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Average SF commercial rents lags about 2 years after NASDAQ dips, so we've seen a pretty good dip, so maybe 1.5-2 years. This is overall though, not what peopl
by nickpinkston 11y ago
Average SF commercial rents lags about 2 years after NASDAQ dips, so we've seen a pretty good dip, so maybe 1.5-2 years.
This is overall though, not what people are offering now.
I'm in the market and don't see rents coming down, but SF-proper inventory I'm looking at (more industrial "PDR" / mixed-use) is all many months old, so unsure if prices will come down soon to make them move.
- timr 11y agoParagon has been releasing some data lately that suggests a weakening of the high-end market in SF. In particular, it looks like luxury condos are becoming overbuilt: http://www.paragon-re.com/Luxury_Homes_Market_Cools_Affordable_Still_Hot http://www.paragon-re.com/Luxury_Homes_Market_Cools_Affordab... It's still early, though. Their March 2016 market report is inconclusive on what's happening with prices. However, this could really put the lie to the people who believe that indiscriminate building is the solution to high rents. Folks are likely to find out that when developers overbuild at the high end, they don't just keep building and let the new units go for a steal -- they stop building entirely.