Office Real Estate going down
Facebook parent Meta and Microsoft are separately vacating office buildings in Seattle and Bellevue. https://www.seattletimes.com/business/facebook-microsoft-pulling-out-of-more-seattle-area-offices/ Facebook confirmed plans to sublease its offices at the six-story Arbor Block 333, on Eighth Avenue North in downtown Seattle, and in the 11-story Block 6 of the Spring District in Bellevue. The same day, Redmond-based Microsoft confirmed reports that it won’t renew its lease at the 26-story City Center Plaza in Bellevue when that lease ends in June 2024. It seems remote work and hybrid is here to stay and companies are adjusting to it. The office real estate may become condos. TC 520k. YE 15
In the case of Microsoft it’s gonna be different as per my knowledge bcz they are constructing many new buildings on NE 20th and 152nd (I don’t remember exactly). Their plan is to move people to their own offices than the leased/rented ones though they are hybrid
They had those buildings before when the took that lease. I think the lease started in 2009.
If Disney and Bob Iger were smart they’d do the same thing with their unneeded office real estate. But Iger is in full RTO self stroking mode.
Commercial real estate as a lucrative asset or REIT is done. SF and NY has approx 25% vacant. They will be re-purposed for resedential, warehouses etc. Capitalism has its way.
Yes except redo for residential will be hella expensive, don’t think there is enough demand, especially in SF.
Seattle is 26% vacant as of this article. Eastside is 12% vacant but a lot of these were newer leases set to expire after 2025.
Rip wilburton prices lol. Meta office was the only thing propping it up
More residential housing supply
Your TC is gonna go down if you don’t post it
It’ll go down even if I post it 😂
This is much better comment than annoying TC or f comment.