MORGAN HILL >> A Morgan Hill building that’s suitable for advanced manufacturing was bought at a hefty discount compared to its most recent price by a group headed up by Shoe Palace CEO George Mersho.

The building, located at 755 Jarvis Ave., was purchased by the group for $22 million, according to documents filed on April 11 at the Santa Clara County Recorder’s Office. The seller, an affiliate of real estate investment firm Westbrook Partners, parted ways with the building with a price 51.1% below the $45 million it paid in 2022.

CBRE commercial real estate brokers Chip Sutherland and Brian Matteoni helped to arrange the transaction.

The Morgan Hill building totals 258,100 square feet and is currently empty, according to CBRE.

“The building provides an easy commute for employees from the West Valley and easy access to the deep talent pool of South County,” CBRE stated in marketing materials.

Mersho has been active recently with bargain purchases of multiple office towers in downtown San Jose. Mersho, acting through affiliates, appears to be scouting for an array of South Bay properties to buy at relatively low prices.

In downtown San Jose, Mersho-led purchases include an office tower at 303 Almaden Blvd. that was acquired for $23.8 million in December 2023, 70% below the $80.2 million the seller paid in 2017; and the two-tower office complex at 111 North Market St. and 111 West St. John St. that was bought for $34.2 million in February 2024, 77% below the $141.4 million the seller paid in 2019.