Borelli Investment Company Wins “Land Deal of the Year” Award

Borelli cited for major transactions in Milpitas and San Jose in
San Jose Business Journal’s Structures supplement

San Jose, California, December 13, 2005 — Coming off a year in which Ralph Borelli and Borelli Investment Company handled seven land transactions worth $56 million to earn the Association of Silicon Valley Brokers (ASVB) Land Broker of the Year award, the question was: what would Borelli and his firm do for an encore?

• How about selling 50 acres of unused county land east of I-880 in Milpitas, in a transaction that will ultimately provide the county with an estimated $400 million from the sales proceeds and a long-term ground lease, and generate billions of dollars in tax revenue for the City of Milpitas?
• And how about the sale of the old Union Pacific maintenance yard off Williams Street near downtown San Jose, in a complex deal that involved a $7 million clean-up of the site to prepare it for the construction of a new home community?

Together, these transactions earned Borelli Investment Company the Land Deal of the Year award from the San Jose Business Journal, as announced recently in the newspaper’s Structures magazine supplement.  As complicated as the transactions sound, they are not out-of-the-ordinary for Borelli Investment Company. In fact, one of the hallmarks of a typical land deal for Ralph Borelli and the respected real estate firm that his father founded 50 years ago is that these transactions are often the kind that other brokers hesitate to take on.  Ralph is one of the few land brokers who has the experience and creativity to handle complex transactions that involve time-consuming entitlement work with city governments, or the ability to pull together multiple small pieces of land to create a larger parcel that makes sense for a developer.

“This is something that we’ve come to specialize in over time,” said Borelli, president and CEO of Borelli Investment Company. “ In Silicon Valley, there are very few large pieces of land that haven’t been developed yet. Most of the projects we handle involve in-fill locations, so we’ve gotten very good at those.”

Home Developments a Specialty  Borelli Investment Company handles the majority of its land transactions for large homebuilders such as KB Home and Toll Brothers.  The land deals that it brokers ultimately result in much-needed housing for residents in Silicon Valley and other parts of Northern California.

For example, in Milpitas, KB Home will build a community of approximately 800 single-family homes, townhomes, and condominiums on part of the property that was sold by Santa Clara County. The rest of the land will be leased to automobile dealerships. In downtown San Jose, the buyer was also KB Home, which will build 105 homes on the old Union Pacific Site.

But Borelli Investment Company doesn’t just broker land to residential builders. “We’ve put together transactions for shopping center developers, as well as traditional office and industrial development companies,” noted Borelli. “It’s simply that today, there is a tremendous demand for housing in Northern California, and the complexity of the deals—especially in Silicon Valley—plays to our strengths in repositioning property, obtaining government approvals, and working through complicated development issues.”

Borelli was presented the Land Deal of the Year award on October 27th in the rotunda of the new San Jose City Hall, at a dinner sponsored by the San Jose Business Journal and attended by hundreds of people from the real estate industry, who were there to honor the Structures winners. “This is quite an honor,” Borelli commented. “We look forward to continuing to work to put together these kinds of transactions for our clients as the opportunities arise.”

Borelli Investment Company is one of the oldest commercial real estate firms in the Santa Clara Valley. Celebrating its 50th anniversary in 2005, the company provides a full range of commercial real estate services—from development and construction management to land sales, consulting for sales and leasing, and property management services. More information about Borelli Investment Company’s services may be obtained by calling (408) 453-4700 or visiting www.borelli.com.

Contact: Ralph Borelli, CEO Borelli Investment Company 1770 Technology Dr. San Jose, CA 95110 Ph: 408.453.4700 Fax: 408.453.4636 E-mail: ralph@borelli.com

http://www.borelli.com

Borelli Investment Company Completes Phase I of Junction Office Center

Prime Golden Triangle location and smaller office condominium sizes create
significant sales activity prior to Thursday’s official opening.

San Jose, Calif., November 14, 2005 — Borelli Investment Company has completed renovation and is reporting brisk sales activity at the first phase of Junction Office Center, a two-building, 77,000 square foot office condominium complex at 2051-2055 Junction Avenue near Charcot in San Jose.  With the complex’s official opening this Thursday, November 17th, the first of the two buildings (2051 Junction Avenue) already has 36 percent of the units in escrow or with offers pending.  Renovation of the second phase of the office condominium complex will begin immediately.

“More and more, owners of small to medium-sized business are discovering the tremendous advantages of owning their own business property,” said Ralph Borelli, president of Borelli Investment Company.  “Junction Office Center condominiums range in size from as small as 750 square feet to 3,000 square feet-putting them within the reach of virtually every business. With a range of tax benefits, accelerated depreciation through an accounting method called cost segregation, interest write-offs, and SBA financing that only requires ten percent down-a buyer or investor can conceivably get into his or her own space with very little after-tax expense.”

A New Vision for North San Jose

Located in the heart of the Golden Triangle—formed by the intersections of I-880, Hwy 101, and Hwy 237—Junction Office Center also gives buyers an entrée into an area likely to see increased activity due to San Jose’s Vision North San Jose plan. Vision North San Jose calls for a sweeping transformation of the North First Street transportation corridor and surrounding technology parks, creating a mosaic of new office and industrial, retail, and residential development.

