Twitter sued by landlord at S.F. HQ after alleged $6.8 million in missed rent payments

Twitter sued by landlord at S.F. HQ after alleged $6.8 million in missed rent payments

The landlord of Twitter’s San Francisco headquarters sued the social media firm on Friday after it allegedly did not pay nearly $6.8 million in rent in December and January.

SRI Nine Market Square LLC
alleges that Twitter did not pay rent
after being served with a discover of default in December and breached its lease in a swimsuit filed in San Francisco Superior Court. The landlord stated it drew from most of Twitter’s letter of credit score safety deposit of $3.6 million to fulfill the December rent fee, however Twitter nonetheless owes $3.1 million in unpaid rent from January.

The landlord can be in search of to extend Twitter’s line of credit score to $10 million, based mostly on a clause in its lease triggered by switch of management of the corporate, however stated Twitter has refused to take action. Elon Musk purchased the corporate in late October for $44 billion.

The plaintiff is an affiliate of landlord Shorenstein and the JPMorgan Chase funds that personal 1355 Market St., the place Twitter leases 462,855 sq. ft of workplace house.

Multiple landlords are actually suing Twitter over alleged nonpayment of rent, together with the proprietor of
650 California St. in San Francisco,
which alleged Twitter owes $136,260 in again rent final month. The Crown Estate, which manages property for King Charles III of the United Kingdom,
also sued Twitter
for alleged unpaid rent in a London workplace, the Telegraph reported on Monday. And Twitter was
sued by its landlord
over alleged unpaid rent after vacating its Seattle workplace.

The New York Times reported final month that Twitter
stopped paying rent
at all its places of work in an effort to renegotiate leases and lower prices.

Twitter, which laid off its communications group, didn’t instantly reply to requests for remark. Shorenstein declined to remark. San Francisco Business Times
first reported the lawsuit.

Separately, San Francisco officers proceed to research whether or not
Twitter illegally converted office space into housing. In an replace posted on Monday, a constructing inspector contacted a contractor to resume a tenant enchancment allow in the constructing and seeks to do one other in-person walkthrough of the house. An inspector beforehand discovered
beds in two rooms last month.

Roland Li is a San Francisco Chronicle workers author. Email: [email protected] Twitter: @rolandlisf