San Francisco Multifamily Market Report
Initial Hurdles Surpassed, Catalysts for a
Broader Recovery Take Hold
Returning professionals stoke demand. Immediately preceding the second quarter, two dozen of San Francisco's largest employers returned to full or partial in-office operations. Additionally, Facebook and Google anticipated requiring employees to begin in-person work on a part-time basis starting in April. The return of these employees to offices, even via hybrid schedules, bodes well for the overhang of empty apartments in urban San Francisco. Entering April, vacancy in the CBD sat at 7 percent, despite a 320-basis-point reduction in unit availability during the past 12 months. The core's mild construction pipeline represents another positive for upper- and mid-tier complexes with notable vacancies, as delivery volume in the CBD during 2022 is expected to trail the prior five-year average by more than 1,100 units.