Pinterest will pay nearly $100 million to consolidate its office space as part of a newly announced restructuring, detailed in a recent filing with the Securities and Exchange Commission.
The company plans to close its offices at 505 Brannan St. and 149 Bluxome St. in San Francisco but maintain its headquarters at 651 Brannan St.
Add to that the layoff of 4% of workers – the company started layoffs in February.
The new plan will “support the company’s corporate strategy, improve efficiencies and position the company for the ongoing macroeconomic environment,” the filing reads. Costs will primarily be associated with negotiating lease terminations.
“We have made the decision to strategically reduce our space in select locations to better align the way Pinterest employees work with our goals for business efficiency and sustainability,” said Pinterest in a statement provided to SFGATE.
The San Francisco Business Times reported that the company would not be renewing its two-story leases at 410 Townsend St. in December 2022.
Pinterest has not responded to SFGATE’s request for comment at the time of publication.
According to LinkedIn, the company employs approximately 1,700 people in the Bay Area.
Pinterest was one of the first major tech companies in San Francisco to pay millions to shed office space amid the pandemic, paying nearly $90 million to terminate an office lease at 88 Bluxome. The company had planned to move some operations to the new building prior to the pandemic, but after the company pulled out and other lawsuits followed, groundbreaking for the building has yet to be broken.