Affinius Capital LLC today announced that it has originated a $120.3 million loan to finance the ground-up development of Edenvale Business Park, a 636,000-square-foot industrial complex in San Jose, CA. The loan was provided to Hines, and will be used to finance the construction of what is currently the largest industrial project under construction in Silicon Valley. The senior portion of the loan was provided by Bank OZK.
Affinius Capital Managing Director Eric Cohen commented, “This transaction represented a great opportunity to expand upon our firm’s long standing partnership with Hines and provide construction financing in a supply constrained industrial node that lacks competitive, new product. The property can service both warehouse and advanced manufacturing tenants and is strategically positioned to provide convenient access to Silicon Valley and the greater San Francisco Bay Area.”
Located just off Highway 101 at 550-650 Piercy Road, Edenvale Business Park will offer three buildings each with market-ready offices, 36’ clear heights, dock/grade loading, LED warehouse lighting and minimum 4,000 amps of power. Hines will also pursue LEED certification from the U.S. Green Building Council. Construction has commenced, and the project is expected to be delivered in Q3 2025.
The South San Jose industrial submarket has historically catered to advanced manufacturing tenants. Edenvale Business Park’s ability to accommodate both advanced manufacturing and traditional industrial tenants will allow the project to leverage the already established advanced manufacturing market as well as the pent up demand for traditional industrial product due to the supply/demand imbalance for this type of space.
The financing was arranged by Kevin MacKenzie and Chris Gandy of JLL.
About Affinius Capital LLC
Affinius Capital® (previously known as USAA Real Estate and Square Mile Capital Management) is an integrated institutional real estate investment firm focused on value-creation and income generation. With a 40-year track record and $32 billion in net assets under management, Affinius has a diversified portfolio across North America and Europe providing both equity and credit to its trusted partners and on behalf of its institutional clients globally. For more information, visit www.affiniuscapital.com.
About Hines
Hines is a leading global real estate investment manager. We own and operate $93.2 billion of assets across property types and on behalf of a diverse group of institutional and private wealth clients. Every day, our 5,000 employees in 30 countries draw on our 65-year history to build the world forward by investing in, developing and managing some of the world’s best real estate. To learn more, visit www.hines.com and follow @Hines on social media.
Mittie Rooney | Executive Vice President
