Amazon Set to Expand Footprint at 525 Market in San Francisco to 319,000 SQFT

New York State Teachers' Retirement System, Seattle, Amazon, San Francisco, JP Morgan, New York, Retirement System, Bay Area, Ericsson, Irvine Company, Santa Clara, San Jose, Berryessa, Sunnyvale
Image courtesy of Keating Architecture

By Vladimir Bosanac

While continuing the hunt for a second headquarters location, Seattle-based Amazon is taking steps to expand its presence across the cities and regions where it already has a strong presence. Most recently, the technology giant will be expanding its footprint in San Francisco at 525 Market Street, the city’s third largest office building, where according to sources it will take up additional space in a building where it was already leasing 176,000 square feet. The additional 143,000 square feet will bring Amazon to 319,000 square feet in the property owned by an entity associated with JP Morgan Asset Management and its investment partner New York State Teachers’ Retirement System.

New York State Teachers’ Retirement System confirmed in an email their partnership with JP Morgan and that Amazon is expanding in the building, but they could not comment on the square footage.

Since October of 2017, Amazon has been actively expanding its presence across the entire Bay Area region, and given its appetite for space in its home region, its activities elsewhere are of little surprise.

Last October, Amazon subleased 164,000 square feet of space from Swedish telecom giant Ericsson at 2795 Augustine Drive, where it is taking all of the leasable space in the 181,600 square-foot structure. This building is part of the Irvine Company’s Santa Clara Square mixed-use project adjacent to US Highway 101 in Santa Clara.

Following that, the company then took over 65,000 square feet of flex/manufacturing space in San Jose’s Berryessa neighborhood. This property has around one quarter of the space as office, and the other 75 percent is designated as production warehouse improvement space. The building has 19-foot ceilings, a double dock platform with three grade doors and a 2000 Amp, 277/480 volt panel.

In June of this year, Amazon also took 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 signed at 1140 and 1160 Enterprise Way, a complex that is next to the Moffett Field Airfield, in Silicon Valley’s bustling city. Jay Paul and Amazon had 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. Each of the five office buildings in that development are roughly 335,000 square feet or more.

As impressive as this expansion in the Bay Area may sound, the company has also been growing in its home market in the Puget Sound region. Earlier this week, it was announced that Amazon signed a lease in Bellevue, a city across Lake Washington from Seattle, to take Tower 333, a 20-story, 440,565 square-foot building in Bellevue’s central business district that was previously known as the headquarters for online travel agency Expedia. Amazon’s foray into Bellevue started in 2016 when the company announced that it had signed a lease with Bellevue-based Schnitzer West to fully occupy Centre 425, a 350,000-square-foot office development also located in the city’s central business district.