Notion, an AI productivity startup, has leased a large office space in downtown San Francisco for the next decade, with room to expand. This move is part of a trend of AI firms taking up office space in the city, despite high vacancy rates. Other AI companies like OpenAI and Anthropic have made similar moves recently.

**For AI startups and tech companies:** Notion's long-term lease signals confidence in AI's future and may pressure you to secure prime office space. This could drive up real estate costs in tech hubs. Consider how in-person collaboration impacts your innovation and talent retention strategies. **For commercial real estate:** AI firms' office expansion presents opportunities to fill vacancies and potentially revitalize downtown areas. Adapt your properties to meet the unique needs of AI companies, such as enhanced power infrastructure and flexible layouts for rapid team scaling.

Expect increased competition for top-tier office spaces in tech-centric cities as AI companies prioritize physical presence. This trend may lead to 'AI districts' forming in urban centers, fostering innovation ecosystems. You'll likely see a ripple effect on supporting businesses, from specialized IT service providers to AI-focused talent agencies. Prepare for potential shifts in workforce dynamics, as AI firms' commitment to offices may influence remote work policies across industries. Stay alert to emerging real estate investment opportunities targeting AI-specific infrastructure and amenities.