Sun, October 27
Increased Competition for San Francisco Office Space Pushes Firms South
By Two million square feet of office space has just recently been approved as San Francisco's
Two million square feet of office space has just recently been approved as San Francisco's office leasing market continues to soar. For some tenant's however, the competition has become too fierce. Stripe (an internet payment company) inked a lease this past Wednesday for over 420,000 square feet of office space in the new Oyster Point development in South San Francisco. The 2.5 Million square foot development is currently under construction with a projected completion date of Q2 2021 and it has already taken one of the larger technology firms from San Francisco.
The main motive for Stripe leaving it's San Francisco roots behind is simply over the fact that competition for office space has been too fierce and locating a few hundred thousand feet in the city with little vacancy is nearly impossible. Waiting for the development of the flower market, 5M project, and Oceanwide Center are no longer options due the the length of time it takes to push these new construction projects through the tubes. Stripe will be missed and the question now is who will be the next firm to move out of San Francisco, will it be under the same conditions, and most improtantly, where will the relocate to.