The pandemic has left a lasting impact on San Francisco’s office market, which is still attempting to swim to the surface after facing historically low leasing activity.
In order to return to pre-pandemic numbers and make a swift recovery, business leaders agree that offering tenants with higher-quality office products will be vital.
“We spend about 90% of our time indoors, and that’s probably increased now during the Covid time period,” said Christina Bernardin, Development Manager at Boston Properties at Bisnow’s The Future of Office in San Francisco webinar. “So this has been a priority for our tenants and a priority for us as developers — delivering buildings that they want to be in.”
One of the biggest themes in discussing how to bring tenants back in is creating a work environment that focuses on the health of occupants.
Advanced features like air purifiers, spatial utilization and more will be crucial in attracting people back to the office.
In the meantime, San Francisco has seen a slight uptick in office tours, leading to an increase in foot traffic in neighborhoods.
However, Moody’s Analytics still anticipates that rent will decline by 15.25% in the city’s central business district this year.
While experts are still optimistic about the market’s future for growth, they admit that it will be a slow process that will take tweaking and flexibility.