Elon Musk’s Twitter is being sued by the tech giant’s landlord in San Francisco for non-payment of rent.
Musk owes $136,250 in back rent for the offices, according to Bloomberg. Earlier this week, it was reported that Twitter is being kicked out of other offices around the world for the same reasons.
The company’s landlord, Columbia Reit, filed a complaint in court in San Francisco on Thursday, alleging that it told Twitter on Dec. 16 that they had to vacate the offices within five days, and they failed to comply, Bloomberg reports.
At the time of writing, there has been no public statement from Twitter about the spate of missed rent payments. The company is also being sued for non-payment of charter flights.
Musk owes $136,250 in back rent for the offices, according to Bloomberg
The offices are located on the 30th floor of the Hartford Building at 650 California Street in the city’s financial district. The building’s other tenants include Omnicom Group, Affirm and Credit Suisse.
The building is not the company’s headquarters, which is located along Market Street, less than two miles away from the California Street location.
Earlier this week, it was reported that Musk was no longer paying rent on Twitter’s Seattle office and was also planning to close one of the company’s New York offices.
Its San Francisco headquarters have been condensed from four floors to two, with luxury perks now reportedly scrapped in favor of smelly offices that no longer get cleaned.
And one of the travel expenses Musk has refused to pay included a $197,725 bill for private flights taken the same week he took over the company.
Numerous other travel suppliers have also gone unpaid, according to the Times.
The payment over the private charter bill has gone to court in New Hampshire.
In another drastic change, the billionaire sent employees to a data storage facility in Sacramento to shut down servers on Christmas Eve. The center was one of three critical server facilities that had kept the social network running.
Some expressed concern that losing the servers could cause problems, but were told the priority was saving money, according to the New York Times.
Some workers were pulled into work during the holiday season because systems went down and internal data was potentially lost.
Twitter has stopped paying millions of dollars in rent and services in recent months – with Musk ordering his employees to renegotiate the agreements or end them entirely.
Billionaire Tesla CEO Elon Musk on October 26, 2022 shows himself carrying a sink as he walks into the Twitter headquarters in San Francisco
Pictured, Twitter’s California HQ. The landlord suing Twitter is not for the company’s headquarters, which is located along Market Street, less than two miles from the California Street location
The company is facing eviction from its Seattle office after failing to pay rent on the building, with security staff also being cut in Musk’s cash savings.
In San Francisco, he has consolidated workers on two floors and closed four, firing janitors after workers went on strike for better pay.
It has left the office smelling of leftover food and body odor according to current and former employees.
The bathrooms have been left dirty, and Musk is now betting on weeding out the sources of leaks to the press regarding the company.
He focuses on eliminating people in the company who he believes are opposed to him – as well as being described as having an “erratic” management style.
Staff say he often interrupts meetings randomly and speaks at length, requiring senior managers to be sounding boards for his ideas.
Many employees expect more layoffs as U.S. earnings numbers continue to flag — despite Musk hiring more new employees to replace those laid off during the mass layoffs.
The SpaceX chief said on a live Twitter forum last week that the company is an “aircraft headed for the ground at high speed with the engines on fire and the controls not working.”
He claims that Twitter is on track to have a “negative cash flow situation” of around $3 billion by 2023 – and attributes it to his “insane” cost-cutting.
Musk said he will name a new CEO for Twitter, after putting it to a vote on the social media platform.
Since early November, he has sought to save about $500 million in non-labor costs and has laid off nearly 75 percent of the company’s workforce since taking over.
Musk’s acquisition of Twitter has also been partly blamed for the 70 percent drop in the share price of his electric car company Tesla.
Key investors there are said to be upset that he is not giving the pioneering firm his undivided attention.