Google Inc (NASDAQ:GOOGL) Enters Into A Lease Agreement with U.S. Navy

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According to a report by NASA, Google Inc (NASDAQ:GOOG) entered into a lease on a dirigible hanger smack, which was previously under the control of the Navy of the United States. The hanger is located in midst of the Silicon Valley. The lease in question covers a time span of 60 years.

The lease covers mainly an area of 350,000 square feet, and is known by the name of Hanger One. As laid out in the report, Google will be paying a sum of $1.16 billion as rent to the federal government of the United States of America, for access to the Hanger One.

The lease was publicly announced on the 10th of February, 2014. After a period of negotiation spanning on about nine months, the lease was finalized on Monday, 10th November, 2014.

NASA has revealed that Hanger One will be used for research in technologies which would help in further development of technologies required in the field of space and aviation. The corpus of research will also include exploration of space and aviation, development of rover/robotics and other potential technologies. Furthermore, this Hanger will be used by one of the subsidiary company of Google, the Planetary Ventures LLC.

The property leased to Google Inc (NASDAQ:GOOG) is covered by an airfield flight, and includes three aircraft hanger, two runways. This 350,000 square feet area also includes a private golf course. Hanger One is situated in Mountain View, California, which is 3 miles away from the headquarters of Google.

It is revealed by Google that the property needs some improvements which include rehabilitation of the hangers. Moreover, with a budget of more than $200 million, Google has envisaged an educational facility within the property, which will be open to public, who can assess for themselves the role of technology which is at play there.
The Hanger Once was previously a part of the Moffett Federal Airfield, which is located on the San Francisco Peninsula.

However, this act of Google does not go without criticism, which mainly stems from the preservationists, who, for years now, are struggling to preserve this historic structure.
Hanger One is considered one of the landmarks, which depicts the United States’ aviation history. This Hanger was built by the Navy for USS Macon, in 1932. It can clearly be viewed from Highway 101, which goes from San Francisco to San Jose.

Hanger One also has a history of being the West Coast base, utilized by the United States’ program of lighter-than-air.  After the Moffett Federal Airfield was decommissioned, to keep the area productive, in 1994 the Navy transferred the property in question to NASA.

Keeping the same view in mind, that a property which is not under productive use by NASA, its administrator Charles Bolden stated that while NASA is expanding its domain to the space, it must retract some of its footsteps from the earth. The main reason for this, as reiterated by NASA administrator Charles Bolden, is that NASA does not want to waste the money of the taxpayers in keeping the property which is no more needed. Instead, the money should go to areas of development of exploration in space. With this lease, Hanger One will continue to play the important role which is has historically been playing.

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