PG&E Picks Up Pleasanton Offices for $22 Million

Pacific Gas & Electric is growing its presence in the East Bay with another office building acquisition.

PG&E purchased the offices at 5928 Stoneridge Mall Road in Pleasanton in an all-cash deal for $21.8 million, the East Bay Times reported. Workforce management company Workday sold the five-story property totaling 209,000 square feet. The deal also includes an adjacent parking garage.

The utilities company picked up the offices and parking structure for a notable discount. The assessed value of the office building is $67.3 million and the parking garage was assessed at $5 million, according to public records cited by the East Bay Times. With a $21.8 million combined sale price, PG&E acquired the buildings for 69.7 percent less than their assessed value.

The Pleasanton purchase was executed to “provide adequate office workspace for [PG&E’s] coworkers that are supporting the greater Bay Area, including the Tri-Valley,” PG&E spokesperson Tamar Sarkissian told the East Bay Times.

Workday, which has its headquarters in Pleasanton, has been working to sell one or more office buildings in the East Bay city for some time, according to the East Bay Times. It isn’t clear whether the company is still looking to sell or sublease offices in Pleasanton, though it has stated that it aims to keep its headquarters site despite the company shaving its real estate holdings.

PG&E hasn’t shied away from spending significant sums of money on real estate across the Bay Area.

Last June, the company completed its acquisition of its current headquarters complex at 300 Lakeside Drive in Oakland for $985.5 million. The transaction included $906 million for a parcel containing a 28-story office tower and an adjacent parcel with an office and retail building for $79.5 million. The Oakland headquarters is the home office for approximately 7,000 of PG&E’s 26,000 workers.

— Chris Malone Méndez