Nvidia is eating everything within its reach.
Just days after buying a 10-building office park adjacent to its Santa Clara headquarters for $123 million, the leading AI chipmaker has spent $254 million on three office buildings it already occupies on San Tomas Expressway.
The all-cash transactions — filed with the county Tuesday in $84.6 million increments — are similar to a deal Nvidia completed last year, when it bought out another of its landlords, Preylock Holdings, for $374 million.
The buildings at 2711, 2721, and 2731 San Tomas Expressway were owned by The Sobrato Organization, which pioneered the development of office campuses for tech companies across Silicon Valley, including Apple’s first campus in Cupertino.
A fourth Sobrato-owned building, at 2701 San Tomas Expressway, is also occupied by Nvidia but has not been sold. However, a deal is expected to close soon, as Nvidia agreed to purchase all four properties, according to county documents filed in December.
If the fourth building is sold to Nvidia at a similar price, the chipmaker will have spent more than $830 million on real estate within a 12-month period.
Nvidia did not respond to a request for comment.
The Santa Clara company has seen its valuation skyrocket in recent years as its chips are used to drive the AI revolution. Generative AI tools such as ChatGPT run on Nvidia’s GPUs.
Other tech giants, including Apple and Google, have also transitioned from office renters to owners of their headquarters.
Although Nvidia has not said what it intends to do with its new real estate, a source said it is likely the company plans to build more data centers, research/lab space, or a small fabrication plant.
Nvidia does not manufacture its signature chips on-site. The majority are built by the Taiwanese Semiconductor Manufacturing Co., which is based in Taiwan but is ramping up its U.S. factories in Phoenix. Nvidia is in the process of building a plant in Houston with Foxconn and another in Dallas with Wistron.