Exelixis (NASDAQ:EXEL) Executes 111K sf Lease at The Waterfront
26-acre 385,000 Square Foot Class A Campus is now Fully Leased
Denver, CO (May 8, 2017) – Ascentris, a Denver-based real estate private equity firm, announced today the execution of a long-term lease with Exelixis (NASDQ: EXEL), a publicly-traded biopharmaceutical company that discovers, develops and commercializes therapies for cancer, at The Waterfront located in Alameda, California. The Waterfront is a 385K square foot Class A office campus comprised of six buildings on 26 acres within the Harbor Bay Business Park near Oakland International Airport. The property will be fully occupied once Exelixis completes its tenant improvements and takes occupancy in 2018.
Ascentris, on behalf of a pension fund client, acquired the property in 2012 knowing several large tenants would soon vacate, leaving over 150K square feet of space to lease. The original business plan for the property included performing significant building improvements followed by a revised leasing strategy targeting tenants looking for lower-cost options relative to other Bay Area submarkets, which boast some of the highest rents in the country. Ascentris enhanced the campus’ amenity offering with several additions including a new fitness center and yoga studio, electric vehicle charging stations, a bocce ball court and free Wi-Fi in the courtyard.
Exelixis is relocating from South San Francisco, where it has been headquartered for almost 25 years. The move will allow the cancer drug developer to realize significant cost savings while also benefiting from a culture-centric campus environment that helps companies attract and retain quality employees. “We are thrilled that Exelixis chose The Waterfront as its new corporate headquarters. Their long-term commitment is a testament to the quality of the real estate, and the value proposition both the East Bay and The Waterfront provide tenants,” said Ascentris Vice President Jake Rome. “A significant amount of the recent leasing success has been a result of tenants moving from San Francisco to The Waterfront looking to reduce occupancy costs while also upgrading the quality of their office environment,” added Rome. Ryan Hattersley and Elisa Konik of Cushman & Wakefield represented Ascentris and Gregg Domanico of Kidder Matthews represented Exelixis.
“When Ascend Communications constructed The Waterfront as their corporate campus, no expense was spared. 20 years later this remains the highest quality and most amenity rich campus environment in the inner East Bay,” said Ryan. “The project is centrally located, offers convenient BART, water ferry and vehicular access, an onsite café, fitness center, basketball court, bocce ball court, locker rooms in every office building and access to miles of waterfront trails. Exelixis will thrive here!”