Zoom’s HQ building in San Jose sells for $82 million in all-cash deal

A San Jose office campus has been bought at a steep discount to its prior assessed value in a deal that suggests the slump in Bay Area office prices has yet to run its course.

admin October 9, 2026 2 minutes read

SAN JOSE — A three-building office campus in downtown San Jose where Zoom Communications established its headquarters was bought for $82 million, documents filed Oct. 8 at the Santa Clara County Recorder’s Office show.

An affiliate of SFF Realty Partners acquired the property and adjacent parking structure in an all-cash deal. The buildings have addresses of 1, 55, and 99 Almaden Blvd. and total 416,100 square feet. The parking garage provides 1,264 spaces.

Private equity real estate firm KBS sold the campus for 54.7% below the property’s estimated value of $181.1 million as of January, according to the Santa Clara County Assessor’s Office.

Zoom Communications is in the 55 Almaden building and leases 25% of the property’s office space, according to KBS.

In 2015, KBS paid $150 million for the complex and made several wide-ranging upgrades and improvements at the property.

“The campus benefited from more than $49 million in capital improvements during our ownership, helping maintain the property’s competitive position in the market,” said Tim Helgeson, a KBS senior vice president.

In recent years, multiple office buildings in downtown San Jose have been bought at steep discounts to both their prior sales and assessed values.

In 2017, an office tower at 303 Almaden was purchased for $80.2 million, or $509 a square foot, a record at that time.

Years later in 2023, it was bought for $23.8 million, or $151 a square foot. Morgan Hill-based Shoe Palace CEO George Mersho led the buying group.

Mersho extended his bargain hunting in downtown San Jose a few months later in 2024 with the purchase of a two-building office complex at 111 North Market St. and 111 West St. John St. for $34.2 million, or $105 a square foot.

The market low was around $105 a square foot in early 2024.

In 2025, the Santa Clara Valley Transportation Authority paid $63.7 million, or $163 a square foot, for an office tower at 488 South Almaden Blvd.