AI now wants half of America’s tech office space, and it’s all landing on a few streets

https://media.thenextweb.com/2023/09/Untitled-design-14-2.avif

The AI boom is easy to measure in dollars raised and models shipped. It is harder to see where it physically lands. A new report from the real-estate platform VTS offers one answer, and it is striking.

AI companies now account for nearly half of all the office space that America’s tech firms are chasing.

VTS tracks live, forward-looking leasing pipelines rather than deals already signed, which makes its data an early signal. Across the 17 US markets it follows, AI tenants make up 34% of active tech requirements, but 46% of the square footage. National AI office demand is up 85% year over year, and up 179% in the biggest AI hubs.

One caveat worth stating up front: VTS sells software to landlords, so this is not a neutral academic study. But the platform handles more than 60% of Class A office space in the US, so the...

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