SiliconBeat

Drug maker Gilead Sciences agreed to buy a 163,000-square-foot office building (pictured here) at 301 Velocity Way in Foster City from Electronics For Imaging, along with 30 acres of land designed to accommodate up to an additional 542,000 square feet of office space for $137.5 million, according to a regulatory filing Thursday.

The property borders Gilead’s own Foster City headquarters facility.

“The Bay Area has long served as a center of excellence for the biotechnology and
biopharmaceutical industry, and we remain committed to maintaining our presence in Foster City,” said Gilead’s Chief Operating Officer John F. Milligan, in a statement. “We believe this is an efficient means for expanding our Foster City campus to create flexibility and to accommodate planned long-term growth, as we seek to develop and deliver to patients more novel therapies that address significant unmet medical needs.”

The deal includes other assets related to the property, as well as the right of first offer to lease or buy an adjancent property owned by EFI at 303 Velocity Way that is situated on five acres should EFI decide in the future to sell or lease all, or a portion of the building.

Gilead agreed to deposit $5 million in escrow toward the purchase price, and has until Dec. 12 to terminate the agreement. At that time Gilead will put $5 million more down on the property, with the balance to be paid sometime after Jan. 1 and before Jan. 29.