Instacart Renews San Francisco Headquarters Lease

Instacart is committing to spending nearly another decade at its San Francisco Financial District headquarters.

The grocery delivery platform just signed a nine-year lease for its roughly 60,000 square feet of offices across two floors at 300 Mission Street, the San Francisco Business Times reported.

“San Francisco is a big part of our past, and it will be a big part of our future,” Dani Dudeck, the company’s chief of corporate affairs, said in a social media post announcing the lease with Mayor Daniel Lurie.

The company first moved into 300 Mission Street in 2015 and occupied 60,000 square feet at the 24-story building. In 2019, it expanded to 107,000 square feet, though it purportedly never fully occupied the additional space. More than 750 of the company’s 3,265 employees go into the office at the Mission Street tower, a spokesperson for Instagram told the Business Times.

Instacart is the latest technology company based in San Francisco to recommit to its existing offices.

In December, Lyft renewed its lease for 170,000 square feet at 185 Berry Street in China Basin, shrinking from its 335,000-square-foot footprint that it grew into in 2022.

In October, Airbnb signed a long-term lease renewal for its headquarters at 888 Brannan Street in Showplace Square. The lodging company shaved off 30,000 square feet from its leased space for a total of more than 250,000 square feet. That lease is set to expire in 2037.

Paramount Group, the owner of 300 Mission Street, has cause to celebrate Instacart’s new lease through 2034. The New York-based firm paid down a $273 million loan backed by the building in 2023 to secure an extension of the debt’s maturity to next fall. The company acquired the building for $395 million in 2014, the San Francisco Standard reported.

The 300 Mission building was 81.4 percent leased at the end of last year. That occupancy rate is slightly better than the first-quarter office vacancy rate in San Francisco of 35.8 percent, according to CBRE data. — Chris Malone Méndez