The exponential growth of the AI sector in San Francisco in the past year is reflected in the rapidly expanding footprint of office space in the city being leased by AI tenants, which totaled 1.3M SF in 2023.
According to JLL, AI tenants accounted for 25% of the total office leasing activity in San Francisco last year. The demand for new space by AI tenants in 2024 is expanding: JLL is tracking 800,000 SF of requirements from AI tenants.
The AI sector stands out in San Francisco's beleaguered office market as a growth sector with a rapidly expanding physical footprint. Leading GenAI players like Anthropic and OpenAI absorbed large blocks of office space at the end of last year; a wave of other AI tenants grabbed smaller spaces.
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