Development projects in the Bay Area are being delayed by a backlog in utility infrastructure work need to connect new projects to the grid and provide gas hook-ups.
Delays in utility work were cited by Los Angeles-based Kilroy Realty as the primary cause of a six-month delay on the second phase of its Oyster Point project, a 2.5M SF life science hub it is building on the waterfront in South San Francisco.
In an earnings call this month, Justin Smart, Kilroy's president, said the stabilization date for the second phase of the massive project-a benchmark that reflects when the project will achieve 95% occupancy a year after major construction ends-has been pushed back to the fourth quarter of 2025.
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