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Microsoft puts San Francisco office space up for sublease
After announcing site as hub for AI development, software giant seeks tenant for 49K sf
Microsoft plans to sublease two floors of the Downtown San Francisco office building announced as the base for its AI business.
The software company is looking to put 49,000 square feet at 555 California Street on the market, according to the San Francisco Business Times. Microsoft announced earlier this month that it planned to use the trophy building in the Financial District as a co-innovation lab for artificial intelligence development.
The sublease at the building, which is owned by Vornado Realty Trust, is available through May 2029. Annie Fu, John Landers and Jay Sternberg of Colliers have the listing, according to the Business Times.
The AI plan would apparently involve several startup firms in which Microsoft has invested. It’s unclear whether the same firms are candidates to sublease the available space in the building.
Social media company LinkedIn, which is owned by Microsoft, is offering five floors for sublease at the nearby 222 2nd Street.
Both the Microsoft and LinkedIn subleases are on the market at a historic low point for the San Francisco office market, especially in the city’s Downtown. The area’s office availability was close to 40 percent by several measures in the recently concluded third quarter.
– Jerry Sullivan