Google Scoops Up Almost 1 Million Square Feet More in Silicon Valley
Tech Giant Buys, Leases Buildings in Mountain View and San Jose, California
Google has snagged almost 1 million square feet more in Silicon Valley outside San Francisco, in the latest sign the search engine's swelling appetite for space is not slowing.
Alphabet Inc.-owned Google bought three buildings near its headquarters in Mountain View, California, for $250 million, and signed on to lease four additional buildings in San Jose for a total of roughly 900,000 square feet among the seven properties, a company spokeswoman confirmed to CoStar News in an email.
Deals for all properties were executed between Google and veteran developers John Arrillaga and Richard Peery.
According to CoStar, Google had already leased the properties it purchased in Mountain View at 900 Alta Ave., 1489 Charleston Road and 1053 Joaquin Road,totaling 166,23 square feet. Google paid about $1,500 per square foot.
In San Jose, Google leased four buildings totaling 729,000 square feet at a development by Arrillaga and Peery. The site, off State Highway 101 and East Brokaw Road, has been approved for up to 2 million square feet of office development. One of the four buildings is complete and construction is underway now on the other three.
In downtown San Jose, Google has gobbled up property around Diridon Station, the city’s transit hub. The company is working with the City of San Jose on a master plan with several different uses for a campus totaling millions of square feet there.
Google has expanded its real estate holdings in Silicon Valley and elsewhere in California, as well as across the country, at a breathtaking clip in recent years, taking down 584,000 square feet in Los Angeles in January. In 2018 it executed the two most expensive office purchases in the nation, buying the Britannia Shoreline Technology Park in Mountain View for $1 billion and the Chelsea Market retail and office building in New York City for $2.4 billion.
Google also finalized a deal to sublease 140,079 square feet from Fitbit at the former Charles Schwab building at 215 Fremont St. in downtown San Francisco. That property sold in early February to Clarion Partners and LPC West in a $335 million deal.
For the record:
For more information on the transaction, please see CoStar Comp #4736252.