OAKLAND, Calif. (AP) — Health care provider Kaiser Permanente says it will invest $900 million to buy land and build an office tower in Oakland that will be the largest in the city.
Kaiser announced Monday it will break ground next year on a 1.6 million-square-foot headquarters in Oakland's Uptown neighborhood.
Oakland Mayor Libby Schaaf says the company, which was founded in Oakland in 1945, received no tax incentives.
She says the company bought the land at market rate and that "they are paying their full freight."
The company is the largest employer in Oakland.
Kaiser says it will consolidate 7,200 employees from seven offices into the new tower, which will save it $60 million annually.
It says it hopes to complete construction on the building dubbed "Kaiser Permanente Thrive Center" by 2023.