Blog Post

Gap Giveth, Google Taketh

Like Yahoo and Microsoft before it, Google is looking to open an office in San Francisco, according to the San Francisco Business Times. The report says Google has agreed to lease 210,000 sq. feet at San Francisco’s Hill Plaza, 345 Spear St, which could house more than 800 employees. Damn, Google on the waterfront:

Under the terms of the blockbuster agreement, Google (NASDAQ: GOOG) would sublease three lower floors at 345 Spear St. from Gap Inc. for about $35 a square foot.

Everyone knows Gap has been in trouble lately, but well, Gap’s loss is Google’s gain. The report says that its only a three-year deal and Google is possibly looking at new office buildings in the south financial district and Mission Bay for the long term.

A Google spokesperson would not comment on the news reports but told us via email:

We have said in the past San Francisco is significant to Google in terms of our users, employees, advertisers and publishers who live there, as well as being a base for recruiting. We will always seek to acquire space as necessary to meet our needs.

Why the new space? Hey with plans to hire hundreds of new employees, they really need to put them some place. And even if a fraction of them are in San Francisco, then they’ll have to hire a whole new fleet of Google buses to ferry them back and forth. Of course, 800 new jobs would mean the company can finally have the political clout to counter the opponents of their citywide Wi-Fi plan.

14 Responses to “Gap Giveth, Google Taketh”

  1. It is amazing that all of the high profile google projects often lead nowhere yet the little projects which are sheltered along or are purchased from small 3rd parties are often the winners.
    Google should remember its history.
    It had no marketing or budget so to speak of.
    Its better technology was spread by word of mouth against a monolith which thought it was safe in its tracks.
    Sound familiar ?

  2. Its funny how everyone talks about everything google does as super positive. I mean to me they’re just another company, I like their search and use it, but just another company. I’d rather have more companies doing innovative things like they have, than just them doing it.

  3. Considering Google’s focus on technology and the Internet, I am somewhat surprised that they’re investing so much in real estate, when they should be doing more in telework. They’d save a lot more money by doing so, and would probably gain even more work hours from the Googlers.

  4. You make a good point in the article if this move is partial to gain the clout needed to push there Metro-Fi plans through. Bring 800 jobs to any city and that will help anyones cases to break through the red tape.


  5. As someone who works/lives in the valley, but have always wanted to live/work in the city, this is very interesting news! I wonder, though, which depts they’d be hiring for.

  6. joe shmoe

    @JK. Totally agree! Om and company really need to get over the Google and Apple fanboyism to keep the blog informative and interesting to read. I dont want to come to the blog only to read that Google has new item on the their dinner menu or how much Om enjoyed the tease of Steve Jobs before he unveiled the iphone!

    Rest is great, just make it more focused, informative and objective!

  7. This is really a bummer for SF based startups. Practically every engineer that I interviewed said that they were trying to escape a south bay commute. Now that Yahoo and Google have SF offices the SF startups are going to have even stiffer competition for hiring.