There’s 6 Million sqft of UNFINISHED Office Space Already Spoken for in SF
In a continuation of what the new tax bill will mean for SF real estate, take a look at this…
…the number of high-octane tech companies looking to gobble up real estate is growing, and the cost of San Francisco’s Class A office space — already the most expensive in the country — is ready to spike again. Rents, which have soared 140 percent since 2010 and are now at an average of $74 a square foot, could go up another 10 percent, breaking the $80-a-square-foot average for the first time.
“The demand for tech has been strong, and it’s only accelerated since midyear,” said Colin Yasukochi, research director at the brokerage CBRE. “There is a good chance that rents will start to go up next year.”
The tech growth comes at a time when city planners are pushing forward with the Central SoMa rezoning, a plan that is expected to generate about 6 million square feet in office development. City planners say the Central SoMa rezoning, seven years in the making and delayed at least a year, will add badly needed tech office space and ease pressure on non-tech tenants, which have been increasingly forced out of the city by rising rents…
Read more here: SF’s tech-space market is ‘on fire’ — and so are the rents