I heard that Spring campus could be reduced to 33% only for ExxonMobil and 67% leased out to other companies and offices. Many working from home and many laid off, this sounds a logical idea.
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I asked a former GREF (EP&S) person about why they didn't just connect all the buildings (like the plus 15 in Calgary). They besides the cost eventually the will lease out the buildings to other companies and they needed to have each building have separate badge access. Not sure if it is true but Calgary is planning to do this AND if you go to Leatherhead they have now leased parts of it out. If you've been to Leatherhead before this, you know what a nightmare it was to get in...security was a pain. So, if they have done this in Leatherhead...it is probably coming to the Campus.
Will never happen. How would we enforce our precious speed limit on the ring road and parking garages? Not to mention who would be willing to drive alllllll the way through the one way parking garage like we have to. Let’s not even start with holding hand rails and not cutting corners or walking and texting.
That was always the plan in Calgary. That’s why there’s a separate vestibule for that last building.
The only news would be if they decide to cram everyone into that one building and rent out the other four.
She should convert it into apartments or a prison.
I know for a fact this rumor isn’t true. BUT doing something similar at the Calgary is already in the works.
We leased out big sections of Florham Park when we were still there, but at reduced occupancy.
Given the current cash crunch, selling the campus and leasing back would be a way to monetize it. The combination of layoffs and work-from-home will greatly reduce office space demand, so having other companies share the campus makes sense. The security was designed with that in mind. Hughes Land consolidation was always in the plan, but the cuts and work-from-home are deeper than envisioned, so reducing the EM footprint to save money makes sense. Do we really care who owns the buildings?
Those here silly enough to predict the demise of EM or the oil industry are either foolish or oblivious to how the industry works. Natural decline of existing oil wells is 7-8% per year on average, and there is very little drilling happening right now because oil prices do not support it. Soon the decline in global oil supply will take it below global demand, global inventories will draw, and prices will rise. That is how the oil business cycle works, and it’s been happening for decades. This cycle is a little different because of the pandemic, but demand will return, and grow.
The challenge for EM is how to manage through the bottom of cycle. Pretending the dividend is sacrosanct and preserving it at the expense of damaging the best asset EM has, it’s highly talented and dedicated workforce, is also foolish and will result in long term damage to the earnings potential of the company. For a senior management that is supposed to be maximizing “long term” shareholder value, that is unforgivable.
Clinton had whole wing of building leased at one point, just requires a different badge on the reader by the door, very common.
Not familiar with the US context, but in Europe that kind of move is not uncommon : sell an office building and lease back part of it or bring in a new tenant.
Anyone who works or has worked at EM knows it’s not going to happen and would never ask something like that. Typical testing by a troll.
Sell it. Lay off all in Houston. Run everything from India, KL and BA. Keep a couple hundred in Dallas
Of course now that there is an oversupply of office space in the market, Exxon would jump into another suffering, declining commercial enterprise.
Lease from the guys who brought you:
We are the best.
Yesterday’s technology tomorrow.
Lol 😂
I heard that trolls make silly statements just to see how many reactions they can get.
Oh, the sky is not falling
The next boom is right around the corner and we'll need all this office space. Our mgt is smart enough to see this so we'll keep some hot desks open for a while until it O&G comes back as it has everytime in my father's and my career.
Renting out to the companies is easily doable and highly probable. The potential was part of the original justification anyway. We have done it many times before, both ways.
Once Fuels is sold off, it would make sense for Rosneft then to put their N.A. HQ in Spring campus.
I suspect their security requirements are similar.
Transition smoother. All of that.
There’s so much EM related marketing around campus. I can’t imagine other companies being here since it would all be very “in your face”.
There was a plan last year to mothball an entire building. I guess that was mothballed too.
It’s frankly laughable how they are Penny wise and pound fool.
Na. They will fill with employees. Get rid of Hughes landing and bring those employees over
XOM keeps it all. Everyone gets an office - no more Large Open Area desks where the inevitable future pandemic will spread. It was a bad design from the start.
It will probably be empty if they don’t.
They shouldn’t have wasted all of that money in the first place.
No way ever. They will sell and then lease back before that happens.
No way......not enough security or control.
@rxy+17YYH2SQ, I guess CBRE could manage the property?
A likely logistical nightmare, it makes sense but seems unlikely, would probably have to have the campus under non-XOM management have have XOM as a tenet.