Twitter sued for non-payment of San Francisco office rent: How much should Musk's company owe?

Twitter, owned by Elon Musk, has been sued for failing to pay the $136,250 rent for its offices in San Francisco.

The landowner of the property, Columbia Reit - 650 California LLC, notified the company on December 16 that it would default in five days unless rent was paid, reports Bloomberg.

Twitter is leased and has offices on the 30th floor of the Hartford Building. In a court filing, Columbia Reit said the tenant failed to comply.

According to a New York Times report, Twitter did not pay rent for its headquarters or any of its other offices around the world.

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 HQ; Why can the company now hire

Musk's team attempted to renegotiate the terms of the company's leases to reduce costs.

Musk aims to reduce company costs, not only because Twitter is facing a high rate of cash burn, but also because Musk must pay off the debt incurred for his offer public purchase.

Twitter will hold a year-end auction in mid-January to dispose of some of the surplus items in its San Francisco office.

The social media company reported a net loss of $270 million in the second quarter ended June 30, 2022, compared to a profit of $66 million in the same period a year earlier .

Musk bought Twitter for $44 billion and, since taking over, has restructured the company and laid off thousands of workers.

Photo: Courtesy of shutterstock.com andThomas Hawk on flickr

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