SAN FRANCISCO, Calif. /California Newswire/ — San Francisco Mayor Edwin M. Lee today announced that Macy’s, the nation’s largest department store chain, has entered into a 242,753 square-foot lease at 680 Folsom Street in South of Market (SoMa) to house the e-commerce operations of macys.com.
“I am thrilled that we have reached this milestone of more than one million square feet of office space leased by technology firms in just the first two months of 2012. We are moving forward and relentlessly focusing on job creation here in our City and reaffirming that San Francisco is the ‘Innovation Capital of the World,’” said Mayor Lee. “With Macy’s long history in San Francisco, it is fitting that that their entire technology division is located right here in the heart of SoMa, taking advantage of the incredible talent in our City. I want to thank Kent Anderson, President of macys.com, for his leadership and commitment to San Francisco and acknowledge the hard work of the Macys.com team, TMG, and Rockwood in getting this deal done.”
Macys.com will expand by more 100,000 square feet and will occupy the top seven floors at 680 Folsom Street with a 15-year lease term. They will move to 680 Folsom in January 2014 when the building remodel is scheduled to be completed.
“Our new offices at 680 Folsom St. will provide an outstanding environment for the continued growth of macys.com as one of fashion retailing’s largest, most dynamic and customer-centric e-commerce operations,” said macys.com President Kent Anderson. “Our company’s omnichannel approach to the customer sets us apart from other retailers, and we are assembling a talented team to continue to develop the business. 680 Folsom will accommodate our needs as we move to the next level of growth.”
“Macy’s is a fantastic tenant not only for this space, but to complement the increasing broad based growth in San Francisco’s SoMa area,” said TMG Partners Chairman and CEO Michael Covarrubias. “It’s very exciting to be a part of this renewed vitality here in the City and we believe it not only indicates the strengthening of our local economy, but indicative of the positive trending in both the residential and commercial space within this area of the City.”
Macy’s lease comes on the heels of a 167,788-square-foot lease in the same 680 Folsom Street building, announced last month by Riverbed Technology. With 410,541 square feet leased, 680 Folsom Street is 80 percent leased. This shows that, as seen in 2011’s year end numbers, the technology industry continues to be a driver of office leasing in San Francisco.
More than one million square feet of office space have been leased by technology firms in just the first two months of 2012:
· Salesforce.com – 400,000 Sq Ft at 50 Fremont Street
· LinkedIn – 57,000 Sq Ft at One Montgomery Street
· Riverbed Technology – 167,788 Sq Ft at 680 Folsom Street
· Funzio – 20,000 Sq Ft at 55 2nd Street
· Kabam – 64,000 Sq Ft at 795 Folsom Street
· 6Waves – 26,405 Sq Ft at 550 Kearny Street
· StumbleUpon – 63,000 Sq Ft at 310 Brannan Street
· Macys.com – 242,753 Sq Ft at 680 Folsom Street
Macy’s, Inc., with corporate offices in Cincinnati and New York, is one of the nation’s premier retailers, with fiscal 2011 sales of $26.4 billion. The company operates about 840 department stores in 45 states, the District of Columbia, Guam and Puerto Rico under the names of Macy’s and Bloomingdale’s, as well as the macys.com and bloomingdales.com websites. The company also operates seven Bloomingdale’s Outlet stores.
About TMG Partners
TMG Partners, founded in 1984 and headquartered in San Francisco, is a full-service real estate development and management company. TMG has developed more than 18 million square feet of property throughout the San Francisco Bay Area, including Emeryville, Marin City, Novato, Palo Alto, San Bruno, San Jose and San Francisco. One of the most active developers in this area in the last decade, the company has developed a variety of office, retail, residential and industrial properties, ranging from office campus and multi-story properties in urban, infill locations to mixed-use retail and single-story suburban buildings. For detailed information, visit: www.tmgpartners.com.