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Google buys London office for $ 1 billion after record New York purchase

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Sundar Pichai, CEO, 1 St Giles High St, London WC2H 8AG, Alphabet in front of the United Kingdom (Getty Images, Wikimedia Commons / Prior Lehman)

Hey Google, who most believes in the future of office space?

High-tech companies that have recently purchased will probably get the first results. The Wall Street Journal reported that it plans to spend $ 1 billion on Central St. Giles, a London office property near the British Museum that the company was already using.

The property is approximately 1.6 kilometers (a mile and a half) from where Google’s parent company Alphabet is building its headquarters next to King’s Cross Station.

(Source: Central St. Giles)

(Source: Central St. Giles)

According to the Journal, Google employs 6,400 people in the United Kingdom. Over the next few years, the company will be able to employ 10,000 people in the country.

Google’s purchase in London will take place approximately five months after state transactions spill over into the US office market. The company announced in September that it would buy an office on 550 Washington Street, which the company has already leased for $ 2.1 billion. This will be the largest office sale in the United States since the outbreak of the pandemic.

The purchase of St. John’s Terminal from Oxford Properties will take place in the first quarter of 2022.

Alphabet has previously announced plans for about 20% of US employees to work full-time at home. However, recent high investment in office real estate suggests the belief that offices will be needed, at least in part, in the future.

Alphabet CEO Sundar Pichai has positioned Google to adopt a hybrid work situation where employees come to the office three times a week. The company planned to return employees to the office on a regular basis this week, but the epidemic of the Omicron coronavirus variant forced them to discontinue these plans.

Currently, the company does not have a clear reinstatement plan and has only vowed to wait until the situation is reassessed later this year. In the meantime, it continues to encourage employees to voluntarily enter the office as conditions permit.

[WSJ] Holden Worther-Warner

Holden Walter-Contact Warner

Sources

1/ https://Google.com/

2/ https://therealdeal.com/2022/01/14/google-buying-london-office-for-1b/

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