The plan envisions an exciting, diverse urban village linked by existing and future mass transit, including:

• 26.7 million square feet of new office and R&D space
• 32,000 new high-density residential and single-family homes in close proximity to jobs
• 1.7 million square feet of supporting retail space
• $520 million in transportation improvements
• Parks and open spaces, public safety services, educational facilities

 

Junction Office Center is a short drive from Mineta San Jose International Airport, and offers easy access to I-880 and Hwy 101 to reduce employee commutes.  The complex provides ample parking, with a ratio of 5.3 cars-per-thousand square feet of space. On-site services include UPS, FedEx, and US Postal Service drop boxes, and a delicatessen planned for the office center.

“Junction Office Center’s location puts owners on the leading edge of the renewal planned for North San Jose,” Borelli explained. “Because office condominiums enable owners to enjoy potential long-term appreciation in value, this is an ideal opportunity.”

$15 Million Renovation

Junction Office Center is undergoing an extensive makeover, with Borelli Investment Company investing more than $15 million in the two two-story buildings set around an open courtyard. Exterior improvements include awning-covered entrances and extensive landscaping. Formal lobbies with polished granite floors and high ceilings add to the professional touches. The 52 individual suites in both phases will be fully carpeted with a complete coffee bar, have separately metered electrical, and offer T1 access for high-speed Internet and file exchange.

The buildings also include upgraded restrooms with showers, state-of-the-art water-source,  heat pump HVAC systems for superior heating and cooling; seismic improvements; faster elevators; and a new roof. In addition, a common conference room for the complex features Web-based videoconferencing, PowerPoint capabilities, audioconferencing, a state-of-the-art video system, and Web access.

“Business condominiums are one of the hottest trends in commercial real estate today,” noted Borelli. “As more owners discover business condominiums, the market is going to get even hotter. This is a great time to make a purchase before prices rise any further.”

For more information about Junction Office Center—including materials that illustrate the advantages of business property ownership and explain the benefits of cost segregation—business people should call Larry Bengiveno at Borelli Investment Company at (408) 453-4700, or e-mail larry@borelli.com. Businesses can also visit the web site at www.junctionofficecondos.com.

Contact: Ralph Borelli, CEO Borelli Investment Company 1770 Technology Dr. San Jose, CA 95110 Ph: 408.453.4700 Fax: 408.453.4636 E-mail: ralph@borelli.com

http://www.borelli.com

Borelli Investment Company Receives City of San Jose Commendations
Honors given for 50 years of service and for support of inaugural San Jose Grand Prix.

San Jose, Calif., October 24, 2005 — The City of San Jose has awarded Borelli Investment Company, and its president and CEO, Ralph N. Borelli, two commendations for making a mark in its community. The first was in celebration of the company’s 50th anniversary, and the second was for the company’s generous support of the inaugural San Jose Grand Prix—which won acclaim and raised money for Canary Fund’s efforts in early cancer research.

“It is a tremendous honor to receive these commendations from the city,” said Borelli. “The awards reflect the hard work and generosity of all the people who work at Borelli Investment Company and take their personal time to get involved in helping with projects like the San Jose Grand Prix, which raised so much money for a worthy cause.”

In 1955, Ralph Borelli’s father, Nelo, started a small real estate company that served as the predecessor to what is today Borelli Investment Company. Over the years, Borelli Investment Company has been instrumental in helping to develop the world-renowned Silicon Valley, and the company continues to play an active role in providing offices for local businesses and brokering land for new residential communities.

Councilman David Cortese sponsored the commendation for Borelli’s “fifty successful years of service to the community” and wished the company “many more successful years of business.”

Borelli Investment Company was also recognized as one of the San Jose businesses that donated “time, employees, and resources” to ensure that the San Jose Grand Prix enjoyed tremendous success its first year. The week-long event in July drew more than 150,000 fans and raised over a half million dollars for Canary Fund, which is dedicated to research leading to the early detection of cancer. The commendation for Borelli Investment Company was sponsored by Mayor Ron Gonzales, Vice Mayor Cindy Chavez, and Councilmembers Linda LeZotte and David Cortese.

“While it is an honor to be recognized for our efforts, the real reward comes from helping our community,” Borelli remarked. “We look forward to continuing to serve Silicon Valley’s commercial real estate industry and support the San Jose Grand Prix and other communitywide events in the years to come.”

Borelli Investment Company is one of the oldest commercial real estate firms in the Santa Clara Valley. Celebrating its 50th anniversary in 2005, the company provides a full range of commercial real estate services—from development and construction management to land sales, consulting for sales and leasing, and property management services. More information about Borelli Investment Company’s services may be obtained by calling (408) 453-4700 or visiting www.borelli.com.

