January 16, 2017
Office rents in markets where transit options and amenities are abundant can be as much as 30% higher on average than for businesses located more than a 10-minute walk from a station. That was a key finding of a new report by JLL’s San Francisco research team that looked at how 31 Bay Area train stations impacted surrounding rents.
Additionally, researchers discovered buildings around most ‘walk-to-rail’ stations experienced higher rents and lower vacancies. Interestingly, there were differences. For instance, some walk-to-rail office locations fared better than others.
Locations around stations in downtown San Mateo or Redwood City, which have nearby amenities such as restaurants, parks, cafes, gyms and retail shops, fared better than those without amenities. By comparison, average monthly rents around San Jose’s College Park Caltrain station were $2.15-per-square-foot, while rents near downtown Redwood City’s station averaged $6.79-per-square-foot.
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