San Francisco is facing its highest office vacancy rates in nearly 30 years, while also dealing with a housing crisis. Here's how it can address both issues.
San Francisco is facing its highest office vacancy rate since 1993. Commercial real estate firm CBRE said in a recent report that 27.1 million square feet of a total of 90 million square feet is currently vacant.
To combat the rising number of office vacancies, one local legislator is pushing to convert empty office buildings into residential buildings. Matt Haney, a Democratic state Assembly member, says tackling the empty office problem could help the city take the much-needed steps it needs to address the housing crisis.
The latest CBRE report published in early December said that office vacancies reached a nearly 30-year high in the third quarter with a vacancy rate of 25.5%. And those rising vacancy rates are having a major impact on the city's economy. "The rents that you can get for a life sciences lab space are much higher than office space. So it makes that conversion financially viable," said Yasukochi. "We have high demand for residential still, but not at the price that would be required for a developer to be able to do that from a financial perspective."
"The most important thing from a developer standpoint is what makes the most financial sense," said Marc Babsin, president of Emerald Fund, a real estate development company that completed one of the largest office-to-residential conversions in the city at 100 Van Ness Ave.
Norge Siste Nytt, Norge Overskrifter
Similar News:Du kan også lese nyheter som ligner på denne som vi har samlet inn fra andre nyhetskilder.
These 16 startups scored the San Francisco and Silicon Valley's biggest venture deals of 2022 - San Francisco Business TimesEven as the number of $100 million megarounds dropped sharply in nationwide, some local startups were still scoring such jumbo-sized deals.
Les mer »
Yoshi's Jazz Club co-founder sues business partners - San Francisco Business TimesYoshie Akiba, 80, claims in the lawsuit that her business partners have staged an 'egregious, years-long campaign to wrest control' of the famous Oakland jazz club.
Les mer »
Expert tips for hiring talent in 2023 - San Francisco Business TimesEven with companies facing significant difficulties when trying to hire workers, experts say they are still making a critical mistake.
Les mer »
Gilead buys remaining rights to cancer immunotherapy drug from partner Jounce - San Francisco Business Times$GILD buys out rights to early-stage $JNCE cancer drug as part of ongoing efforts to beef up its cancer drug pipeline.
Les mer »
Wells Fargo closing San Francisco branch as in-store locations fall out of favor - San Francisco Business TimesIn banking news, WellsFargo CEO Charlie Scharf says his bank is behind rivals when it comes to operating branches efficiently
Les mer »
Suspect in Paul Pelosi Attack Due in San Francisco CourtThe man charged with attempted murder in the October attack on Paul Pelosi was due in court Wednesday for another pretrial hearing.
Les mer »