PG&E’s Oakland Headquarters Move and Purchase to Save Customers Approximately $757 Million

PG&E’s planned purchase of its headquarters building at 300 Lakeside Drive in Oakland is part of its real estate consolidation plan. Over the lifetime of the investments, the plan is expected to save customers the equivalent of $757 million (today’s value).  

The company first announced the move from San Francisco to its new location in Oakland in 2020. 

In addition to the headquarters relocation, the larger strategy to cut PG&E’s Bay Area office space in half (since 2020) includes consolidating four East Bay office locations into one.  

The relocation plan previously approved by the California Public Utilities Commission (CPUC) in 2021 was forecast to save customers the equivalent of $752 million in value today. In August 2024, the CPUC approved PG&E’s Petition for Modification, which confirms that PG&E has executed according to plan and provides customers with an additional $5 million in savings due to effective management of costs related to the move.  

The CPUC, in reviewing the proposed transaction, concluded that buying the building is more cost-effective than leasing. The purchase price of about $900 million is in line with PG&E’s initial estimates. 

PG&E will submit an Advice Letter to the CPUC in the next few months that will determine how the transaction will affect customer bills. 

The 300 Lakeside Drive building is the home office for about 7,000 of PG&E’s 26,000 coworkers.