By Meghan Hall
For the second time this month, Google has again expanded its Mountain View portfolio with the acquisition of two smaller assets located at 1842 and 1849 N. Shoreline Road for $76 million in cash, according to reporting done by The Mercury News. Google purchased the buildings, which total 47,000 square feet, from an entity associated with real estate firm Renault and Handley.
The two buildings sit on a combined 3.4 acres of land; the larger asset at 1842 N. Shoreline totals 37,000 square feet, while 1890 N. Shoreline is about 10,000 square feet in size. The Mercury News estimates that if the properties were redeveloped to capacity, the new buildings could accommodate between 500 and 700 workers.
The latest acquisition comes just a couple of weeks after Google paid $26.1 million, around $754 per square foot, for a smaller office building located at 650 Clyde Court from Graymark Capital and Rialto Capital Management. The Clyde Court building totals 34,606 square feet. In a much larger transaction in April of this year, Google purchased three buildings in its hometown for $250 million. In the deal, Bay Area developers John Arrillaga and Richard Peery agreed to sell the buildings, located at 900 Alta Ave., 1053 Joaquin Rd. and 1489 Charleston Rd., after Google committed to leasing a portion of the developers’ new Brokaw Road Office Development in North San Jose. Google leased four buildings, totaling 729,000 square feet, at the development.
In November, Google also bought Mountain View’s Shoreline Technology Park for $1 billion. The 51.8-acre campus is home to a 12 building complex at Stierlin Court. The transaction was the second-largest purchase in the United States in 2018; only Google’s $2.4 billion acquisition of Chelsea Market in Manhattan was larger.
Over the course of the last year, Google has hired more than 10,000 people in the United States and made over $9 billion in investments, according to a company announcement by Google’s CEO Sundar Pichai in February. In 2019, Google plans to invest more than $13 billion in investments such as data centers and offices across the United States, with major expansion in 14 states. In addition to new development in the Bay Area, Google is pursuing expansion in Washington, Oregon, Colorado, Texas and the Northeast. And while, Google’s growth in the Bay Area is significant, Pichai noted that the company is now expanding faster outside of California.
“With this new investment, Google will now have a home in 24 total states, including data centers in 13 communities,” wrote Pichai. “2019 marks the second year in a row we’ll be growing faster outside of the Bay Area than in it. This growth will allow us to invest in the communities where we operate, while we improve the products and services that help billions of people and businesses globally.”