Well it is a West Coast Internet company, headquartered in San Bruno between Google's Mountain View HQ and San Francisco. In fact I know quite a few Googlers who moved to Youtube because it was closer to the city and saved them an hour+ googlebussing ;)
That area in Meatpacking / Chelsea is home to an increasing number of established brands. You have YouTube and MLB.tv in Chelsea Market; Google across the street; IAC on 18th; and then BetaWorks a few blocks south.
I hope I'm not alone in thinking of it as an internet company. I've never wondered where it was located in the physical world, nor do I care.