San Francisco tech companies are sitting on record amounts of empty space and offering perks to lure tenants

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San Francisco tech companies are sitting on record amounts of empty space they can't fill

, co-founder of T3 Advisors, a tech-focused real estate firm that helps tenants with their growth plans, said that companies looking for an office in San Francisco have a rare opportunity over the next two to three quarters to get in at a discount.

"There's a value window for tenants in San Francisco before the boomerang effect, where people and companies are going to come back," said Cote, whose firm operates in Boston, New York and the Bay Area. "If you're a sublandlord, you jump on an active tenant." Cote said companies paying $90 a square foot may offer subleases for $20 to $25 less and eat the difference.

, senior director of Northern California research at real estate firm Cushman & Wakefield, said that in addition to those discounts, companies are "layering on incentives such as free rent and additional tenant improvement allowances."The Bay Area has been slow to reopen, and downtown San Francisco remains fairly hollow, even as

 

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