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Elon Musk-owned Twitter has been sued for failing to pay $136,250 rent for its office space in San Francisco.
The property’s landowner Columbia Reit – 650 California LLC notified the company on Dec. 16 that it would default in five days unless the rent was paid, reports Bloomberg.
Twitter is on lease and has offices on the 30th floor of the Hartford Building. In a court filing, Columbia Reit said that the tenant has failed to comply.
According to a report by the New York Times, Twitter has not paid rent for its headquarters or any of its other global offices.
Earlier in December, the company was also sued for refusing to pay for its charter flights. Private Jet Services Group LLC claimed in the lawsuit that Twitter owed $197,725, reports the New York Times.
Also Read: What Elon Musk’s 2-Year-Old Son Was Doing At Twitter Headquarters; Why The Company May Now Be Hiring
Musk’s team has been trying to renegotiate the terms of the company’s leases to cut costs.
Musk is aiming to reduce the company’s costs, not only because Twitter is facing a high cash burn rate, but also because Musk needs to repay the debt raised for his takeover bid.
Twitter will hold a year-end auction in mid-January to eliminate some of the surplus items in its San Francisco office.
The social media company posted a net loss of $270 million in the second quarter that ended June 30, 2022, compared to a profit of $66 million in the same period the previous year.
Musk purchased Twitter for $44 billion and, since taking the helm, has restructured the company and laid off thousands of workers.
Photo: Courtesy of shutterstock.com and Thomas Hawk on flickr
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Image and article originally from www.benzinga.com. Read the original article here.