While one of the world’s largest technology and retail companies is looking for a suitable location to place a second headquarters, Amazon continues to expand throughout the Bay Area showing clearly its long term intent is to remain a strong player in this region, too. The company recently took an additional 385,000 square feet in Sunnyvale, where it already occupies a number of buildings, from Jay Paul’s Moffett Towers I development. The leases were at 1140 and 1160 Enterprise Way, a complex that is next to the Moffett Field Airfield, in Silicon Valley’s bustling city.
The transaction was first reported by the Silicon Valley Business Journal.
Amazon has already been growing in this neighborhood, which has been recently in the news as Google and Facebook continue their respective expansions there, as well. In 2016, Google leased the entire 612,000 square-foot development in Sunnyvale at Jay Paul’s Moffett Gateway development. In March of 2018, Facebook took three of the five buildings that Jay Paul was developing at the Moffett Towers II project, a 1.7 million square-foot campus located on 47 acres in City’s Moffett Park district.
The interest in Sunnyvale has also been a boon for San Francisco developer Jay Paul whose projects, Moffett Towers I and II have been developed in phases over the last few years and quickly snapped up by technology giants. Jay Paul and Amazon have already worked together at 1100 Enterprise Way, where Amazon leases just over 357,000 square feet, and 1120 Enterprise Way, where it took down close to 225,000 square feet. These are buildings are part of Moffett Towers I development. In 2017, Amazon also leased two buildings at Jay Paul’s Moffett Towers II development located at 1111 Lockheed Martin Way.
Yet, the race for space continues unabated, it seems. In October of 2017, Amazon also subleased 164,000 square feet of space from Swedish telecom giant Ericsson at 2795 Augustine Drive, where it will take all of the leasable space in the 181,600 square-foot structure. Irvine Company’s development there adjacent to US Highway 101 in Santa Clara is now fully occupied.
Newmark Knight Frank’s Phil Mahoney and Michael Saign represented Jay Paul in the transaction. Amazon was represented by JLL in the lease discussions.