The global enterprise software company salesforce.com is withdrawing plans to establish its headquarters in San Francisco’s Mission Bay district, according to a report in the Wall Street Journal. Salesforce.com purchased 14 acres in Mission Bay for $278 million in 2010. It has now decided to move its 3,000 San Francisco-based employees to 50 Fremont – a downtown building that has since become available. Of the 4.4 million square feet of potential office space, salesforce.com had about 1.9 million.

The development of Mission Bay will continue, however, the loss of this project will change the timeline, according to those interviewed for the report. The salesforce.com project will likely be replaced by smaller ones that will eventually fill the unused space. Pier 70, an old shipyard just south of Mission Bay that is expected to be converted into office space, may also witness a reduction in demand and in the speed of its development because of the salesforce.com withdrawal.

The University of California, San Francisco (UCSF) has a research center at Mission Bay and will soon add a hospital. Many biotech companies have also moved to this former rail yard area.
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Last Updated on March 25, 2012 by Ramin Seddiq