Amazon offloads 507K sf lease in East Bay

Veev, a modular homebuilding company, has subleased a 506,925-square-foot warehouse in Hayward from Amazon.

The San Mateo-based firm agreed to sublease the warehouse at 2701 West Winton Ave. from the e-commerce giant, the San Francisco Business Times reported. Terms were not disclosed

The 23-acre site includes 12,000 square feet of office space, 188 parking spaces and 146 trailer stalls, according to a KBC Advisors listing. It’s 11 miles from the Oakland Airport and 17 miles from the Port of Oakland.

It’s zoned for industrial uses that include high technology, research and development and warehousing. Veev intends to move into the property July 1, according to the Business Times.

Amazon put the West Winton site up for sublease alongside two other properties totaling more than 430,000 square feet in San Leandro at the beginning of the year. Executives said extra capacity in its fulfillment and transportation network contributed to a $2 billion year-over-year increase in costs.

Veev was represented in the deal by Chris van Keulen and Robert Ferraro of CBRE. Amazon was represented by Sam Higgins and Tom Damachino of KBC Advisors.

In March, Veev raised $400 million in a Series D funding round. The company expects to expand its workforce by 30 percent to 475 by the end of this year, Veev CEO Amit Haller told the Business Times. It underwent a similar worker expansion last year.

The construction technology startup, founded in 2008, produces components for residential projects — walls, ceilings and floors — which can then be assembled at a given site, cutting construction timelines and labor costs. It says it can build build housing four times faster than traditional firms

In 2020, it completed a 78-unit emergency housing development in San Jose in 90 days. It’s now working with Lennar on an East Bay housing project.

Veev has a factory in nearby Union City of about 50,000 square feet. It’s not clear whether the West Winton deal represented an expansion or a relocation of Veev’s operations. The company is based in San Mateo and has a research and development arm in Tel Aviv.

[San Francisco Business Times] – Dana Bartholomew

Read more

National

Modular housing startup Veev raises $100M to build homes faster, cheaper

San Francisco

Amazon finds taker for 300K sf industrial sublease in East Bay