Overton Moore Properties has bought a data center building in North San Jose for $9.5 million.
An affiliate of the Torrance-based investor purchased the 130,800-square-foot building at 2334 Lundy Place, the San Jose Mercury News reported, citing county documents.
The seller was Digital Realty, a real estate investment trust based in Austin, Texas.
The price works out to $73 per square foot, an apparent bargain for commercial properties in Silicon Valley.
It’s not clear what Overton Moore wants to do with the 39-year-old, two-story building on 6.4 acres.
Data centers have grown attractive to investors because of a growing demand for cloud, network and artificial intelligence services.
In Downtown San Jose, Vancouver-based Westbank, PG&E and city officials announced plans last month to build thousands of homes next to data centers.
The trio has teamed up to speed development of the eco-friendly housing towers whose energy would be powered by surplus heat from nearby data centers. Construction is slated to start next year of up to 4,100 homes.
Overton Moore, founded in 1972, manages more than 9.8 million square feet of office and industrial properties, according to its website.
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