An office complex in Silicon Valley, California, is set to be developed into a data center.

First reported by BizJournal, Menlo Equities is pivoting 888-894 Ross Drive in Sunnyvale within the Peery Park business park in Santa Clara County towards data center development.

Menlo acquired the site for $88.5 million in 2022 from STP Property LLC, an affiliate owned by Miramar Capital and Garrison Investment Group. The site features two office buildings built around 1985 and totals a combined 94,800 sq ft. STP Property had bought the site in 2018 for around $66 million, with cybersecurity firm Proofpoint as a tenant.

Permission was granted in 2020 to demolish the existing buildings to develop a pair of five-story office and research buildings totaling about 391,000 square feet, as well as a parking garage.

However, work never began, and it seems Menlo is now looking to transform the site into a single data center.

On its website, Menlo lists MD-SV1 (Sunnyvale) as an 8.9-acre development site in Sunnyvale, CA, featuring a single two-story building offering 49MW across 244,215 sq ft served by an on-site substation.

Timelines haven’t been shared, but BizJournal reports the project could be delivered around 2027/2028.

The company declined to comment to BizJournal.

Founded in 1994, real estate firm Menlo owns data centers across California, Virginia, Illinois, Massachusetts, Tennessee, and Texas. Menlo Equities developed its first data center in Santa Clara back in 1998. Today, the company owns 14 operational facilities across the US.

The company launched a dedicated data center platform, Menlo Digital, last year, claiming a development pipeline totaling close to 800MW across five sites in the US, including a 49MW project in Sunnyvale.

The pipeline also included three projects in Virginia and one in Phoenix, Arizona.

Menlo previously acquired nine facilities from Digital Realty in 2021, including sites in Silicon Valley, Virginia, Texas, and New Jersey. It has since acquired another facility from Digital in Georgia.

In February 2025, energy firm NRG signed a Letter of Intent (LOI) with Menlo Equities to potentially develop data centers at existing NRG sites. Full details haven’t been shared, but the project could total 300MW in the initial phase and eventually reach more than 1GW.