San Francisco rentOne-bedroom rent reached a record $3,690 in March, making SanFrancisco the world's priciest city.

SAN FRANCISCO—As tech seeks creative opportunities in anincreasingly tighter market on the precipice of the IPO boom,office demand continues to outpace supply. This has resulted in a30-basis point decrease in overall availabilityquarter-over-quarter to 7.9%, according to Savills research. Thismarks a 240-basis-point decline for the year.

Moreover, this declining office availability is putting upwardpressure on asking rents, which ended the first quarter at $74.67per square foot for all classes. Class-A rents climbed to anaverage of $77.41 per square foot, increasing by 2.1% from the endof last year alone, says Savills.

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Lisa Brown

Lisa Brown is an editor for the south and west regions of GlobeSt.com. She has 25-plus years of real estate experience, with a regional PR role at Grubb & Ellis and a national communications position at MMI. Brown also spent 10 years as executive director at NAIOP San Francisco Bay Area chapter, where she led the organization to achieving its first national award honors and recognition on Capitol Hill. She has written extensively on commercial real estate topics and edited numerous pieces on the subject.