Bosch leases Sunnyvale offices amid expansion push

SUNNYVALE — Bosch, an organization that has begun to meld its industrial know-how with the rising applied sciences arising from the Internet of Things, has leased a giant workplace constructing in Sunnyvale that may underpin the corporate’s Silicon Valley expansion.

About 300 Bosch workers will relocate to the Sunnyvale offices by the tip of the yr, the corporate stated Thursday.

“The transfer to Sunnyvale is reflective of Bosch’s ongoing dedication to innovation and steady enchancment,” stated Mike Mansuetti, president of Robert Bosch LLC.

Bosch’s new Sunnyvale offices will probably be about 40 % bigger than the corporate’s current workplace area in Palo Alto. Plus, Bosch at current is working out of a number of buildings in Palo Alto, stated Linda Beckmeyer, a spokeswoman for Bosch.

The firm additionally intends to parlay the brand new location right into a option to faucet the world-class brainpower in Silicon Valley. In 2015, Bosch launched an effort to mix its industrial experience with innovative applied sciences.

Bosch believes that its core merchandise — dwelling home equipment, auto elements, monitoring techniques and industrial devices — can turn into sensible gadgets by means of the linked applied sciences which can be rising from the Internet of Things.

“Not solely is the brand new location bigger and higher fitted to collaboration, it’ll additionally higher place our associates to work together with the massive, vibrant ecosystem of universities, analysis institutes, expertise corporations and startups which can be key to our success in Silicon Valley,” Mansuetti stated.

Research and improvement workers, together with employees with different firm teams similar to Bosch Corporate Research and Bosch Venture Capital, will work out of the brand new Sunnyvale offices.

The new offices are in a four-story constructing that’s considered one of Silicon Valley’s newer buildings. It consists of analysis labs, workshops, storage area, assembly rooms and administrative offices. The lease was organized by means of Cushman & Wakefield brokers Sethena Leiker, Rich Hardy and Kent Ilhardt and CB Richard Ellis dealer Joe Kelly.

Bosch’s new offices may also comprise quite a few bells and whistles that tech companies usually dangle in entrance of present workers and potential recruits. Among these: wellness rooms, out of doors seating, gathering areas, recreation rooms, music rooms, collaborative areas and artistic areas.

The firm additionally relied on employees for ideas concerning the optimum metropolis for relocation.

“Associate enter was a key consideration for the relocation,” Mansuetti stated. “Bosch factored in commuting patterns, entry to public transit and native facilities to search out the most effective location for our workforce to thrive.”

Although Bosch is relocating 300 workers to Sunnyvale, a constructing of about 104,000 sq. toes can sometimes accommodate about 500 workers, based mostly on customary sq. footage and worker ratios for Bay Area workplace buildings. Bosch wouldn’t say if it was instantly in search of employees for the brand new Sunnyvale location.

“We at all times have jobs posted on our web site,” Beckmeyer stated.

The Bosch lease is a welcome counterpoint to a notion of some softness within the Bay Area workplace market.

“Silicon Valley’s workplace emptiness price remained unchanged in the course of the first quarter of 2017 at 9.1 %” in contrast with the fourth quarter of 2016, in accordance with a recent report by Cushman & Wakefield.

In addition, workplace tenants are vacating areas and placing offices they have been renting available on the market, the brokerage decided.

“Sublease area continued to rise, ending the primary quarter at 30.four % of all obtainable area, up from 25.four % within the fourth quarter and properly above the ten yr common of 13.2 %,” Cushman reported.