Google parent co. Alphabet announces $1 B NYC real-estate expansion

Google parent co. Alphabet announces $1 B NYC real-estate expansion

Google parent co. Alphabet announces $1 B NYC real-estate expansion

Tech giant Google plans to spend more than $1 billion to expand operations in New York City's Hudson Square neighborhood.

Google's NY investment also follows other new offices and data centers opened this year outside of its California headquarters in locations including Detroit, Boulder, Tennessee and Alabama.

However, Google has had a presence in NY for years already with little fanfare.

Google's first NY office at 111 Eighth Avenue is one of the city's largest buildings that it bought in 2010 for $1.77 billion.

The news follows Seattle-based Amazon's announcement a month ago that it would set up new headquarters in New York's Long Island City neighbourhood and in Arlington, Virginia, creating upwards of 25,000 jobs in each location.

The Manhattan campus will comprise two buildings on Hudson Street and a third on Washington Street. According to official statistics, tech sector employment in the NY grew by 65 percent to reach an estimated 134,700 from 2010 to 2017.

Google, which already has more than 7,000 employees in NYC, hopes to start moving into new buildings on Hudson Street by 2020, and into the building on Washington Street in 2020. The latest campus will be approximately 133 acres, making it the largest private employer in the city of Austin.

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The company recently agreed to pay more than $100 million for a swath of land in downtown San Jose, California, for a big new campus that will include employee housing.

Pictured above: Artist's rendering of 315 Hudson St. Google reports it will have the capacity to more than double the number of employees in NY to 14,000 over the next decade.

But Google is not the only company headed to NY for business expansion.

"We believe that as our company grows, we have a responsibility to support the communities we call home", said Porat.

"We're growing faster outside the Bay Area than within it", said Ruth Porat, chief financial officer of Alphabet and Google.

Porat telegraphed Google's plans to double down in NY a month ago during a technology conference.

She said the company's "investment in NY is a huge part of our commitment to grow and invest in U.S. facilities, offices and jobs".

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