Snapshots

Scaling and Growing – How does venture capital affect leasing activity in the San Francisco market?

San Francisco based companies have received 33.3% of all venture capital funding invested in the United States in 2019 YTD.

October 30, 2019
  • San Francisco based companies have received 33.3% of all venture capital funding invested in the United States in 2019 YTD.
  • 65% of all San Francisco Leasing Activity in 2018 by companies that received over $1,000,000 in funding were by companies in the early and late rounds of funding.
  • As technology anchors continue their expansion in San Francisco and as long as venture capital dollars keep flowing into the region, we expect the real estate market to remain tight going forward.  
  • If the venture capital bubble bursts, landlords can face some inherent risks including: the potential large amount of space on the market, a steep decline in rental income, and a decrease in overall tenant demand. 

Source: JLL Research

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