A landlord at an office leased out to Twitter filed a lawsuit last week accusing the company of owing them $136,250 in rent for the 30th floor of an office tower located at 650 California St.
Columbia Reit
According to a report in the San Francisco Standard, the landlord, Columbia Reit – 650 California LLC said it served a default notice to Twitter on December 16. After five days and no payment they filed a law suit. The landlord is asking for backdated rental with interest and legal fees.
Twitter and and another adtech startup Crossinstall rented the 30th floor of 650 California under a seven-year lease which was signed in September 2017.
Apparently ever since Elon Musk took over, Twitter had reportedly stopped paying rent at many of its global offices including its Mid-Market headquarters in San Francisco.
Shorenstein Properties and JP Morgan, who own Twitter Mid-Market headquarters were reportedly struggling to refinance their loan on that property late last year.
On a different note, San Francisco city officials are investigating a complaint filed with the city’s 311 reporting service. The complaint was against Twitter for transforming its company headquarters into a quasi-motel for employees. Apparently the office had queen beds, converted vouchers and even a washing machine for all the employees Elon Musk’s is supposedly working to exhaustion.
Building code requirements
The city’s Department of Building Inspection said it was looking into whether the company was violating city zoning codes with its in-office bedrooms. According to one representative, “There are different building code requirements for residential building, including those being used for short-term stays.”
Musk tweeted a furious message last month saying that he was angry that San Francisco (or Columbia Reit perhaps) wanted to ‘attack’ his company for “providing beds for tired employees”.
He called out on San Francisco mayor London Breed saying that he should be “making sure kids are safe from fentanyl” instead though the mayor’s office did not respond.
Pictures of the converted bedroom reveal hideous bright orange carpeting and massive conference-style screens hanging on the wall. They also reveal a small token fleece blanket tucked under a bed table and what seem like wrapped complimentary slippers you would normally find in a three star hotel.
A washing machine could also be seen in an old utility room. Other pictures include one of a couch that had been converted into an uncomfortable looking bed.
Musk himself had earlier claimed that he is sleeping at the headquarters although one does question if one of the world’s richest men would really be doing so. In any case these amenities are hardly an incentive for any employee as all it does is remind them of Musk’s new hardcore work policy.
Nevertheless, netizens are saying Columbia Reit may end up paying more through the courts, to lawyers etc, and may not recover the money Twitter supposedly owe them.