Google’s Red-Hot Growth Continues Unabated
by Erik Hayden, on Nov 10, 2021 10:14:29 AM
Google’s parent company Alphabet Inc. recently reported its highest quarterly revenue bump in 14 years, with the ad market helping the search giant nearly double its profits in the third quarter, according to the Wall Street Journal.
Alphabet informed investors that the company “is planning to accelerate its investments in offices and data centers across the country, a commitment the search engine provider says is necessary to keep up with headcount growth,” CoStar News reported.
This is great news for San Jose, where commercial development had already kicked into high gear even before the City Council gave Google the OK earlier this year to build its Downtown West mega-campus.
“Google has long been one of Silicon Valley's most prominent real estate investors, pumping billions of dollars into the market and driving both sales and price increases for the South Bay region. The company is the largest occupant of real estate in the Bay Area and occupies more than 25 million square feet of office, flex and industrial space combined throughout the region.” – CoStar News-
Perhaps more important, though, is that Google’s expansion plans underscore what the experts are seeing across Silicon Valley. Companies throughout the valley have continued growing --and hiring--throughout the pandemic. The bottom line: Hybrid models or not, as companies continue to grow, they will need more space.
Urban Catalyst is developing several office buildings in downtown San Jose to take advantage of this demand. One of them is Icon, a 420,000-square-foot office building that’s part of our Opportunity Zone Fund II, which is open now for investments.
If you’re interested in learning about the potential tax benefits of Opportunity Zone investments, contact our team. A reminder that a potential 10% reduction in taxes ends this December, so act now.
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