Contact: Ralph Borelli, CEO Borelli Investment Company 1770 Technology Dr. San Jose, CA 95110 Ph: 408.453.4700 Fax: 408.453.4636 E-mail: ralph@borelli.com http://www.borelli.com

Borelli Investment Company Announces Junction Office Center in San JosePrime location in Silicon Valley’s Golden Triangle affords smaller businesses
the opportunity to purchase office condominiums as small as
750 square feet — to enjoy the benefits of ownership, rather than leasing space.

San Jose, Calif., October 10, 2005 — Borelli Investment Company, has announced Junction Office Center, a two-building, 77,000 square foot office condominium complex at 2051-2055 Junction Avenue near Charcot in San Jose. At Junction Office Center, small to medium-sized businesses can purchase — not lease — office condominiums ranging in size from 750 to 3,000 square feet, and enjoy all the tax benefits and potential long-term appreciation usually available only to businesses capable of purchasing an entire building.

“Many owners of smaller businesses don’t realize there’s an alternative to leasing,” said Ralph Borelli, president of Borelli Investment Company, which is developing the Junction Office Center project. “Business condominiums are similar to residential condominiums in that owners buy space rather than lease it. This provides a business all the benefits of real estate ownership: depreciation, interest write-offs, and other tax deductions — in addition to prospective appreciation over time.”

Located in San Jose’s Golden Triangle

Junction Office Center is located in the heart of the technology-rich Golden Triangle — formed by the intersections of I-880, Hwy 101, and Hwy 237. A number of major corporate campuses for technology leaders are nearby, and the location offers ready access via major transportation arteries to work with clients virtually anywhere in Silicon Valley. The complex is also only a few minutes from Mineta San Jose International Airport, and is close to the VTA light rail station on North First Street for easy commutes that avoid high gas prices.

 

For those who drive, there’s ample parking exists for employees and clients alike, with a ratio of 5.3 cars-per-thousand square feet of space. On-site services include UPS, FedEx, and US Postal Service drop boxes. In addition, a large delicatessen planned for the office center will enable business owners to hold working lunches without leaving Junction.

“The location is on the edge of an area defined in Vision North San Jose — an ambitious land use plan that targets development along the North First Street transportation corridor,” Borelli remarked. “Junction Office Center puts owners in a prime location to benefit from this long-term growth blueprint.”

Professional-Quality Office Space

Borelli Investment Company is investing more than $15 million in the two-story office buildings set around a central open courtyard. Awning-covered entrances and formal lobbies with polished granite floors and high ceilings create a good first impression on visitors. Each of the 52 suites is fully carpeted and has its own coffee bar, which includes a sink and cabinets. Suites also have individual controls for heating and air conditioning, are separately metered for electrical usage, and have access to the building’s T1 fiber optic cable for high-speed Internet access and file exchange.

 

The sweeping renovation of the two buildings includes large, multi-stalled restrooms with showers on the first floor — perfect for joggers or bicyclists — a full seismic retrofit, upgraded elevators, ADA improvements, a new roof, and extensive landscaping.

“We’ve also completely refurbished a large common conference room with Web-based videoconferencing, PowerPoint capabilities, audioconferencing, a state-of-the-art video system, and Web access,” noted Borelli. “This is a great environment for getting business done.”

Ownership Advantages

Junction Office Center enables smaller businesses to take advantage of special tax benefits to reduce the cost of buying.

“IRC Section 179 deductions allow business owners to write off up to $105,000 in bonus first-year depreciation, and a widely accepted accounting method known as cost segregation can accelerate depreciation on a substantial portion of an owner’s property,” Borelli explained. “These deductions, plus SBA financing — which requires only a 10 percent down payment — make this a very attractive opportunity.”

Interested businesses can obtain more information about Junction Office Center by calling Borelli Investment Company at (408) 453-4700 and asking for Larry Bengiveno, or e-mailing larry@borelli.com.

Contact: Ralph Borelli, CEO Borelli Investment Company 1770 Technology Dr. San Jose, CA 95110 Ph: 408.453.4700 Fax: 408.453.4636 E-mail: ralph@borelli.com http://www.borelli.com

Racing for a Cure

The inaugural San Jose Grand Prix Champ Car race roared through the streets of San Jose on a sweltering weekend in late July, and Borelli Investment Company was in the heat of the action — helping race beneficiary Canary Fund raise well over a half million dollars to advance the early detection of cancer.

One of Ralph Borelli’s passions is auto racing — Ralph owns a vintage Winston Cup car that won the pole position in the 1992 Daytona 500. Ralph’s #22 Maxwell House car finished 6th in the Historic Stock Car Racing Series (HSCRS) NASCAR event, which was a part of the weekend and contributed to the total raised for Canary Fund. In addition, Borelli provided pre-race rides to lucky clients in the #22 car around the demanding, 1 1/2-mile layout through downtown San Jose.

The week-long event — which included a gala dinner at the Fairmont Hotel, street festival, live music, beach volleyball, driver autograph sessions, and more — was a tremendous success, both for the 150,000 fans who attended and for the Canary Fund, which received a substantial amount of money to help support its worthy cause. See you next year in 2006!