Silicon Valley Commercial Real Estate Boosts Hot Housing Market
Silicon Valley is bustling with the resurgence of the booming tech community and the Bay Area housing market is taking note. Tech companies are growing faster than ever, gobbling up commercial real estate up and down the SF peninsula. While the housing market has been trending upward the past year, Silicon Valley has seen a surge unlike any other region nationwide.
“The biggest beneficiary of the ever-tightening markets to the north was Santa Clara,” according to real estate firm Colliers International. Colliers notes that the tech boom is moving steadily along U.S. Highway 101. Facebook kicked off the latest office leasing space surge in Menlo Park and VMware in Palo Alto. Google snatched up enormous amounts of space in Mountain View and Apple did the same in Cupertino.
Why The Surge?
More and more established companies are expanding and more start-ups are launching in Silicon Valley. We are entering into the next phase of the Internet, which is mobile. Silicon Valley was the hub of the tech boom in the 90s, and will continue to sizzle as the Internet grows and transitions into evolving phases.
“Silicon Valley is the hotbed for hardware, software and services that are being designed for mobile, said Tim Bajarin, principal analyst with Campbell-based Creative Strategies. “Silicon Valley is in one of its strongest growth periods. This could last another four or five years.”
Along with this growth comes a surge in home prices in the Bay Area. Real estate in Silicon Valley is a hot commodity and has been met with mild chaos as the economy surges and some remain underwater in their homes. Twenty thirteen looks like it will be another year of growth for the economy and the housing market, giving way to more confidence in homebuyers and sellers ready to bounce back into the market.