Law Firm Renews Lease of 150 KSF Silicon Valley Office Building
- Nov 12, 2013
Fenwick & West is staying put in its Silicon Valley digs at 400 Castro St. in Mountain View, Calif., for the long term. The law firm recently renewed its lease of every single square foot of office space at the 150,000-square-foot property with owner Tishman Speyer, making its downtown address permanent for the next 15 years.
It was an early renewal at the six-story tower, which also carries the address of 801 California St. and features 9,900 square feet of ground level retail. The lease Fenwick & West signed when it moved into 400 Castro soon after the building’s 2002 completion had been scheduled to expire in 2017.
Financial details of the new lease have not been publicized; however, had Fenwick & West opted to move from its current home to another Mountain View location, it would have been faced with average monthly asking rates of a staggering $6.25 per square-foot, according to a third quarter report by CBRE Group, the commercial real estate services company that represented the law firm in the transaction.
Given the current state of the local office market, Fenwick & West’s decision to extend its occupancy of 400 Castro’s 128,781 square feet of office space was, more than likely, an easy one. As noted in the CBRE report, “Large occupiers continue to drive the Silicon Valley office market, as the major technology companies in the area absorb large blocks of space to keep up with their growing workforce.”
Sizeable suites, small suites–premier office space of any size is growing harder to come by in Mountain View. The vacancy level for Class A accommodations in the market was a mere 1.2 percent in the third quarter.