is part of a multi-building Class A office complex known as Stoneridge Corporate Plaza. Visible along Interstate 680, the project is centrally located at the Interstate 680 and 580 interchange and is a five minute walk to BART and across from Stoneridge Mall. The property is owned by 6200 Stoneridge Mall Rd. Investment, LLC.
Lewerenz said, “Typical for biotech development in San Francisco and on the San Francisco Peninsula, 10x’s new facility in the Pleasanton market is unique as it reflects growth of a biotech company within a more vertical office building complex as opposed to a more traditional two-story R&D building.”
Drilling down to the state of this local real estate market and what this lease means, the East Bay Pleasanton Office/R&D market ended the third quarter at 12.1% vacancy, recording no change from the previous quarter but up 370 basis points from a year ago. This significant increase was concentrated in Pleasanton, where over 1.2 msf was added to the market in the last year. Representing this market’s largest lease of the year to date, 10x’s new expansion will be a welcomed market improvement once the company takes occupancy of its new headquarters next year, positively impacting local net absorption figures. The facility had previously been vacant since the fourth quarter of 2017.
As our Q3 market reports explain, in recent years, the Tri-Valley Office/R&D market had captured surplus demand from San Francisco and the 880 Corridor where large blocks of available space were virtually nonexistent through mid-2016. With ample available space, the Tri-Valley offers established tenants and newcomers expansion space.
About 10x Genomics
10x Genomics is a leading company in the field of genomics. The company was founded on the vision that this century will bring unprecedented advances in biomedicine to transform the way we understand and treat diseases leading to dramatic improvements in human health. 10x products enable the acceleration of genetic discoveries through unparalleled resolution leading to a new understanding of biology and diseases. The company’s customers include leading biomedical research institutes, pharmaceutical companies and clinical centers. Founded in 2012, 10x Genomics is financed by marquee global investors including Venrock, Softbank, Foresite Capital, Fidelity, and Meritech Capital. For more information, visit www.10xgenomics.com.
10X, 10X GENOMICS, CHROMIUM and FEATURE BARCODING are registered trademarks or trademarks of 10x Genomics, Inc.