by Wolf Richter
Other tech-heavy office markets too.
For some time, we’ve heard through the rumor mill that commercial real estate brokers in San Francisco are getting nervous. Then Savillis Studley released its report on the San Francisco office market for the fourth quarter. A very mixed bag for the first time since 2009. And now even Fitch Ratings is getting antsy.
“Overall vacant availability posted its first material increase since 2009, rising by 0.6 percentage points to 8.0%,” Savillis Studley reported for Q4. “The Class A rate spiked by 0.8 pp to 8.5%.” And worse: “More sublet space hit the market.”