San Francisco ($78/sqft, 31.5% vacancy) and Sydney ($96/sqft, 12.6% vacancy) compete on different axes: San Francisco on talent depth and Sydney on rent and tax.
San Francisco ($78/sqft, 31.5% vacancy) and Sydney ($96/sqft, 12.6% vacancy) compete on different axes: San Francisco on talent depth and Sydney on rent and tax.
| Metric | San Francisco | Sydney |
|---|---|---|
| Region | Americas | APAC |
| Country | United States | Australia |
| Class A rent (USD/sqft/yr) | $78 | $96 |
| Class A rent (local) | 78 USD | 1480 AUD |
| Vacancy | 31.5% | 12.6% |
| Trend | rising | flat |
| Prime yield | 6.5% | 5.5% |
| Premium flex / seat / month (USD) | $1,280 | $990 |
| Submarkets covered | 6 | 6 |
| Corporate tax | 27% | 30% |
| Metric | San Francisco | Sydney |
|---|---|---|
| Typical term | 7 yrs | 7 yrs |
| Typical rent-free | 22 mos | 30 mos |
| Lease norms | Modified-gross with operating-expense escalations over a base year. Rent-free of 18-30 months on a 10-year term is current market for trophy assets in lease-up. TI of $150-$220/sqft is achievable. Termination options at year 5 are increasingly negotiable. | Standard 5-10 year lease. Gross or net structure (both common). Australian leases distinguish 'face rent' (headline) from 'effective rent' (face minus incentive). Incentives of 30-40% are now standard — typically structured as rent abatement, fit-out contribution, or both. |
| Tax note | Combined federal + California corporate tax effectively reaches 27%. San Francisco gross receipts tax applies to most occupiers; payroll tax is now phased out. | Federal corporate tax 30%. NSW payroll tax applies. No state corporate income tax. |
| Metric | San Francisco | Sydney |
|---|---|---|
| Talent index (0–100) | 98 | 85 |
| Talent note | Deepest AI/ML and senior software engineering talent pool globally. Average all-in compensation indexes 98 vs. New York's 100. | Australia's deepest financial-services, technology, and professional-services talent pool. Average all-in compensation indexes 85. |
San Francisco: BART, Muni, Caltrain, and the new Salesforce Transit Center anchor commute infrastructure. The Central Subway extension to Chinatown completed in 2023.
Sydney: Sydney Metro and Sydney Trains converge at Wynyard, Town Hall, and Central. The new Sydney Metro City & Southwest line transformed core CBD commute capacity.
San Francisco is the cheaper Class A market on a USD basis.
San Francisco has the deeper talent index (98/100 vs 85/100).
San Francisco has the lower headline corporate tax (27% vs 30%). Local incentives can change the effective rate materially.
San Francisco typical term is 7 years with 22 months free; Sydney runs 7 years with 30 months free.
San Francisco: BART, Muni, Caltrain, and the new Salesforce Transit Center anchor commute infrastructure. The Central Subway extension to Chinatown completed in 2023. Sydney: Sydney Metro and Sydney Trains converge at Wynyard, Town Hall, and Central. The new Sydney Metro City & Southwest line transformed core CBD commute capacity.
Score San Francisco, Sydney and up to two more markets side-by-side on Class A rent, vacancy, talent, corporate tax, and premium flex pricing — all in USD.
Reviewed by Miriam Hollander — Lead market analyst. Last updated 2026-04-15. See our methodology and editorial standards.