Databricks Grows Again in Downtown San Francisco

Databricks isn’t letting up on its Bay Area leasing spree.

Hot off a string of expansions in Sunnyvale earlier this year, the San Francisco-based software company is growing in its hometown with a new lease that expands its footprint in the city by 90,000 square feet, the San Francisco Chronicle reported. With the new deal, the data and artificial intelligence firm’s total space in the Financial District tower increases to roughly 240,000 square feet.

The new lease comes roughly a year after Databricks signed an initial 150,000-square-foot lease at 1 Sansome Street. Databricks’ latest commitment to the building ranks among the five largest lease transactions of the first quarter, according to the Chronicle.

Leasing activity downtown is in the midst of a sharp uptick as AI companies drive demand for space. San Francisco office vacancy fell to 30.8 percent in the first quarter, down from 33.5 percent at the end of 2025, per CBRE data cited by the Chronicle. Net absorption has become positive by more than 1.8 million square feet, while tenants are now collectively hunting for 8.2 million square feet. Roughly 3 million square feet has been leased so far this year; more than half of that demand is tied to AI companies, according to CBRE.

South of San Francisco, Databricks has been growing its presence in Silicon Valley over the past year. The company planted a flag in Sunnyvale last July with a 305,000-square-foot lease and has continued its growth there so far this year. In January, the firm leased an additional 150,000 square feet in the South Bay city and followed it up the next month with another 180,400 square feet. Databricks now occupies approximately 635,000 square feet in Sunnyvale alone. The company has more than 30 offices worldwide with more than 10,000 employees just in the Bay Area.

— Chris Malone Méndez