real estate

Amazon Buys Gilroy Farmland for Four Times the Value: Report

Seattle-based e-commerce giant pays $31M for 66 acres of undeveloped property assessed at $7.3M

Getty Images, File

Amazon continued to snatch up real estate in Silicon Valley with a recent purchase of farmland in Gilroy for which it paid about four times the assessed value, according to a report from the Mercury News.

Amazon Data Services on Aug. 14 paid $31.3 million for about 66 acres of undeveloped land near 8001 Camino Arroyo, just off Highway 101, the newspaper reported, citing documents. The land was valued at $7.3 million.

The property is just south of the Gilroy Premium Outlets between Leavesly and Gilman roads, near business and industrial parks east of the freeway, where there also is a lot of rural land.

The Mercury News reported that Seattle-based Amazon Data Services in recent years has been buying up land in Silicon Valley and other parts of the Bay Area as a means for establishing innovation hubs, where the company would create new products and technologies to improve efficiency across all its businesses.

Local developers John Filice and Eli Reinhard were the sellers in the transaction, according to the paper.

Early Tuesday, the Wall Street Journal reported that Inc. was expanding its office space and adding 3,500 corporate jobs in six U.S. cities: Dallas, Denver, Detroit, New York, Phoenix and San Diego.

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