Physical Intelligence Leased Office Space From Airbnb
The robotics firm secured 80,000 square feet at 850 Brannan Street following a massive funding round.
Updated on Sept. 30, 2026 in Remote Work
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Physical Intelligence has subleased 80,000 square feet of office space from Airbnb at 850 Brannan Street in San Francisco. This expansion follows the company raising $1 billion in May 2026.
Why it matters
The company is scaling its operations as it transitions from robotics research toward commercial applications. This growth comes after Physical Intelligence secured total funding exceeding $2 billion.
Physical Intelligence has now secured over $2 billion in total funding. The firm also previously leased 60,000 square feet at 808 Brannan Street and 233,500 square feet in Mountain View.
The players
Physical Intelligence
This is a robotics company focused on moving from research toward commercial applications.
Airbnb
This is a global hospitality platform that holds a significant master lease on Brannan Street.
The details
The robotics startup continues to grow its physical footprint in the Bay Area to support its scaling operations. The company currently maintains a 16,000-square-foot headquarters at 396 Treat Avenue in the Mission District.
Timeline
Physical Intelligence was founded in 2024.
Robotics startups received $12 billion in investment during 2025.
The firm leased 60,000 square feet at 808 Brannan Street in March 2026.
Physical Intelligence raised $1 billion in funding in May 2026.
Airbnb's master lease at 888 Brannan Street is scheduled to end in 2037.
Market Landscape
This move adds to the 4.3 million square feet of net office absorption recorded in San Francisco throughout 2026. The expansion signals a notable shift as the city's office vacancy rate fell to 28 percent in the third quarter of 2026.
The expansion of high-growth robotics firms may drive further commercial real estate activity in the Mission District and surrounding areas. Residents and local businesses may observe continued changes in neighborhood density as more tech-focused startups consolidate their operations.
The takeaway
The rapid physical expansion of well-funded robotics startups reflects a broader transition toward commercializing complex automation technologies. This trend underscores a shifting demand for specialized office space in innovation hubs like San Francisco.
Further reading
Learn more about the local industry at Remote Work.
Source note: This article includes information reported by The Real Deal New York.
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