LOS ANGELES (CBSLA.com) — One of the world's biggest Internet search engine companies is coming to Los Angeles.
Yahoo! Inc. will be bringing some of its local operations into the city - with hundreds of jobs in tow - as part of a Southern California consolidation move, Mayor Eric Garcetti announced Thursday on KNX 1070 NEWSRADIO's monthly "Ask The Mayor" segment.
The company signed a long-term lease for approximately 130,000 square feet at the Collective Campus in Playa Vista with commercial real estate firm Tishman Speyer, according to the Mayor's office. The company's move will bring at least 400 jobs from its current location in Santa Monica, with space to accommodate future growth, officials said.
According to Garcetti, the news gives Los Angeles County the distinction of having the most tech jobs of any county nationwide, including Santa Clara County up in Silicon Valley. The region is also home to industry leaders such as Snapchat, Riot Games, ZEFR, Factual, Oblong Industries, and StudyMode, the mayor said.
The move is set to take place sometime in the fall of 2015, according to Garcetti.
"It just means good jobs for all of us," he said. "I think in the new economy, in particular, L.A. is well-poised to take advantage."
In a statement, Ken Goldman, CFO of Yahoo! Inc. said: "While we have always had a presence in Southern California, working out of the City of Los Angeles is a priority for us now more than ever. In the fall of 2015, teams currently based out of our Santa Monica office will transition to our new Playa Vista campus."
When asked if any city subsides were given to induce Yahoo to move, Garcetti said the holiday on gross receipts tax for new companies combined with offering a low tax rate were big factors in luring the Sunnyvale, Calif.-based firm.
"So we've said, 'We will charge you the lowest tax rate that we have if you come in as a tech company," he said.
Councilmember Paul Krekorian, who officials say was a central figure in the discussions to bring Yahoo! to L.A., hailed the move.
"What an incredible win for Los Angeles," said Krekorian. "I couldn't be happier that Yahoo! has decided to bring hundreds of jobs into our great city. This is a boon for our local economy that will spur innovation and economic growth, and it proves that L.A. is a national tech hub."
The announcement comes just over a month after Google it would be expanding its presence in the Southland with a $120 million purchase of 12 vacant acres in a Playa Vista neighborhood near Marina del Rey.
for more features.