Zscaler secures large Silicon Valley lease for headquarters

SAN JOSE, Calif. - In a notable move within the commercial real estate sector, Newmark Group, Inc. (NASDAQ:NMRK), a prominent player in the Real Estate Management & Development industry with a market capitalization of $2.15 billion, has facilitated a significant sublease for Zscaler, a leader in zero trust cybersecurity. The transaction involves a 301,163-square-foot space at 4301 and 4401 Great America Parkway in Santa Clara, California, marking the largest new office lease in Silicon Valley since 2023. According to InvestingPro data, Newmark has demonstrated robust growth with revenue increasing by 14.48% over the last twelve months.

The deal, which establishes Zscaler’s new global headquarters, is set to support the company’s continued expansion. Newmark Vice Chairman Mike Saign and Senior Managing Director Rich Hoyt led the advisory team for this project. The new headquarters are expected to open in the summer of 2026, providing a state-of-the-art workplace designed to foster innovation and accommodate Zscaler’s growing workforce. This transaction adds to Newmark’s impressive performance, with InvestingPro analysis showing strong recent momentum and multiple positive indicators. InvestingPro subscribers can access 13 additional key insights about Newmark’s business outlook and market position.

Saign expressed pride in Newmark’s ongoing partnership with Zscaler, emphasizing the strategic importance of the location for the company’s growth and industry leadership. Brendan Castle, Zscaler’s Chief People Officer, highlighted the new headquarters as a reflection of the company’s values and vision, aiming to enhance collaboration, support customers, and benefit the local community.

The property is strategically located in the Great America Parkway corridor, known for its proximity to high-profile corporate neighbors, Levi’s Stadium, and various amenities, including retail, restaurants, and hotels.

Newmark, a global leader in commercial real estate, offers a comprehensive suite of services tailored to a diverse client base. The company reported revenues exceeding $2.8 billion for the twelve months ending March 31, 2025, and operates from approximately 165 offices with around 8,100 professionals across four continents.

While this announcement represents a forward-looking statement for Newmark, the company acknowledges potential risks and uncertainties that could lead to actual results differing from current expectations. Newmark maintains its commitment to transparency and regulatory compliance, as outlined in its Securities and Exchange Commission filings. Based on InvestingPro’s Fair Value analysis, Newmark currently appears slightly undervalued, though it trades at a P/E ratio of 29.15. For detailed valuation metrics and comprehensive analysis, investors can access Newmark’s full Pro Research Report, part of InvestingPro’s coverage of over 1,400 US stocks.

This news is based on a press release statement from Newmark Group, Inc.

In other recent news, Newmark Group reported its first-quarter 2025 earnings, which exceeded Wall Street expectations. The company achieved an adjusted earnings per share (EPS) of $0.21, surpassing the forecasted $0.19, while revenue reached $665.5 million, exceeding the anticipated $613.2 million. Newmark demonstrated a 21.8% year-over-year revenue increase and a 40% rise in adjusted EPS, reflecting strong growth in leasing, capital markets, and management services revenues. Despite these robust financial results, the company’s stock price declined in pre-market trading, possibly due to broader market uncertainties. Newmark’s strategic expansion into new markets, including Germany, contributed to its enhanced market position. The company maintains its outlook for 2025, with expectations of continued revenue growth and strategic global expansion. Analysts from firms like Piper Sandler and KBW noted Newmark’s strong operational performance and market share gains, particularly in capital markets. The company continues to focus on organic growth and strategic talent acquisition, with no significant deal cancellations reported.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.