#DROPBOX LAYOFFS FULL#

In January, Dropbox had 315 layoffs, or 11% of its workforce, to streamline its teams, including consolidating product development, technology and market teams. BridgeBio and VirвЂ™s subleases are structured in the same way, known as a triple net lease, according to a person with knowledge of the deals. That could rise by another $50 million this year, Regan said.ДropboxвЂ™s lease is subject to additional costs including taxes, insurance and maintenance, according to corporate filings. The company reported a loss of $398 million in the fourth quarter related to its shift to remote work and subleasing its real estate.

#DROPBOX LAYOFFS FULL#

вЂњWe do not expect to recover the full value of our lease obligations,вЂќ said Tim Regan, Dropbox chief financial officer, on a February earnings call. Vir is paying $47.44 per square foot in base rent with 3% annual escalations.ДropboxвЂ™s 2017 lease requires rent payments of $848.3 million over 15 years, with starting annual rent of $62 per square foot that escalates to $93.78 at the end of the lease. That comes out to $42 per square foot annually, less than what Dropbox is paying in its original lease for the building, according to corporate filings.

The company focuses on rare genetic diseases and operates a portfolio of subsidiaries that research drugs.Дropbox appears to be taking a loss on its subleases to both BridgeBio and Vir.Д«ridgeBio signed a five-year sublease with minimum rent of $11.2 million, according to a Securities and Exchange Commission filing.

BridgeBio has around 400 total employees. The company will have space for 358 employees. Life science is classified as an essential business and many tasks require in-person work, fueling the demand for real estate.Д«ridgeBioвЂ™s lease was signed in October and confirmed by the company this week. The biotech sector is hungry for lab space and offices, in contrast to tech companies that are giving up their workplaces, in a positive sign for a Bay Area economy in turmoil. Owner Kilroy Realty is in contract to sell the building for $1.08 billion this month, the second-largest sale of a single property in San Francisco history. Biotech growth in the 750,000-square-foot property, branded as the Exchange, has helped boost its value to lofty heights.

Dropbox layoffs