Microsoft has bought a large chunk of Nintendo's land in Redmond! The derelict 28-acre land sits between Nintendo's North American headquarters and Microsoft's RedWest campus which plays host to its MSN online unit. Neither company disclosed the price paid for the land, but the property has been recently assessed at more than $26.5 million, with Nintendo originally purchasing the space for just $601,277 back in 1987. Great profit!

The company's headquarters will remain in Redmond. In fact, Nintendo is planning to grow its employment in Washington, which currently stands at about 1,000 people, in areas including testing and distribution, according to the statement. The property is north of Northeast 51st Street and west of Highway 520 and provides "a natural fit" with Microsoft's RedWest campus, said Microsoft spokesman Lou Gellos.

Microsoft's long-term plans for the property are unclear. Gellos said it could provide office space for about 2,000 people. But the company is focused now on the three-year, $1.3 billion campus expansion currently under way on both sides of Highway 520. The project will grow the Redmond campus by about a third.

This acquisition was not contemplated as part of that expansion, "but it certainly has that potential," Gellos added.