San Francisco Bay Area Office, Q1 2019
The total square footage of tenants seeking space in the San Francisco market rose to 7.1 million sq. ft. during Q1 2019, surpassing the level of existing available supply by nearly 300,000 sq. ft.
As SF Peninsula technology tenants place a greater emphasis on reducing commute times for their workforce and to be within walking distance to amenity rich areas, the demand for transit oriented, downtown cores continues to grow.
Following a prolific year in 2018, the Silicon Valley market remains a highly sought-after market for institutional investors and technology- based occupiers alike.
As a result of nearly 982,000 sq. ft. of new construction deliveries and renovation completions, Oakland's market-wide vacancy rate jumped 190 basis points to close Q1 2019 at 7.7%.
Rents along the I-680Corridor remain well below neighboring markets Oakland and San Francisco.