We actually did this for Tinfoil Security; rented a kickass place in San Jose (4bed, 4ba, 4000 sqft, 2 acres of land, deer and turkey roaming around) and love coming home to it after being at work for crazy hours.

We also have a room open, in case anyone here is interested. :) Currently it's occupied by the founder of Tinfoil Security (myself and my cofounder) and another company called Apparel Dream (a Chilean company in Plug n Play).

Admittedly, we're probably moving eventually to somewhere closer to Mt. View / Palo Alto, but for starting out its definitely been great. :)