The new development is located adjacent the San Francisco-based oil company's 92-acre, 1.4 million-square-foot Chevron Park complex that is part of Bishop Ranch-–on land Chevron sold to the park's developer Sunset Development Co. in late 1999. Chevron Park is home to around 3,200 Chevron employees and contractors.

The new building will hold 500 employees, some of whom are currently housed at rented locations with expiring leases elsewhere in the 585-acre business park. Hap Payne, president of Chevron Business & Real Estate Services, says the additional space requirements "are, in the main, the result of growth of our Web-based e-businesses."

It is rumored Chevron will be taking more of the space in Bishop Ranch I as it is developed. San Francisco-based McKesson HBOC Inc also is said to be interested in space. Lease rates are believed to be in the $40/sf range. More lease announcements are expected by April.