Google to spend $2.1 B on Manhattan, New York City campus acquisition
Google is planning to buy St. John's Terminal in New York City for $2.1 billion, making it the anchor of its Hudson Square campus. The announcement arrives with the city buffeted by the COVID-19 pandemic and most offices still largely unpopulated.
While CEO Sundar Pichai said in a blog post late last month that Google is delaying its global return to offices until January 10, the commitment by the company to further invest in New York City real estate was trumpeted both by Mayor Bill De Blasio and New York Gov. Governor Kathy Hochul.
"Google's historic investment in New York City marks an enormous step for our recovery," de Blasio said in a prepared statement.
Google has had a footprint in New York City for more than two decades, and it is the company's largest location outside of California. Its 1.7 million-square-foot Hudson Square campus is on the Hudson River just south of the New York University campus and Greenwich Village.
"As Google moves toward a more flexible hybrid approach to work, coming together in person to collaborate and build community will remain an important part of our future," the company's Chief Financial Officer Ruth Porat said.
"It is why we continue investing in our offices around the world. Our decision to exercise our option to purchase St. John's Terminal further builds upon our existing plans to invest more than $250 million this year in our New York campus presence," she added.
Google currently leases the St. John's Terminal property and expects to open its new space there by the middle of 2023.
The company anticipates its investment will add another 14,000 employees in New York City.