October 17, 2008
JustQuotes: Choices, Choices, Choices For SF Full Floor Commercial
"A new study by Jones Lang LaSalle broker Shamm Kelly and Research Director Ryan Carmichael found that the number of Class A full floors available for direct lease in [San Francisco's] central business district jumped from 170 in June to 218 in early October. If you add floors available to sublease, that number jumps to 264 — some 4.3 million square feet of space."
∙ Class A full floors pile up in central business district [San Francisco Business Times]
First Published: October 17, 2008 9:00 AM
Comments from "Plugged In" Readers
I have a couple of commercial broker friends that haven't seen a deal in months. More and more commercial space available each day as business go out of business or scale back their operations with fewer and fewer new or growing companies to fill the vacancies. It's a good time to be looking for space but it's not a good sign for SF.
Posted by: Michael at October 17, 2008 2:01 PM
I wonder how Steve Schwarzman will celebrate his 62nd birthday this February? I doubt if Rod Stewart will be headlining like back in 2007. BX is down 75% from its peak last year - but it would have been worse if they hadn't flipped most of their EOP acquistions to Morgan Stanley (which is down over 80% from its peak - and it should have been 100%). MS paid over $840 psf for the EOP San Francisco properties and essentially needed office rents to immediately double in order for the deal to pencil out. What were these guys thinking? What's a good guess now as to when rents will actually double from current levels - 2030, 2040? (Who could have known?)
Isn't it great that Hank Paulson declared Morgan Stanley to be an ordinary bank that must be protected in our national interest to the tune of $10 billion (with more to come). And Paulson is refusing to rule out bailing out hedge funds. The Gravedancer must be dancing (except that he used some of his Blackstone windfall to buy the Cubs).
Posted by: FSBO at October 17, 2008 3:48 PM