During the last tech boom in San Francisco, more than a decade ago, the city protected light industrial spaces in its eastern part by generally prohibiting office uses.

Today, as the generative AI boom accelerates in San Francisco—now the leading global hub for Gen AI—industrial landlords are hoping an expansive definition of where generative artificial intelligence falls as a CRE use will give them a significant piece of the action in the red-hot sector.

If Gen AI can be considered an industrial use—think film production studios, auto repair shops and production, distribution and repair (PDR) facilities—landlords south of downtown believe they can draw droves of Gen AI startups to the Mission District, Potrero Hill and adjacent neighborhoods, according to a report in the San Francisco Business Times.