OpenAI Leases 5-Building Mountain View Office Campus
The Big Picture
OpenAI has leased a five-building, 450,000-square-foot campus at 350–380 Ellis Street in Mountain View, marking a major expansion beyond its already massive San Francisco footprint.
The campus, owned by KKR Real Estate Finance Trust and managed by TMG Partners, was recently repositioned with high-end amenities to attract top-tier tech tenants. The deal adds to OpenAI’s rapid leasing spree, which has pushed its Bay Area office footprint past 1 million square feet in recent years.
Why it Matters
This is one of the clearest signals yet that AI is now the primary driver of office demand in Silicon Valley.
While much of the traditional office market remains soft, AI firms like OpenAI are absorbing large blocks of space and reshaping demand around amenity-rich, talent-focused campuses. The result is a bifurcated market: commodity office space struggles, while high-quality assets tied to growth sectors see renewed leasing activity.
More broadly, this deal reinforces a shift in geography. AI companies are no longer concentrated just in San Francisco. They are expanding into Silicon Valley to tap into engineering talent and larger campus environments, helping stabilize a market that saw vacancy rise post-pandemic but is now showing early signs of recovery.