SAN JOSE -- Lattice Semiconductor has struck a lease deal that would allow the tech firm to expand its South Bay operations.

The semiconductor company has leased about 100,000 square feet on Onel Drive in San Jose, said Joe Bedewi, Lattice's chief financial officer.

"We needed more space," Bedewi said. "We will have more room, everybody together, all the operations in one place."

Oregon-based Lattice is vacating 70,000 square feet in San Jose to occupy the larger building.

"We have been doing some hiring," Bedewi said. "We do have room to grow at this new facility."

Lattice intends to undertake core research at the complex.

"San Jose is a key research and development site for us," Bedewi said. "San Jose is critical to our future."

Lattice now has about 200 employees in San Jose. Its workforce could approach the 250 level by the time the company moves into the new offices about six months from now.

"It's good to see semiconductor companies growing in the region," said Chad Leiker, a vice president with Kidder Mathews, a commercial realty firm. "You see software, Internet, social networking, social media, mobile tech companies, Apple (AAPL) and Google (GOOG) growing, so it's nice to see semiconductor companies also growing."

City officials have attempted to coax tech companies to move to north San Jose by cutting development fees, making it more cost-effective to develop properties in the area.

"We are seeing a lot of activity in north San Jose," said Kim Walesh, the city's economic development director. "There is a noticeable uptick in activity."

Contact George Avalos at 408-373-3556 or 925-977-8477. Follow him at twitter.com/george_avalos.