SAN JOSE — The NHL’s Sharks bought a downtown San Jose office building from Google in a deal that enables the professional hockey team to keep its headquarters in the city’s urban core, ensuring it remains in San Jose for decades to come.
“We’re grateful the Sharks are making a big bet on San Jose and that Google is helping make it possible,” San Jose Mayor Matt Mahan said. “For the next 25 years, Sharks fans can count on San Jose remaining home ice, with more room across the street for operations as the team builds out the arena experience fans deserve.”
The two-story, 22,100-square-foot building at 450 West Santa Clara St. is across the street from the SAP Center, where the Sharks play.
“We’re committed to the long-term vitality of downtown San Jose, and we love having the Sharks as neighbors,” said Matt Werner, Google vice president of global real estate. “Google is proud to call San Jose home, and we’re excited to continue investing and growing here.”
The Sharks, through an affiliate, paid Google $10 million in an all-cash deal for the building, according to documents filed on July 10 with the Santa Clara County Recorder’s Office.
The deal bolsters the Sharks’ efforts to revamp the SAP Center because it will allow the team to establish its permanent corporate headquarters in a standalone building. By freeing up square footage inside SAP Center, the Sharks can continue a makeover for the arena, which includes upgrades such as modernized locker rooms.
“As we enter the next phase of reimagining the future of SAP Center, Sharks Sports & Entertainment is proud to maintain our strong roots in downtown San Jose,” said Chris Shay, Sharks senior vice president, government affairs. “We appreciate the assistance and collaboration we received from Google when we approached them about acquiring the property at 450 West Santa Clara St., which will serve as our new business offices.”
The office building was one of the early purchases by Google as it assembled properties for a future neighborhood of homes, offices, shops, restaurants, parks, entertainment hubs and cultural loops known as Downtown West.
“This is a perfect place for the Sharks to move their headquarters,” said Bob Staedler, principal executive with Silicon Valley Synergy, a land-use consultancy. “I can’t wait to see what the Sharks do with the building.”
In 2017, Google paid $11 million for the building, which was built in 1999 by San Jose-based Toeniskoetter Development. It was part of the $459 million Google paid for an array of downtown parcels.
Since 2016, the tech company has spent at least $1.08 billion to acquire sites in San Jose, a shopping spree for real estate that helped the company create a new campus in North San Jose’s Alviso district.
The creation of a new and very visible headquarters for the Sharks also will help activate this section of the downtown, even though Google has paused work on the Downtown West neighborhood.
Google crafted its Creekside Socials endeavors as a way to help liven up the western sections of downtown with outdoor entertainment, food, drinking, sports, recreation and retail options.
“With the Sharks and Google teaming up in the Diridon Station area, Creekside socials, and the Guadalupe River Park, we’re seeing a powerful combination of forces that will keep this district’s rise going strong and make our downtown an even more vibrant place to live, work, and play,” San Jose City Councilmember Michael Mulcahy said.
The Creekside Socials sites would connect directly to the new office building and SAP Center.
