10/22/2026
For most of us, artificial intelligence still feels like something that lives on a screen. We type a question into a computer, software gives us an answer, and whatever is happening behind the scenes feels largely invisible.
But the next phase of AI is becoming much more physical.
Robots need to be built and tested. Autonomous vehicles need somewhere to move in and out. Biotechnology companies need laboratories. Advanced manufacturing needs power, loading access, specialized ventilation, and space that looks very different from a traditional office.
That’s what makes a recent transaction at 300 Kansas Street in San Francisco’s Showplace Square so interesting.
Lincoln Property Company and Sabal Investment Holdings recently acquired the roughly 150,000-square-foot building, completed in 2023. At first glance, it may sound like another commercial real estate deal in San Francisco, but this property was built for production, research, repair, and other uses that happen to line up well with where technology is heading.
The building includes vehicle-accessible workspace, drive-in access, higher clearances, biotech-capable systems, and substantial electrical capacity. A few years ago, those features may have seemed highly specialized. Today, they could be exactly what gives the property an advantage.
The technology boom that transformed San Francisco over the last two decades was largely an office story. Software companies needed desks, conference rooms, and room for growing teams. Physical AI now changes that.
Click here for full article https://pacificdirectmortgage.com/when-ai-leaves-the-screen-it-needs-real-estate/
Pacific Direct Mortgage is a Santa Rosa, California private money direct lender, offering Hard Money loans for single family, multi family, and investment real estate throughout California and Sonoma County.
