PG&E pronounces deal to promote San Francisco headquarters
SAN FRANCISCO (KRON) – Pacific Gas & Electric sells its San Francisco headquarters.
The $ 800 million deal was announced on Monday.
Hines Atlas US LP will acquire the PG&E complex at 77 Beale St and 245 Market St pending approval from the California Public Utilities Commission to repay the net income generated by the sale to PG&E customers.
The utility company will move to a new location in Oakland.
The new PG&E headquarters at 300 Lakeside Drive will be ready for occupancy by 2022 – and is expected to cut costs for the utility company.
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“We work hard every day to make fundamental changes to PG&E and to deliver what our customers expect and deserve,” said Patti Poppe, chief executive officer of PG&E Corporation. “We are committed to keeping customer costs as low as possible. One way to do this is to sell non-core assets, including real estate. This sale and move will result in cost savings that will directly help reduce customer bills. At the same time, it will provide us with an efficient and effective workspace in the Bay Area as we focus on delivering for all of the communities we serve. “
PG&E will propose to CPUC to distribute over $ 300 million from sales to customers to offset future customer tariffs.
PG&E also plans to consolidate two additional satellite office locations in East Bay – 3401 Crow Canyon Road in San Ramon and 1850 Gateway Boulevard in Concord – into its new headquarters in Oakland.
