Silicon Valley Commercial Space
Status of Commercial Space During the COVID-19 Pandemic
Q2 2020
The second quarter of 2020 has been a time for businesses to reevaluate their needs for what will become the new normal, while property owners take a wait-and-see approach to better understand what future workplaces will look like. While uncertainties abound, based on what we know of the status of commercial space in Silicon Valley there are several indications that may define the near-term outlook: leasing activity has been muted – with much concentrated in renewals, more sublease space has come onto the market, current construction projects have continued with some delays while new speculative development has been put on hold, and vacancy and rental rates have been highly subject to fluctuating market conditions. These trends have the potential to linger until the health crisis subsides.
Charts/tables featured in this report:
- Figure A1. Quarterly Commercial Space Completions, since 2000
- Figure A2. Annual Commercial Space Completions, since 2010
- Table A3. Large Commercial Space Completions, Q2 2020
- Figure A4. Quarterly Development In-Progress, since 2000
- Figure B1. Quarterly Vacancy Rates, since 2010
- Figure B2. Annual Vacancy Rates by Sector, since 2000
- Table B3. Office Vacancy by Proximity to Transit, Q1-Q2 2020
- Figure C1. Quarterly Rents by Sector, since 2010
- Figure C2. Annual Average Rents by Sector, since 2000
- Table C3. Office Rents by Proximity to Transit, Q1-Q2 2020
- Figure D1. In-Progress Office Space & Share Pre-Leased to Tech Firms, Bay Area, Q2 2020
- Figure D2. Owner vs. Tenant Occupancy, Silicon Valley, Q2 2020