California, ANI. Facebook’s parent company Meta and Microsoft are vacating their office buildings in Seattle and Bellevue in Washington. Facebook confirmed plans on Friday to sublease its offices in the six-story Arbor Block 333 in downtown Seattle and the 11-story Block 6 in the Spring District in Bellevue, the Seattle Times reported.
The Menlo Park, California-based social media giant said it is also reviewing leases for other Seattle-area office buildings.
The Seattle Times reported that Redmond-based Microsoft confirmed reports that it would not renew its lease at the 26-story City Center Plaza in Bellevue. The lease will expire in June 2024.
The Seattle Times reported that these announcements come in the face of the continued popularity of remote work and a tech recession accompanied by mass layoffs. Both have cut into demand for office space in Seattle and elsewhere.
According to the daily newspaper, both Meta and Microsoft have adopted remote work while bringing their workforces back into the tech sector. In November, Meta announced the layoff of 726 Seattle-area workers.
Meta spokeswoman Tracy Clayton told The Seattle Times that the leasing decisions were primarily driven by the company’s move toward remote, or “distributed” work, but acknowledged that, “given the economic climate,” Meta will also ” Trying to be financially prudent.”
Clayton said META currently occupies all of Arbor Block 333 and all of Block 6 in Seattle, which is scheduled to open later this year. The company still has offices in 29 buildings and approximately 8,000 employees in the Seattle area, which remains the company’s second largest engineering hub outside of the Menlo Park headquarters.
Edited By: Achyut Kumar