SFCED QuickFacts for October-November 2014
 

October - November 2014

Housing

  • The Bay Area saw the strongest September home sales in five years due to spillover summer activity and sustained demand.
  • A total of 7,443 new and resale homes and condos sold in the nine-county Bay Area, up 4.2 percent from September last year.
  • The median price for a home is down 0.5 percent, from $607,000 in August to $604,000 in September. Median prices were at a 2014 high of $618,000 in June, and have been declining since.

Bay Area Home Sales: Volume and Median Price

Source: DataQuick, www.DQNews.com

San Francisco Real Estate Market

  • The third quarter real estate market of 2014 brought a surge in new listings in San Francisco; September experienced the largest jump in the past two years.
  • Median prices for condos have held at $950,000 for the past three quarters, while median home prices have dropped to $1.05 million.
  • The majority of home sales occurred in districts toward the southern border of San Francisco in Excelsior, Portola and Bayview, with a median price of $695,000—some of the most affordable in San Francisco.
  • The ratio of original listing price to sale price in the third quarter has been 104.3 percent for condos and 109.7 percent for homes. The average days on the market before acceptance of an offer have been 34 and 29 respectively, compared to 38 days and 37 days in the first quarter of this year.
  • Source: www.theFrontSteps.com

Commercial Real Estate

  • Overall vacancy rates dropped to 8.3 percent in the third quarter, the lowest since 7.9 percent in the first quarter of 2001.
  • Asking rents continue to climb in all submarkets, with class A direct rates rising 3.8 percent from the previous quarter.
  • Current leasing in the city is at 7.7 million square feet year-to-date and is on track to have the strongest leasing activity year since 2000 at 10.8 million square feet.

Citywide Direct Rental vs. Vacancy Rates

Source: Cushman and Wakefield

Unemployment

  • Marin posted the lowest unemployment rate in California at 3.9 percent in September. Four other Bay Area counties also had unemployment rates below 5 percent.
  • In June, national unemployment continued to fall, from 6.1 percent in August to 5.9 percent in September, with California decreasing from 7.4 percent to 7.3 percent respectively.
  • Employment in California expanded by 84,000 jobs from August 2014 to a total of 17.3 million in September. San Francisco’s employment expanded by 2,100 jobs.

Bay Area Unemployment Rate by County

Source: Bureau of Labor Statistics, CAL-EDD

Venture Capital

  • U.S. venture capital activity was $9.9 billion in the third quarter of 2014, bringing total investment for the year to $33.2 billion.
  • The Bay Area continues to lead significantly in both total venture capital investment and in number of deals made, with $4.3 billion and 333 deals in the third quarter. The majority of these deals made were in software, followed by biotechnology. The New York Metro area comes in at a distant second with $1.7 billion in venture capital investment and 123 deals.
  • Two of the top largest U.S. venture capital investments in Q3 were made in San Francisco for a combined $370 million.

Venture Capital Activity in the Bay Area

Source: PricewaterhouseCoopers MoneyTree Report

SFO

  • SFO will welcome Abu Dhabi-based ETIHAD Airways, with new service from SFO to Abu Dhabi starting November 18, on board Jet Airways Boeing 777-300ER aircraft. This route will be served on a daily basis.
  • SFO was awarded the 2014 Peggy G. Hereford Award for excellence in Marketing and Communications by the Airports Council International, and ranked 3rd in “Best Airports Worldwide” by SkyTrax.
  • SFO has launched a new facility space in the International Terminal called “Converge” to encourage travelers to meet and exchange ideas. The space provides facilities such as free Wi-Fi, white boards and power outlets, and is complimentary to travelers.
  • United Airlines has begun direct flights from Chengdu, China and Kelowna, Canada.
  • Southwest has begun daily direct flights from St. Louis.
  • Source: San Francisco International Airport

San Francisco Ranked 5th by Energy Star

  • San Francisco ranked 5th in the nation for most Energy Star Buildings in 2014, a step up from its 6th place ranking in 2013.
  • There are 289 buildings that are Energy Star-certified in San Francisco, leading to energy savings of $110.1 million annually.
  • Source: Energy Star

San Francisco to Host Cleantech Forum

  • San Francisco will host the Cleantech Forum on March 16-18, 2015. The forum’s theme will be “Accelerating System Change; Towards a Decentralized Future.”
  • Seven out of 100 companies ranked by the Cleantech Group as having long term commercial impact on sustainable innovation are headquartered in San Francisco. Another 21 such companies have headquarters in the San Francisco Bay Area.
  • Source: Cleantech Group

San Francisco Ranks 2nd in Public Transportation

  • A study by the University of Michigan’s Center for Transportation Studies ranked San Francisco as the 2nd best metropolitan area for accessibility to jobs by transit.
  • The study examined how long it took people to reach their workplace, taking into account time spent walking to transit stops and transfer times as well as service frequency.  
  • Source: University of Michigan

Contact Us:

QuickFacts is produced by the San Francisco Center for Economic Development, a 501(c)(3) non-profit department of the San Francisco Chamber of Commerce Foundation.

For more information please contact:
Dennis Conaghan
Executive Director
+1 415.352.8819
dconaghan@sfced.org
www.sfced.org
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