Chevron Expands at Bishop Ranch

SAN RAMON, CA-Chevron has leased an additional 106,673 sf of office space at Bishop Ranch, a 585-acre development managed by Sunset Development Co. The tenant is Chevron USA’s Business and Real Estate Services unit. The space it leased is within the three-building, 747,000-sf BR1 office complex, which sits next to Chevron’s world headquarters and is now 95% leased, according to Sunset.

The lease takes to 325,000 sf the amount of leasing that has occurred at Bishop Ranch since the start of October. Other larger deals in the fourth quarter include BenefitStreet Inc., which leased 42,139 sf in BR15; CNP, which leased 40,000 sf in BR7; Reply Inc., which leased 39,413 sf; and AccountNow, which leased 25,000 sf in BR3.

Bishop Ranch totals about nine million sf. Chevron occupies some two million sf within the development. Other major users include Centex, Lennar Homes, TBM, Comcast and AT&T, which keeps its regional headquarters at Bishop Ranch. All told, about 30,000 people work at 500 different companies within Bishop Ranch.

The lease rate on the Chevron deal was not released by the parties involved. According to Colliers International, the average class A effective lease rate in San Ramon was between $2.00 and $2.03 per sf per month. “Bishop Ranch, which dominates San Ramon market statistics, typically writes leases with high contract rates, yet offers substantial amounts of free rent as an offset to achieve competitive effective lease rates,” states the report.