In July, the Alameda City Council approved a plan to allow redevelopment of property along the shore of the San Francisco Bay. The projects will transform what is now knows as the Seaplane Lagoon into a waterfront community of new residences, businesses and parks and other public spaces. The decision comes in the midst of one of the best commercial real estate market San Francisco has ever seen.
Over the last few years there has been resurgence in the urban mentality. Citizens are forging life in the suburbs and looking to live, work and relax in big city environments. This trend is one of the driving factors of the boom in commercial and residential real estate values in San Francisco.
Since 2013, investors have been buying up commercial real estate in San Francisco, paying high prices for what many consider high-reward opportunities. While not all commercial real estate prices are on the rise, the majority of San Francisco office spaces and high rises have seen dramatic increases in the property value. Many high profile properties are selling for over a hundred-million dollars. Not only are prices for buildings going up, but more high-profile properties are starting to trade hands.
Experts say that the upswing for office sales is directly reflected to the highly competitive leasing market. The scarcity of desirable office spaces available has spurred tenants to go jump on any space available, in some case even office space still in development. The increase in leasing activity has driven rents up over the last few years which in turn have made San Francisco’s large office spaces and high rise buildings even more attractive to investors. Investors are quickly buying up older and historic properties to renovate and restore these office spaces in hopes of attracting new tenants at current market prices.
Whether you own or lease your San Francisco business offices, you have likely invested quite a bit of capital into your business property. The right SF Commercial Property Insurance can help protect that investment from a host of risks and hazards. At Cal-Nevada Insurance Agency we offer comprehensive property insurance solutions for San Francisco high-rises, investment properties, office spaces and more. We can also help secure the right policies to cover risks that are typically excluded or limited, such as employee crime, equipment breakdown, flood and earthquake. For more information about any of our SF commercial property insurance solutions, give us a call today at (866) 670-5948.