A San Jose office building leased by Nvidia is set for conversion into a data centre, adding fresh momentum to Silicon Valley’s office‑to‑digital reuse wave. The three‑storey property at 300 Holger Way spans roughly 100,000 square feet and sits within the city’s District 237 cluster.
CoStar previously reported the full‑building lease and said it was slated to begin in February 2025, reflecting the chip designer’s fast‑rising infrastructure needs as AI demand climbs. The owner, Menlo Equities, acquired the site in November 2021 for $35 million (C$48 million), positioning the asset for higher‑intensity operations in a supply‑constrained grid zone.
Office-to-digital reuse gains pace
Menlo Equities describes the building as a recently renovated R and D asset with above‑market power service, factors that align with the planned conversion. A January 2025 sales brochure, cited in specialist trade press, said Nvidia will invest “significant capital performing a complete custom build‑out,” the clause noted that the end use is a state‑of‑the‑art data centre and lab.
The site sits near major highways and legacy fibre routes, which favours quick deployment once permits and interconnections are in hand. Power density and heat management will drive delivery schedules, with switchgear, transformers, and cooling plants likely on the critical path. The pivot also highlights how landlords and tenants are repurposing existing shells to shorten time to broaden computation.
Power and cooling drive delivery
San Jose has been moving to accommodate larger data centres, including a two‑building project near the regional wastewater facility with on‑site backup generation. That context matters for Holger Way, where grid capacity, recycled water access, and air rules will shape build‑out sequencing.
Local officials have even explored using waste heat from servers to support nearby housing, an idea that could spread with careful engineering and utility backing. “This can be a net zero energy project through the computing power in the data center, then capturing excess heat to use it to heat the neighboring high‑rise developments,” San Jose Mayor Matt Mahan said in late 2024. Underscoring a city‑level focus on coupling digital infrastructure with housing and energy goals.
CoStar’s reporting linked the lease to brokerage work by Cushman and Wakefield on behalf of Menlo Equities, a detail that suggests a conventional tenant‑improvement pathway rather than a turnkey wholesale model.
For lenders and equipment vendors, the plan implies staged procurement of switchgear, UPS, chillers, and server racks through 2026, depending on interconnection windows. The building’s location inside Silicon Valley’s “Golden Triangle” points to strong fibre options, but the gating factor is still utility‑scale power and lead times.
Nvidia’s broader footprint expansion in Santa Clara, combined with this San Jose conversion, shows a hedging strategy across owned and leased sites to match AI compute cycles.