MENLO PARK, CA—Facebook has agreed to pay the city $1.5 million over the next 10 years as to expand into a "West Campus" across Bayfront Expressway from its headquarters.
Under terms of an agreement that goes to the Menlo Park City Council next week, the social network company also would contribute $100,000 for local improvements and restrict the number of vehicles going in and out of the new campus, according to the Palo Alto Daily News.
Facebook moved from Palo Alto to the former Sun Microsystems campus in mid-2011 and now is preparing to build a new facility designed by celebrated architect Frank Gehry on a 22-acre parcel at the former Tyco Electronics site.
The proposed agreement also guarantees that Facebook would deliver on some of the commitments it made to the city in early 2012, should it decide to vacate its current headquarters, known as the East Campus, after opening the new buildings. Among other things, Facebook had agreed to pay the city $15.1 million over 15 years in exchange for permission to accommodate up to 6,600 employees there.
A design for the new West Campus, unveiled in August, shows a long, single-story building that encompasses about 10 acres and has a roof covered with trees. The building would connect with Facebook's East Campus via an underground tunnel. The company said it plans to put about 2,800 employees on the West Campus.
In addition to the proposed development agreement, a letter to the city from John Tenanes, Facebook's global real estate director, notes that the company is also providing $4.5 million in below-market-rate housing fees, $1.3 million in a traffic impact fee and $1.1 million for a street repair fee.
Click Palo Alto Daily News for the full story.
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David Phillips
David Phillips is a Chicago-based freelance writer and consultant with more than 20 years experience in business and community news. He also has extensive reporting experience in the food manufacturing industry for national trade publications.
