Salient's New San Francisco Office: A Strategic Move
Salient recently secured its new office space in San Francisco, marking a significant step after relocating from Los Angeles. The startup, which builds AI agents for lenders and went through Y Combinator in 2023, is eager to ramp up operations. Founder Ari Malik emphasizes the need to be in San Francisco due to the unmatched concentration of qualified talent.
With a team of about 20 engineers, Salient plans to double its headcount in the next six months to meet increasing customer demand. Instead of choosing a typical tech hub like SoMa or Hayes Valley, the company selected the North Waterfront area—a quieter, scenic location away from downtown's hustle.
Malik points to the growing ecosystem around Jackson Square, home to major players like Cohere and Jony Ive’s AI startup, recently acquired by OpenAI. He observes that downtown San Francisco is experiencing a hollowing-out phase, making the North Waterfront a more attractive base.
Migration to the North Waterfront
Salient is part of a larger trend of AI companies moving to the North Waterfront. Alex Schwiebert from Jamestown, a real estate investor owning 40% of office properties along the waterfront between Fisherman’s Wharf and the Ferry Building, notes that six AI companies have signed leases recently, with seven more pending.
Jamestown’s investment in the area began in 2013 with the acquisition of part of Ghirardelli Square for $56 million, followed by Waterfront Plaza office buildings for $88 million in 2014. The largest purchase was Levi’s Plaza in 2019 for $820 million, a campus that has housed the Levi’s headquarters for over 40 years and now hosts Snap Inc.
Jamestown aims to create a “tech and innovation campus” by linking Waterfront Plaza and Levi’s Plaza, positioning the neighborhood as a key destination for tech companies. Startups like AI research lab Goodfire, AI inspection firm Overview.AI, and sales automation company Zams have joined the area this year.
Revitalizing the Area
Jamestown focuses on buying and renovating existing buildings rather than new construction. Their portfolio includes One Times Square and Chelsea Market in New York. In San Francisco, they’ve enhanced 40-year-old offices with renovations, upgraded retail offerings, and added tenant perks to attract businesses post-pandemic.
Current amenities include food trucks four days a week at Levi’s Plaza, shuttle service to BART, and curated events like rooftop Blue Angels watch parties and outdoor concerts. Sync Labs CEO Prady Modukuru, whose company works on AI audio translation, praises the North Waterfront for its peaceful environment conducive to deep research.
Though Sync Labs’ main customers are in Los Angeles and New York, Modukuru stresses the importance of being in San Francisco for access to engineering talent and venture capital. Nearby, Anysphere Inc., creator of the AI code editor Cursor, recently surpassed $500 million in annual revenue and is valued at $20 billion.
Challenges Ahead
The North Waterfront still faces challenges before it can rival SoMa as a startup hub. Limited restaurant options mean many workers rely on food delivery services, and there are few bars for after-work gatherings. Grumpy’s is one of the few local spots for happy hour.
Jamestown’s Schwiebert is focused on attracting more tenants to build the area’s community. His offices feature elevator plaques encouraging tenant referrals with office parties and DJs as incentives. The goal is to populate entire floors and establish a vibrant neighborhood for tech and AI companies.
For real estate and construction professionals, the North Waterfront’s transformation offers insights into how strategic property acquisitions, targeted renovations, and tenant-focused amenities can breathe new life into aging office districts and attract high-value tech tenants.
Your membership also unlocks:
