New KPMG Report Highlights Renewed Confidence in SF Economic Outlook
While San Francisco’s post-pandemic recovery has taken a different trajectory than most major cities, business leaders are signaling renewed confidence in the market’s long-term growth. According to a new study released last week (Feb. 18) by Bay Area Council member KPMG LLP, the U.S. audit, tax, and advisory firm, companies based in San Francisco plan to increase hiring and expand their real estate footprint and see generative AI adoption as a top investment priority despite economic uncertainty.
Among the San Francisco business leaders surveyed, 96% believe the city is well-positioned to attract new businesses and talent, including startups, over the next 12-18 months. Additionally, 91% express confidence in San Francisco’s economic growth prospects, and 75% plan to expand their commercial real estate footprint in the next 12-18 months—a sign of long-term investment in the region’s future.
“San Francisco’s business community is focused on growth, not retreat,” said Chris Cimino, KPMG San Francisco Office Managing Partner and Bay Area Council Executive Committee member. “Leaders are making long-term investments, balancing workplace flexibility with in-person collaboration, and positioning their companies to compete in an increasingly AI-driven economy.”
The KPMG 2025 Perspectives: Local Insights from San Francisco report surveyed 100 business leaders (64% C-suite; all VP-level and above) at companies with annual revenues of more than $50 million on the key challenges and opportunities shaping business growth in the city.
