Kaiser Permanente to build £715m headquarters in California, US
June 18, 2019 – Healthcare giant Kaiser Permanente has unveiled plans to build a new $900m (£715.7m) headquarters, named Kaiser Permanente Thrive Center, in Oakland, California in the US.
To be built at 2100 Telegraph Avenue, the new headquarters will bring together about 7,200 staff currently working in seven locations, and is expected to reduce operating costs by more than $60m (£47.9m) annually.
Construction on the building is scheduled to commence in 2020 and be completed in 2023.
Kaiser Permanente chairman and CEO Bernard Tyson said: “While allowing us to go from 7 sites to one and reduce operational costs by more than $60 million annually, which will create additional benefit for our members and customers, this new headquarters — The Kaiser Permanente Thrive Center — will also bring tremendous benefits to the Uptown neighborhood, serve as a thriving center for the city of Oakland, and be a collaborative workspace for our employees.”
Kaiser expects the new downtown Oakland building to address facilities maintenance, inefficient utility expenses, and rising commercial real estate leases.
The new offices, which will feature modern, environmentally sustainable, efficient workspace with improved access to public transportation, will support Kaiser Permanente’s target to be carbon net positive by 2025.
The new building will comprise dedicated space for a health clinic and health education; community meeting spaces; healthy food options; weekly farmers markets; exercise and cooking classes; a showplace for community-inspired art among others.
Oakland Mayor Libby Schaaf said: “Kaiser Permanente has been an anchor in Oakland’s community for more than 70 years.
“We are so pleased that this organization has reaffirmed its commitment to Oakland with this decision to establish a new headquarters, a central home for its employees and a place for our community to connect and thrive.”
Site developer Lane Partners estimates the new building to generate a one-time $23m (£18.3m) economic benefit as well as more than $15m (£11.9m) in local tax revenues annually for the city.