SUNNYVALE — Meta, the tech titan whose apps embody the Fb social community, has accomplished an enormous lease in Sunnyvale in a deal that marks an enormous enlargement for the corporate.
Within the largest private-sector workplace lease of this yr — nationwide — Meta has rented 719,000 sq. ft at a campus situated close to the nook of Crossman Avenue and Caribbean Drive in northern Sunnyvale that additionally fronts on East Java Drive.
In a separate transaction that factors to vital expansions for Meta, the tech firm leased 520,000 sq. ft in Burlingame on Airport Boulevard in a challenge often called Peninsula Innovation Level.
The Sunnyvale rental deal turns into a big-time win for Tishman Speyer, a veteran developer that simply seven months in the past purchased the campus, which options 4 buildings and engaging open area facilities.
“We’re happy that Meta has chosen Tishman Speyer and our Sunnyvale campus,” stated Rob Speyer, chief government officer of Tishman Speyer.
Newmark industrial actual property brokers Phil Mahoney, Michael Saign and Jon Mackey represented Tishman Speyer within the leasing deal, which Tishman Speyer stated it believes is the most important industrial actual property lease within the nation throughout 2021.
“I can verify that we signed new leases in Burlingame and Sunnyvale that complete greater than 1 million sq. ft,” stated Chloe Meyere, a spokesperson for Meta. “These places of work will assist assist our staff’ evolving workforce wants.”
Tishman Speyer’s Sunnyvale campus options an array of facilities, together with a health club with a basketball court docket, lockers, showers, an out of doors volleyball court docket, government briefing middle, a full-service cafeteria, a number of kitchens, break facilities, cellphone rooms and different widespread areas.
Meta’s mega lease in Sunnyvale counters gloomy predictions that tech corporations would flee Silicon Valley and that tech corporations supposed to deal with letting staff earn a living from home slightly than return to their places of work.
“Silicon Valley stays the worldwide middle of innovation and its significance will proceed to develop whilst different innovation hubs emerge,” Speyer stated.
It was solely final April that Tishman Speyer purchased the four-building Sunnyvale campus from NetApp, paying the tech firm $365 million for the advanced, which features a parking storage.
NetApp had determined shift its headquarters to an enormous workplace constructing in San Jose’s Santana Row.
On the time, some specialists raised fears that Tishman Speyer was taking an enormous danger buying an workplace advanced that may shortly change into empty with NetApp’s departure. Others warned that corporations had been reluctant to return to places of work and wouldn’t require massive buildings like those Meta leased.
As an alternative, Tishman parlayed its gambit into one of many greatest leasing triumphs of the yr.
“We had been at all times satisfied that the tech sector would preserve a robust urge for food for high-quality collaborative areas,” Speyer stated.
Mahoney, an government vice chairman with Newmark, believes that whereas tech corporations might set up outposts in different states, Silicon Valley stays the place they need to be.
“Tech corporations are voting with their ft and displaying that they need to keep in Silicon Valley,” Mahoney stated.