Despite largest lease signed since beginning of the pandemic, office availability continues to rise

In Q1 2022, San Francisco saw the largest transaction completed in the market since the start of the pandemic as Sephora subleased 16 floors totaling 286,000 square feet (sf) at 350 Mission Street, the Salesforce East building, in the Financial District South submarket. For Sephora, this new location will be their new U.S. headquarters building, consolidating from two locations at 425 Market Street and 525 Market Street. Leasing activity in Q1 2022 totaled 1.5 million square feet (msf), a significant improvement year over year from 0.4 msf in Q1 2021, but still below the five-year-average of 1.7 msf. After a period of record-low activity during the height of the pandemic, recent quarters have shown a return of office demand.

Read the full report