Residential rents in San Francisco have been outpacing NYC’s for some time. But now, San Fran is beating out New York on another front: office rents.
Office rents in San Francisco are in fact the most expensive in the country, with landlords asking up to $72.26 a square foot in the fourth quarter of last year, according to a new report from CBRE Group cited by the New York Times. Manhattan office rents were $71.85 a square foot during the same period.
Moreover, prices in San Francisco rose 14 percent last year, compared with 7 percent in Manhattan.
And of course, the price surge can be blamed on…you guessed it: tech firms. An interesting side note: San Francisco office rents haven’t surpassed Manhattan’s since the dot-com bubble a decade and a half ago. [NYT] – Christopher Cameron