OpenAI, the artificial intelligence research lab behind Chat GPT, has signed the largest office lease in San Francisco since 2018, despite the rise of remote work and high vacancy rates in the city, as originally reported by Fortune. The company is leasing two buildings from Uber at its headquarters campus in the Mission Bay neighborhood. OpenAI is taking 486,600 square feet in total, adding to the growing presence of AI companies in San Francisco.
The commercial real estate sector in San Francisco saw record-high 33.9 percent office vacancy rate in the third quarter of 2023, according to the San Francisco Chronicle. As several factors, such as increased crime rates and individuals experiencing homelessness, compound with office vacancies in San Francisco, the lease by OpenAI, along with other AI firms leasing office space in the city, may offer hope for San Francisco’s commercial real estate market and economy.
