X reportedly closing offices in San Francisco's Mid-Market area

X, the Elon Musk-owned social media platform formerly known as Twitter, is reportedly departing its offices in San Francisco's Mid-Market neighborhood.

The New York Times on Monday reported on the move, citing an internal email from CEO Linda Yaccarino sent to employees. Yaccarino said the company plans to shut down its office at the Market Square building on 1355 Market Street "in the next few weeks."

"This is an important decision that impacts many of you, but it is the right one for our company in the long term," Yaccarino said.

The CEO said the company would continue to have a presence in the Bay Area, with existing offices in San Jose along with an engineering-focused office in Palo Alto shared by xAI, an artificial intelligence firm owned by Musk.

In a statement to CBS News Bay Area, Mayor London Breed's office said they are aware of the company's move.

"Our focus remains on working with and supporting the many businesses that call S.F. home, from global headquarters to leading AI companies, and thousands of small businesses. We are building a stronger San Francisco, and together with committed business partners, that progress is well underway," the mayor's office said.

Founded in San Francisco in 2006, Twitter moved to Market Square in 2012 , drawn to the Mid-Market area as part of a deal with then-Mayor Ed Lee which included tax breaks .

Following Musk's takeover of the platform in 2022, the company has faced scrutiny over reportedly skipping rent payments to the building's owner and reports that the company had installed beds at headquarters without permits .

In a July 2023 post, not long after changing the company's name to X, Musk dispelled rumors of leaving the city.

"Many have offered rich incentives for X (fka Twitter) to move its HQ out of San Francisco. Moreover, the city is in a doom spiral with one company after another left or leaving. Therefore, they expect X will move too. We will not," he said on his social media platform at the time .

Last month, Musk made headlines after saying he would move the X headquarters to Texas , citing a recent law that bans school districts from passing policies to notify parents if their child asks to change their gender identification.

Known for its Art Deco design, the Market Square building was constructed in 1937. For many years, it was known as the Western Furniture Exchange and Merchandise Mart.