Car companies have made Silicon Valley an important part of their innovation pipeline. In a sign of continued strong interest in the region, one of Toyota’s subsidiaries, Woven Planet Holdings, has leased 154,600 square feet in Stanford Research Park at 900 Arastradero Road in Palo Alto, according to sources familiar with the lease.
The lease is likely an expansion of its footprint in the area. According to published reports, the Tokyo-based company also occupies 97,500 square feet at 3210 Porter Drive in Palo Alto, which is roughly a five-minute drive from the new location.
JLL brokered the lease on behalf of Woven Planet. Kyle Caldwell, a senior vice president with the firm, and Bart Lammersen, executive managing director, were part of the team working to finalize this lease.
Woven Planet Holdings was incorporated in January 2021, and it was organized at that time around two subsidiaries Woven Core and Woven Alpha, and also created the fund, Woven Capital, according to the company’s Wikipedia page. Woven Planet Holdings, Inc., develops and maintains automotive software products and technologies in Japan. Woven Core looks to develop, implement and scale automated driving technologies, while Woven Alpha works on searching out new business opportunities and incubating new projects like Woven City, the autonomous vehicle software, and an automated mapping platform, for the company.
This lease was one of a wave of leases across Silicon Valley that drove 1.6 million square feet of leasing during the second quarter of 2022, according to a recent Silicon Valley Office Insight | Q2 2022 report by JLL. This level of leasing was four times the amount of leasing Silicon Valley office landlords saw in the first quarter and only 5.1 percent of that activity was renewals.
Vacancy in the market did climb 150 basis points during the quarter to 16.3 percent, however, most markets saw direct rents change minimally, according to JLL’s reporting.