Facebook Inc FB has purchased Recreational Equipment Inc.’s newly-completed 400,000 square foot campus in Bellevue, Washington for $390 million, the two companies announced Monday.
What Happened: The Mark Zuckerberg-led company bought the campus located on six acres of land. along with an undeveloped 2-acre portion of the property, REI said in a statement.
The outdoor gear retailer noted it will switch its own operations to span multiple locations instead of being limited to one location, and also increase reliance on remote work.
The property was never occupied by REI due to the COVID-19 pandemic. The company cashed out as its employees took to working from home or from smaller offices in the area, the Wall Street Journal reported.
Three other Facebook buildings are adjacent to the property and are under development.
Why It Matters: Facebook employs 5,000 local workers in dozens of locations in Seattle, Bellevue, and Redmond. Overall, the Seattle area is the social media company's second-largest hub after its headquarters at Menlo Park, California, the Seattle Times noted earlier.
“The company’s offices are still vitally important to help accommodate anticipated growth and meet the needs of our employees that need or prefer to work from campus,” a Facebook spokesperson told the Seattle Times.
Last month, the social media behemoth leased 730,000 square feet of office space at Vornado Realty Trust’s VNO Penn District project in New York, in addition to the trust’s Hudson Yards property.
Amazon.com, Inc AMZN also expanded its office spaces across six cities in the United States last month by adding 900,000 square feet.
Price Action: Facebook shares closed 0.17% lower at $266.15 on Monday and gained 0.45% in the after-hours session.
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