San Francisco: The San Francisco constructing that file internet hosting service Dropbox leases as its headquarters is being offered for a whopping $1.08 billion, its house owners mentioned on Monday.
The worth per square-foot (square-meter) for the constructing sale was a brand new excessive within the San Francisco industrial actual property market, in accordance with its proprietor, Kilroy Realty Company.
“This can be a resounding signal that persons are nonetheless excited to be part of San Francisco and its future,” San Francisco mayor London Breed mentioned in a launch.
Dropbox, which offers information storage and different providers hosted within the internet cloud, signed a 15-year lease for all of the office space within the constructing in 2017, in accordance with its proprietor, Kilroy Realty Company.
It was unclear how a lot of the 750,000 square-foot (60,000 square-meter) office property continues to be being utilized by Dropbox given a shift to tech employees tending to their jobs remotely because of the pandemic.
Dropbox introduced late final yr it was turning into a “Digital First” firm, with working from outdoors the workplace turning into the “major expertise ” for its staff.
Dropbox mentioned in its newest quarterly earnings report that it deliberate to sublease a portion of its workplace area whereas protecting some for staff collaboration.
The tech agency reported $398 million in “impairment costs” within the ultimate quarter of final yr associated to its leased area.
Silicon Valley has seen departures of a few of its high-profile stars as a pandemic-linked shift to distant work and political polarization have dulled the attract of the important thing tech trade hub.