Booming SF hits new high for office rent, beating dot-com record
Rents for new offices in the city’s central business district reached $81.25 per square foot in the third quarter, according to brokerage Cushman & Wakefield. The previous record of $80.16 per square foot was recorded in the fourth quarter of 2000, as the previous tech boom was ending.After the 2000 dot-com crash resulted in unplanned vacancies, and with a raft of new construction coming online, prime ("Class A") SF office space in 2001 could be had for about half today's rate.
San Francisco Real Estate Item 2:
New report finds overlooked earthquake vulnerabilities in some SF high-rises
Between 50 and 65 San Francisco high-rises used specific types of steel welds that were later found to fracture during the 1994 Northridge earthquake in Los Angeles.
With office rents at all-time highs, with pending fixes that are going to cost beaucoup bucks, and with the Bay Area experiencing a mass exodus, it sure feels like we've reached peak real estate in this cycle.