Google has struck a deal to buy five acres of city-owned Sunnyvale land that’s part of the old Onizuka Air Force Station, in a fresh indication of expansion plans by the search giant.

Mountain View-based Google has agreed to pay $21 million for the site, a triangle-shaped property near the corner of Innovation Way and West Moffett Park Boulevard, according to a Sunnyvale city staff report.

“Longer term redevelopment of the property by the buyer will result in higher property tax and business tax revenues to the city,” the Sunnyvale government staff report stated.


At one point, city reports stated, Sunnyvale officials were considering four competing offers from groups or companies that sought to buy the property, which is near busy State Route 237. The final round of bids ranged from $19.1 million to the $21 million Google bid.

The Onizuka site is located in Sunnyvale’s Moffett Park district, a business area where Google is eyeing significant growth and office developments.

Just a few days ago, Google filed a proposal with Sunnyvale city planners to develop a project consisting primarily of two big office buildings with a striking appearance. Together, the new offices would total 1.04 million square feet, enough space to accommodate 4,500 Google employees, Google said.

Google also said this week that it hopes housing could be part of its development efforts in Sunnyvale’s Moffett Park area, as a way to help people live closer to their Silicon Valley workplaces and ease Bay Area traffic woes.

Sunnyvale represents just one facet of Google’s widening expansion plans in Silicon Valley.

The company has also been buying and leasing buildings and properties, and sketching out development plans near its Googleplex headquarters in northern Mountain View.

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