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Google Grabs $1B of Verizon Properties in Sunnyvale; Verizon Plans San Jose Tech Hub
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In what would rank as the largest Bay Area transaction this year, Google Inc. is acquiring $1-billion worth of assets and land in Sunnyvale from Verizon and its affiliates. The properties, including Yahoo’s headquarters in Moffett Park, were picked up when Verizon acquired Yahoo for $4.48-billion in 2017.
Verizon Coleman Highline aerial San Jose
In a separate, though related announcement, Verizon plans to co-develop and lease to purchase a new campus for its Verizon Media workforce, built from the ground up at the Coleman Highline campus in San Jose. The tech hub will support 3,400 employees, including 2,400 moving from Verizon Media’s current Sunnyvale location. Groundbreaking is scheduled for fall of 2019.
Verizon signed a long-term lease for roughly 640,000 square feet in multiple buildings with Hunter Properties. CBRE’s Matt Hargrove and Mike Filice handle the deal for Verizon. CBRE’s Jeff Houston, Mike Benevento, and Mike Charters represented the landlord.
The Google-Verizon deal involved two transactions encompassing properties with nine different addresses in northern Sunnyvale on First Avenue, Java Drive, Bordeaux Drive, and North Mathilda Avenue. CBRE also played a role in arranging the deals.
That’s an area Google has shown a particular interest in expanding its footprint. The acquisitions reflect the tech giant’s quest to assemble land for large-scale office campuses, as well as new neighborhoods. That strategy took shape last week when Google struck a $15-billion development deal with Lendlease.
*Pictured at top Yahoo’s Sunnyvale HQ, credit: Benny Marty / Shutterstock.com
For comments, questions or concerns, please contact Dennis Kaiser
- ◦Development
- ◦Sale/Acquisition
- ◦Lease
