PG&E has hired JLL to sell its vacated 8th Street substation in SoMa, pitching 12 megawatts of pre-entitled power to AI tenants. The listing reframes the city's AI real-estate boom: the scarce resource isn't floor space anymore, it's electricity.

For two years, San Francisco's AI real-estate story has been told in square feet. PG&E's newest listing tells it in megawatts.

The utility has retained JLL to find a buyer for its vacated substation at 111–117 Eighth Street (external source, opens in a new tab) in South of Market — a three-story, 21,062-square-foot building constructed in 1908, expanded through 1923, and seismically braced in 2006. The pitch, first reported by The Real Deal (external source, opens in a new tab), leans entirely on one number: up to 12 megawatts of deliverable electrical capacity, which JLL calls the only commercially available power-entitled asset of its kind in the city. The brokers — Erik Hanson, Brendan Bury and Tasman Lynch — gave it a name built for the moment: the "Power Bunker," aimed at AI, advanced-computing and R&D tenants.

Read the fine print before the framing. That 12-megawatt figure comes from a PG&E engineering evaluation dated June 5, 2026 — an estimate of what could be delivered, not power already running to a tenant's racks. "Pre-entitled" is not "built." And 12 megawatts is modest by AI standards: a single hyperscale training hall can pull north of 100. This is an enterprise- or edge-scale asset, not a campus for frontier models — closer to a trophy for a company that wants a Claude-or-ChatGPT-adjacent address with real amperage than to a compute cluster. No asking price has been disclosed.

The demand behind the pitch is real, though. City office vacancy has been falling for the better part of a year on AI leasing, dropping to 30.4 percent early in 2026 as tenants soaked up a record quarter of space, per CBRE (external source, opens in a new tab). AI companies that controlled under 2 percent of the city's office footprint in 2021 hold roughly 10 percent today, according to figures from The Registry cited in the listing's coverage.

What to watch: whether a buyer surfaces, at what price, and how long "up to 12 megawatts" takes to become power a tenant can actually plug into.