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Twitter sued for non-payment of rent on the San Francisco headquarters

Twitter sued for non-payment of rent on the San Francisco headquarters

Alex Schultz's photo

Twitter's headquarters are seen in San Francisco on November 18, 2022.

Twitter’s headquarters are seen in San Francisco on November 18, 2022.

Anadolu Agency/Anadolu Agency via Getty Images

Twitter has been sued for millions of dollars over allegations of non-payment of rent at the company San Francisco headquarters, according to a lawsuit filed Friday, Jan. 20.

The suit is the culmination of months of rumors that Twitter has not paid rent for its headquarters at 1355 Market St. originally reported by The New York Times. In the meantime, two else Unrelated lawsuits have been filed against Twitter for non-payment. Additional stories have surfaced that Twitter Do not pay for janitorial services at its headquarters and that some rooms in the headquarters had been furnished with beds, the latter having led to a still open investigation by the San Francisco Planning Department and the Building Inspection Department.

The Shorenstein Company, the real estate investment firm that acquired the building at 1355 Market St. In 2011, the suit found that Twitter owed $3.162 million in unpaid rent for January 2023 — plus interest and late fees. The lawsuit alleged that Twitter did not pay rent in December 2022 either; Shorenstein was able to get the December rent amount from Twitter’s $3.6 million letter of credit, which served as a security deposit. The real estate company then took approximately $265,000 of the remaining letter of credit to cover part of January’s rent. According to the lawsuit, the balance of this letter of credit was brought down to $1.

As a result of Musk’s purchase last October, Shorenstein said in the suit, Twitter’s letter of credit should have increased by more than $3.6 million — by $10 million, in fact. But Shorenstein alleged that Twitter refused to renew the amount drawn from the letter of credit to cover outstanding rent, and also refused to raise the letter of credit by $10 million.

Via a representative, Shorenstein declined to comment on the lawsuit. Twitter’s communications division was wiped out after Musk became CEO.



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