By Meghan Hall
PROCEPT BioRobotics is planning ahead and has signed up to take 158,221 rentable square feet on Baytech Drive in San Jose, according to a recent SEC Filing. The new space will allow the company to expand from its current offices in Redwood City into San Jose, making the city the home of its new headquarters.
The two buildings that PROCEPT BioRobotics has planned to lease are located at 150 and 180 Baytech Drive. The term of the lease was expected to begin on December 31, 2021 and run the duration of 122 months, with two five-year options to extend the lease, according to the filings. PROCEPT BioRobotics will pay about $4.3 million in base rent, which increases yearly to $5.5 million on the tenth year of the lease. Under the lease terms, PROCEPT BioRobotics will also receive $7.9 million from the landlord, an entity affiliated with Liberty Mutual Investments, for tenant improvements.
Liberty Mutual acquired the property in 2017 from DivcoWest for $99 million, according to public records. However, sources familiar with the deal have told The Registry that DivcoWest is still involved in the property’s management, and of the three buildings on the campus, one remains to be leased.
According to a marketing flyer obtained by The Registry, the buildings that are part of the Baytech campus were originally built in 1997. They feature 16-foot floor-to-floor heights and are “ideal for high tech office and research and development users.” The buildings have been recently updated and feature showers and lockers, fiber-optic services, and other amenities such as a bocce ball court, and new outdoor seating areas.
PROCEPT BioRobotics’ lease comes shortly after the recent appointment of Mary Garrett as the new Class II director of the company. The company manufacturers technologies that seek to transform the field of urology.
“Ms. Garrett’s impressive understanding of the technology industry and expertise in organizational development make her ideally suited to join PROCEPT’s board,” said Reza Zadno, PROCEPT CEO in a statement. “Her prior experience serving in multiple roles on public company boards and as a global marketing leader in large and developing markets will be very beneficial to our growing company.”