Commercial Property in Silicon Valley
I’m just curious. Do you folks think office space in Silicon Valley is pricey? It sure used to be. But nowadays, in part due to the incredible rush to offshore anything involving, well, w-o-r-k, the San Francisco Bay Area is suddenly and surprisingly not such a bad place to start a business.
I’d love someone to provide me quantitative proof or a counter-, but the rumor is there is 5 million square feet of excess office space in the valley. Rents have come down. And it seems likely that this is the bottom.
So if you’re in the market, make sure you shop around. I’ve heard of some renters who’ve received the first 6 months free. Naturally, it’s tougher in San Francisco itself – but unlike a few years ago, you can get into some pretty good deals in the range of $1.50 to $2.00 all-in.
If you’re a hardcore procurement guy, and you’re willing to settle for non-Class A on the Peninsula, the price plunges. Do I hear $0.50/sq ft anyone? $0.45?
