PG&E Finalizes Purchase of Oakland Headquarters

PG&E today (June 3) finalized the purchase of its headquarters building at 300 Lakeside Drive in Oakland.

This is the latest step in PG&E’s overall plan to reduce real estate operating costs and save customers money. As part of this strategy, PG&E sold its previous San Francisco headquarters building and consolidated its major Bay Area office locations from four to one. PG&E’s sale of the San Francisco building is expected to return about $400 million in savings for customers over a five-year period through 2026.

PG&E purchased its Oakland headquarters through an agreement with Bay Area developer TMG Partners. PG&E took occupancy of the Oakland building starting in 2021 and completed tenant improvements through 2023. TMG will continue to manage the building under a six-year property management agreement with PG&E. 

Compared to leasing, purchasing the building is the lower-cost option for PG&E and its customers over the long term. The California Public Utilities Commission, in reviewing the proposed transaction, also concluded that buying the building is more cost-effective than leasing. 

The 300 Lakeside Drive building is the home office for about 7,000 of PG&E’s 28,000 coworkers. The move from San Francisco and the consolidation of other East Bay offices into Oakland represents a 50% reduction in PG&E’s major Bay Area office space since 2020. PG&E aims to create an urban campus setting near public transportation to help recruit and retain talent while investing in downtown Oakland’s future. 

“Our Oakland headquarters is a critical hub for our operational and innovation progress. We love being a part of the community in Oakland and look forward to our future in this vibrant city,” said PG&E Corporation CEO Patti Poppe.